MERCURY GENERAL CORP (MCY) Stock Fundamental Analysis

NYSE:MCY • US5894001008

93.47 USD
-1.29 (-1.36%)
At close: Feb 13, 2026
93.47 USD
0 (0%)
After Hours: 2/13/2026, 8:23:26 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

Taking everything into account, MCY scores 5 out of 10 in our fundamental rating. MCY was compared to 149 industry peers in the Insurance industry. MCY has only an average score on both its financial health and profitability. MCY has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

  • In the past year MCY was profitable.
  • MCY had a positive operating cash flow in the past year.
  • MCY had positive earnings in 4 of the past 5 years.
  • In the past 5 years MCY always reported a positive cash flow from operatings.
MCY Yearly Net Income VS EBIT VS OCF VS FCFMCY Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M -500M 1B

1.2 Ratios

  • MCY has a better Return On Assets (4.69%) than 80.54% of its industry peers.
  • The Return On Equity of MCY (19.69%) is better than 86.58% of its industry peers.
  • The Return On Invested Capital of MCY (5.71%) is better than 83.89% of its industry peers.
Industry RankSector Rank
ROA 4.69%
ROE 19.69%
ROIC 5.71%
ROA(3y)-0.29%
ROA(5y)1.74%
ROE(3y)-1.14%
ROE(5y)5.32%
ROIC(3y)N/A
ROIC(5y)N/A
MCY Yearly ROA, ROE, ROICMCY Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20 -20 -30

1.3 Margins

  • The Profit Margin of MCY (7.55%) is comparable to the rest of the industry.
  • MCY's Profit Margin has been stable in the last couple of years.
  • Looking at the Operating Margin, with a value of 9.74%, MCY is doing worse than 61.07% of the companies in the same industry.
  • In the last couple of years the Operating Margin of MCY has grown nicely.
Industry RankSector Rank
OM 9.74%
PM (TTM) 7.55%
GM N/A
OM growth 3Y11.77%
OM growth 5Y2.15%
PM growth 3Y11.24%
PM growth 5Y1.18%
GM growth 3YN/A
GM growth 5YN/A
MCY Yearly Profit, Operating, Gross MarginsMCY Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MCY is destroying value.
  • Compared to 1 year ago, MCY has about the same amount of shares outstanding.
  • MCY has about the same amout of shares outstanding than it did 5 years ago.
  • MCY has a better debt/assets ratio than last year.
MCY Yearly Shares OutstandingMCY Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 10M 20M 30M 40M 50M
MCY Yearly Total Debt VS Total AssetsMCY Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B

2.2 Solvency

  • Based on the Altman-Z score of 1.52, we must say that MCY is in the distress zone and has some risk of bankruptcy.
  • MCY has a Altman-Z score of 1.52. This is amongst the best in the industry. MCY outperforms 87.25% of its industry peers.
  • MCY has a debt to FCF ratio of 0.58. This is a very positive value and a sign of high solvency as it would only need 0.58 years to pay back of all of its debts.
  • MCY's Debt to FCF ratio of 0.58 is fine compared to the rest of the industry. MCY outperforms 79.19% of its industry peers.
  • A Debt/Equity ratio of 0.26 indicates that MCY is not too dependend on debt financing.
  • With a decent Debt to Equity ratio value of 0.26, MCY is doing good in the industry, outperforming 62.42% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.26
Debt/FCF 0.58
Altman-Z 1.52
ROIC/WACC0.69
WACC8.28%
MCY Yearly LT Debt VS Equity VS FCFMCY Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

2.3 Liquidity

  • A Current Ratio of 0.12 indicates that MCY may have some problems paying its short term obligations.
  • MCY has a better Current ratio (0.12) than 64.43% of its industry peers.
  • MCY has a Quick Ratio of 0.12. This is a bad value and indicates that MCY is not financially healthy enough and could expect problems in meeting its short term obligations.
  • MCY's Quick ratio of 0.12 is fine compared to the rest of the industry. MCY outperforms 64.43% of its industry peers.
Industry RankSector Rank
Current Ratio 0.12
Quick Ratio 0.12
MCY Yearly Current Assets VS Current LiabilitesMCY Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M 250M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 26.26% over the past year.
  • MCY shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.56% yearly.
  • The Revenue has been growing slightly by 6.18% in the past year.
  • Measured over the past years, MCY shows a small growth in Revenue. The Revenue has been growing by 6.63% on average per year.
EPS 1Y (TTM)26.26%
EPS 3Y35.66%
EPS 5Y22.56%
EPS Q2Q%51.97%
Revenue 1Y (TTM)6.18%
Revenue growth 3Y11.1%
Revenue growth 5Y6.63%
Sales Q2Q%3.56%

