MRC Global (NYSE:MRC) Sets New 52-Week High – Should You Buy?

MRC Global Inc. (NYSE:MRC) shares hit a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $15.41 and last traded at $15.07, with a volume of 677684 shares traded. The stock had previously closed at $15.27.

Analyst Ratings Changes

MRC has been the topic of several recent research reports. StockNews.com cut shares of MRC Global from a “strong-buy” rating to a “buy” rating in a research note on Saturday, November 9th. Susquehanna lifted their price objective on shares of MRC Global from $16.00 to $17.00 and gave the stock a “positive” rating in a research note on Thursday, November 7th. Finally, Stifel Nicolaus lifted their price objective on shares of MRC Global from $14.00 to $15.00 and gave the stock a “buy” rating in a research note on Tuesday, October 15th.

MRC Global Stock Performance

The firm’s 50-day moving average price is $13.58 and its two-hundred day moving average price is $13.15. The firm has a market capitalization of $1.28 billion, a PE ratio of 17.32 and a beta of 1.97. The company has a quick ratio of 1.11, a current ratio of 1.99 and a debt-to-equity ratio of 0.15.

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

MRC Global declared that its Board of Directors has approved a share buyback plan on Friday, January 3rd that authorizes the company to buyback $125.00 million in outstanding shares. This buyback authorization authorizes the oil and gas company to repurchase up to 11% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s board believes its stock is undervalued.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in MRC. Dimensional Fund Advisors LP grew its position in MRC Global by 2.7% during the second quarter. Dimensional Fund Advisors LP now owns 3,689,511 shares of the oil and gas company’s stock valued at $47,629,000 after purchasing an additional 97,445 shares in the last quarter. Canada Pension Plan Investment Board purchased a new position in MRC Global during the second quarter valued at approximately $56,000. Sei Investments Co. grew its position in MRC Global by 593.8% during the second quarter. Sei Investments Co. now owns 160,978 shares of the oil and gas company’s stock valued at $2,078,000 after purchasing an additional 137,777 shares in the last quarter. Bank of Montreal Can purchased a new position in MRC Global during the second quarter valued at approximately $1,862,000. Finally, AQR Capital Management LLC grew its position in MRC Global by 2.1% during the second quarter. AQR Capital Management LLC now owns 469,848 shares of the oil and gas company’s stock valued at $6,066,000 after purchasing an additional 9,824 shares in the last quarter. 94.97% of the stock is 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.