Mercury General Corporation (MCY) has a MoatMap StockRank of 96/100 based on Quality (70/100), Value (62/100), and Momentum (56/100) factor scores. The current signal is STRONG BUY. Mercury General, as a US insurance company, stands to benefit significantly from the 'Higher-for-Longer Rates' macro theme, which implies higher investment income on its float, an asymmetric opportunity that the market may be underpricing. However, the 'Persistent Supply Shock Inflation' theme could be a meaningful headwind, as rising inflation may lead to increased claims costs, creating a nuanced risk-reward profile that requires deeper diligence on its underwriting capabilities and balance sheet strength.
Mercury General Corporation is a multi-line insurance organization primarily offering personal automobile, homeowners, and mechanical breakdown insurance across several U.S. states, with a significant presence in California. The company competes by providing affordable insurance products through an independent agency network, leveraging localized underwriting expertise to maintain profitability. This focused strategy has established it as a prominent insurer, particularly within the California market.
| Price | $101.03 |
| Market Cap | $5.6B |
| P/E (TTM) | 6.69 |
| P/E (Forward) | 8.45 |
| Price/Book | 2.17 |
| Return on Equity | 38.1% |
| Debt/Equity | 22.67 |
| Gross Margin | 25.2% |
| Operating Margin | 15.7% |
| Revenue Growth | 10.5% |
| Dividend Yield | 1.3% |
| Free Cash Flow | $1.6B |
Mercury General Corporation operates in the Insurance - Property & Casualty industry, part of the Financial Services sector (United States).