3.2 Future

  • MCY is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.87% yearly.
  • The Revenue is expected to grow by 6.18% on average over the next years.
EPS Next Y-4.48%
EPS Next 2Y8.63%
EPS Next 3Y2.87%
EPS Next 5YN/A
Revenue Next Year8.27%
Revenue Next 2Y6.31%
Revenue Next 3Y6.18%
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
MCY Yearly Revenue VS EstimatesMCY Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2B 4B 6B
MCY Yearly EPS VS EstimatesMCY Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0 2 -2 4 6 8

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Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 13.31, the valuation of MCY can be described as correct.
  • The rest of the industry has a similar Price/Earnings ratio as MCY.
  • When comparing the Price/Earnings ratio of MCY to the average of the S&P500 Index (26.68), we can say MCY is valued rather cheaply.
  • Based on the Price/Forward Earnings ratio of 11.02, the valuation of MCY can be described as reasonable.
  • The rest of the industry has a similar Price/Forward Earnings ratio as MCY.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.06, MCY is valued rather cheaply.
Industry RankSector Rank
PE 13.31
Fwd PE 11.02
MCY Price Earnings VS Forward Price EarningsMCY Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • MCY's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. MCY is cheaper than 67.11% of the companies in the same industry.
  • 69.80% of the companies in the same industry are more expensive than MCY, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 5.22
EV/EBITDA 7.27
MCY Per share dataMCY EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80 100

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)0.59
EPS Next 2Y8.63%
EPS Next 3Y2.87%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

3

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 1.34%, MCY has a reasonable but not impressive dividend return.
  • Compared to an average industry Dividend Yield of 2.67, MCY has a dividend in line with its industry peers.
  • Compared to the average S&P500 Dividend Yield of 1.84, MCY is paying slightly less dividend.
Industry RankSector Rank
Dividend Yield 1.34%

5.2 History

  • The dividend of MCY decreases each year by -12.76%.
  • MCY has been paying a dividend for at least 10 years, so it has a reliable track record.
  • MCY has decreased its dividend recently.
Dividend Growth(5Y)-12.76%
Div Incr Years0
Div Non Decr Years1
MCY Yearly Dividends per shareMCY Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5 2 2.5

5.3 Sustainability

  • MCY pays out 16.00% of its income as dividend. This is a sustainable payout ratio.
DP16%
EPS Next 2Y8.63%
EPS Next 3Y2.87%
MCY Yearly Income VS Free CF VS DividendMCY Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M -500M
MCY Dividend Payout.MCY Dividend Payout, showing the Payout Ratio.MCY Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

MERCURY GENERAL CORP

NYSE:MCY (2/13/2026, 8:23:26 PM)

After market: 93.47 0 (0%)

