MRC Global (NYSE:MRC) Shares Down 6.4% – Should You Sell?

MRC Global Inc. (NYSE:MRC)’s stock price fell 6.4% on Thursday . The stock traded as low as $13.63 and last traded at $13.59. 587,516 shares traded hands during mid-day trading, a decline of 11% from the average session volume of 659,595 shares. The stock had previously closed at $14.52.

Analysts Set New Price Targets

Several research analysts have commented on MRC shares. Stifel Nicolaus upped their price objective on shares of MRC Global from $14.00 to $15.00 and gave the stock a “buy” rating in a report on Tuesday, October 15th. StockNews.com lowered shares of MRC Global from a “strong-buy” rating to a “buy” rating in a report on Saturday, November 9th. Finally, Susquehanna lifted their price objective on MRC Global from $16.00 to $17.00 and gave the company a “positive” rating in a research report on Thursday, November 7th.

MRC Global Price Performance

The firm has a market cap of $1.09 billion, a P/E ratio of 14.69 and a beta of 1.97. The company has a debt-to-equity ratio of 0.15, a current ratio of 1.99 and a quick ratio of 1.11. The firm’s 50 day moving average is $13.66 and its 200 day moving average is $13.18.

MRC Global (NYSE:MRC) last issued its quarterly earnings results on Tuesday, November 5th. The oil and gas company reported $0.22 EPS for the quarter, topping analysts’ consensus estimates of $0.19 by $0.03. The firm had revenue of $797.00 million for the quarter, compared to analysts’ expectations of $794.17 million. MRC Global had a return on equity of 19.58% and a net margin of 3.09%. The business’s revenue for the quarter was down 10.2% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.32 EPS. As a group, analysts anticipate that MRC Global Inc. will post 0.86 earnings per share for the current year.

MRC Global announced that its Board of Directors has authorized a stock buyback plan on Friday, January 3rd that permits the company to buyback $125.00 million in shares. This buyback authorization permits the oil and gas company to reacquire up to 11% of its shares through open market purchases. Shares buyback plans are usually a sign that the company’s leadership believes its shares are undervalued.

Institutional Trading of MRC Global

Several institutional investors have recently added to or reduced their stakes in the business. Empowered Funds LLC bought a new position in shares of MRC Global during the third quarter valued at $3,607,000. Barclays PLC boosted its holdings in shares of MRC Global by 197.7% during the 3rd quarter. Barclays PLC now owns 151,169 shares of the oil and gas company’s stock valued at $1,927,000 after acquiring an additional 100,384 shares during the last quarter. Jennison Associates LLC bought a new stake in shares of MRC Global in the fourth quarter worth approximately $1,108,000. Wellington Management Group LLP grew its stake in shares of MRC Global by 1.8% in the third quarter. Wellington Management Group LLP now owns 3,209,251 shares of the oil and gas company’s stock worth $40,886,000 after acquiring an additional 55,553 shares during the period. Finally, Pzena Investment Management LLC raised its holdings in shares of MRC Global by 1.0% during the fourth quarter. Pzena Investment Management LLC now owns 5,825,650 shares of the oil and gas company’s stock valued at $74,452,000 after purchasing an additional 54,859 shares during the last quarter. 94.97% of the stock is currently owned by hedge funds and other institutional investors.

MRC Global Company Profile

MRC Global Inc, through its subsidiaries, distributes pipes, valves, fittings, and other infrastructure products and services in the United States, Canada, and internationally. It offers ball, butterfly, gate, globe, check, diaphragm, needle, and plug valves; other products, such as lined corrosion resistant piping systems, control valves, valve automation, and top work components; and valve modification services, including valve control extensions, welding, hydrotesting, painting, coating, x-raying, and actuation assembly.