MRC Global (NYSE:MRC) Raised to “Strong-Buy” at Zacks Investment Research

Zacks Investment Research upgraded shares of MRC Global (NYSE:MRC) from a hold rating to a strong-buy rating in a research note issued to investors on Tuesday morning, Zacks.com reports. Zacks Investment Research currently has $8.75 price target on the oil and gas company’s stock.

According to Zacks, “MRC Global stands to benefit from its diversified business and shareholder-friendly policies. The company’s business in the gas utility sector has been witnessing strength, supported by increasing customer activity. It is poised to become more competent on lucrative contract wins and projects. Expanding market share and working capital efficiency is a priority for the company. It remains focused on generating healthy cash flow and lowering operating costs. The reduction of debts remains a priority for the company. Its shares have outperformed the industry in the past month. However, it has been dealing with high costs and expenses, which might affect its margins and profitability in the quarters ahead. Foreign exchange woes might hurt its performance. In the past 60 days, the company’s bottom-line estimates have increased for 2021.”

Several other brokerages also recently issued reports on MRC. Susquehanna increased their price objective on shares of MRC Global from $11.00 to $12.00 and gave the stock a positive rating in a research report on Wednesday, November 10th. Susquehanna Bancshares increased their price objective on shares of MRC Global from $11.00 to $12.00 and gave the stock a positive rating in a research report on Wednesday, November 10th. One equities research analyst has rated the stock with a hold rating, three have assigned a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, MRC Global has an average rating of Buy and an average target price of $9.94.

MRC opened at $8.20 on Tuesday. The firm’s fifty day moving average is $7.52 and its two-hundred day moving average is $8.10. The company has a debt-to-equity ratio of 0.98, a quick ratio of 1.08 and a current ratio of 2.15. The firm has a market cap of $677.86 million, a PE ratio of -17.45 and a beta of 2.47. MRC Global has a twelve month low of $6.38 and a twelve month high of $12.21.

MRC Global (NYSE:MRC) last posted its earnings results on Monday, November 8th. The oil and gas company reported $0.09 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $0.07 by $0.02. The company had revenue of $685.00 million for the quarter, compared to analyst estimates of $703.85 million. MRC Global had a negative net margin of 0.82% and a positive return on equity of 4.66%. The business’s revenue for the quarter was up 17.1% compared to the same quarter last year. During the same period last year, the business posted ($0.10) earnings per share. Equities analysts forecast that MRC Global will post 0.2 EPS for the current fiscal year.

A number of institutional investors have recently added to or reduced their stakes in MRC. Wellington Management Group LLP bought a new position in MRC Global in the third quarter valued at $7,871,000. Morgan Stanley grew its position in MRC Global by 151.1% in the third quarter. Morgan Stanley now owns 1,004,856 shares of the oil and gas company’s stock valued at $7,376,000 after purchasing an additional 604,623 shares in the last quarter. BOKF NA bought a new position in MRC Global in the third quarter valued at $4,181,000. Marshall Wace LLP bought a new position in MRC Global in the third quarter valued at $3,958,000. Finally, Citadel Advisors LLC grew its position in MRC Global by 87.5% in the third quarter. Citadel Advisors LLC now owns 983,654 shares of the oil and gas company’s stock valued at $7,220,000 after purchasing an additional 458,958 shares in the last quarter. 85.70% of the stock is owned by institutional investors and hedge funds.

MRC Global Company Profile

MRC Global, Inc is a holding company, which engages in the distribution of pipes, valves, fittings, and other infrastructure products and services to the energy industry. Its products include Carbon Steel Pipe, Carbon Steel Fittings & Flanges, Valves, Valve Automation, Stainless & Alloy Pipe, Mill Supplies & Safety and ValveWatch.

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