93.47

-1.29 (-1.36%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)11-04
Earnings (Next)02-17
Inst Owners47.23%
Inst Owner Change-91.35%
Ins Owners35.51%
Ins Owner Change0%
Market Cap5.18B
Revenue(TTM)5.82B
Net Income(TTM)439.62M
Analysts84
Price Target102 (9.13%)
Short Float %6.74%
Short Ratio8.73
Dividend
Industry RankSector Rank
Dividend Yield 1.34%
Yearly Dividend1.27
Dividend Growth(5Y)-12.76%
DP16%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)68.99%
Min EPS beat(2)60.22%
Max EPS beat(2)77.76%
EPS beat(4)4
Avg EPS beat(4)78.49%
Min EPS beat(4)30.24%
Max EPS beat(4)145.76%
EPS beat(8)8
Avg EPS beat(8)174.82%
EPS beat(12)9
Avg EPS beat(12)144.89%
EPS beat(16)10
Avg EPS beat(16)67.38%
Revenue beat(2)2
Avg Revenue beat(2)4.33%
Min Revenue beat(2)2.99%
Max Revenue beat(2)5.66%
Revenue beat(4)2
Avg Revenue beat(4)-0.3%
Min Revenue beat(4)-6.45%
Max Revenue beat(4)5.66%
Revenue beat(8)5
Avg Revenue beat(8)3.29%
Revenue beat(12)7
Avg Revenue beat(12)2.79%
Revenue beat(16)8
Avg Revenue beat(16)-1.31%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)29.95%
EPS NY rev (1m)0%
EPS NY rev (3m)51.11%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.07%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.71%
Valuation
Industry RankSector Rank
PE 13.31
Fwd PE 11.02
P/S 0.89
P/FCF 5.22
P/OCF 4.94
P/B 2.32
P/tB 2.37
EV/EBITDA 7.27
EPS(TTM)7.02
EY7.51%
EPS(NY)8.48
Fwd EY9.08%
FCF(TTM)17.89
FCFY19.14%
OCF(TTM)18.91
OCFY20.24%
SpS105.12
BVpS40.3
TBVpS39.4
PEG (NY)N/A
PEG (5Y)0.59
Graham Number79.79
Profitability
Industry RankSector Rank
ROA 4.69%
ROE 19.69%
ROCE 6.41%
ROIC 5.71%
ROICexc 6.65%
ROICexgc 6.99%
OM 9.74%
PM (TTM) 7.55%
GM N/A
FCFM 17.02%
ROA(3y)-0.29%
ROA(5y)1.74%
ROE(3y)-1.14%
ROE(5y)5.32%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y17.76%
ROICexgc growth 5Y2.29%
ROICexc growth 3Y17.72%
ROICexc growth 5Y2.52%
OM growth 3Y11.77%
OM growth 5Y2.15%
PM growth 3Y11.24%
PM growth 5Y1.18%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.62
Health
Industry RankSector Rank
Debt/Equity 0.26
Debt/FCF 0.58
Debt/EBITDA 0.93
Cap/Depr 109.48%
Cap/Sales 0.97%
Interest Coverage 19.8
Cash Conversion 169.19%
Profit Quality 225.4%
Current Ratio 0.12
Quick Ratio 0.12
Altman-Z 1.52
F-Score4
WACC8.28%
ROIC/WACC0.69
Cap/Depr(3y)91.44%
Cap/Depr(5y)81.7%
Cap/Sales(3y)0.87%
Cap/Sales(5y)0.94%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)26.26%
EPS 3Y35.66%
EPS 5Y22.56%
EPS Q2Q%51.97%
EPS Next Y-4.48%
EPS Next 2Y8.63%
EPS Next 3Y2.87%
EPS Next 5YN/A
Revenue 1Y (TTM)6.18%
Revenue growth 3Y11.1%
Revenue growth 5Y6.63%
Sales Q2Q%3.56%
Revenue Next Year8.27%
Revenue Next 2Y6.31%
Revenue Next 3Y6.18%
Revenue Next 5YN/A
EBIT growth 1Y-21.24%
EBIT growth 3Y24.17%
EBIT growth 5Y8.92%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y283.32%
FCF growth 3Y29.13%
FCF growth 5Y15.62%
OCF growth 1Y254.65%
OCF growth 3Y27.4%
OCF growth 5Y14.82%

MERCURY GENERAL CORP / MCY FAQ

What is the ChartMill fundamental rating of MERCURY GENERAL CORP (MCY) stock?

ChartMill assigns a fundamental rating of 5 / 10 to MCY.


Can you provide the valuation status for MERCURY GENERAL CORP?

ChartMill assigns a valuation rating of 5 / 10 to MERCURY GENERAL CORP (MCY). This can be considered as Fairly Valued.


How profitable is MERCURY GENERAL CORP (MCY) stock?

MERCURY GENERAL CORP (MCY) has a profitability rating of 5 / 10.


What is the valuation of MERCURY GENERAL CORP based on its PE and PB ratios?

The Price/Earnings (PE) ratio for MERCURY GENERAL CORP (MCY) is 13.31 and the Price/Book (PB) ratio is 2.32.


Can you provide the dividend sustainability for MCY stock?

The dividend rating of MERCURY GENERAL CORP (MCY) is 3 / 10 and the dividend payout ratio is 16%.