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MCYMercury General CorporationHold6.2·$100.93+1.81%
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Mercury General Corporation (MCY) Stock Analysis

Range Bound setup

HoldModerate Confidence

Financial Services · Insurance - Property & Casualty

Hold if already holding. Not a fresh buy at $100.93, but acceptable to hold if already in. Reasons: Single-region cliff: 85% exposure to California (≥60% threshold). Regional macroeconomic shock = idiosyncratic terminal risk.; Concentration risk — Geographic: California (85.0%).

Mercury General writes personal automobile insurance in 11 states through 12 subsidiaries, principally in California, and also offers homeowners, commercial auto, and other lines. With $5.98 billion in total direct premiums written in 2025, the company distributes primarily... Read more

$100.93+1.1% A.UpsideScore 6.2/10#5 of 29 Insurance - Property & Casualty
QualityF-score7 / 9FCF yield28.16%
IncomeYield1.26%(5y avg 3.55%)Payout8.37%sustainable
Stop $95.27Target $102.00(analyst − 15%)A.R:R 0.2:1
Analyst target$120.00+18.9%1 analysts
Range unavailable (1 analysts)

Hold if already holding. Not a fresh buy at $100.93, but acceptable to hold if already in. Reasons: Single-region cliff: 85% exposure to California (≥60% threshold). Regional macroeconomic shock = idiosyncratic terminal risk.; Concentration risk — Geographic: California (85.0%). Chart setup: RSI 51 mid-range, Bollinger mid-band. Maintain position. Not compelling to add more. Score 6.2/10, moderate confidence.

Passes 7/9 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, earnings proximity 51d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio and finsvc regional cliff hard block. Suitability: moderate.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-06-14
TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Tue, Aug 4, 202651d to earnings· next earnings call

Thesis

Rewards
Strong earnings beat streak (4/4)
Attractive valuation
Margin of safety: 56%
Risks
Single-region cliff: 85% exposure to California (≥60% threshold). Regional macroeconomic shock = idiosyncratic terminal risk.
Concentration risk — Geographic: California (85.0%)
Analyst target reached - limited upside remaining

Key Metrics

P/E (TTM)6.7
P/E (Fwd)8.4
Mkt Cap$5.6B
EV/EBITDA3.8
Profit Mgn13.7%
ROE38.1%
Rev Growth10.5%
Beta0.93
Dividend1.26%
Rating analysts6

Quality Signals

Piotroski F7/9MoatWideCompounder

Options Flow

P/C2.35bearish
IV65%elevated
Max Pain$135+33.8% vs spot

Concentration Risks(10-K Item 1A)

  • HIGHGeographicCalifornia85%
    10-K Item 1A: 'the Company generated approximately 85% of its direct automobile insurance premiums written in California'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.

Methodology · Editorial policy & full disclaimer

Rating Breakdown

1 ceiling hit

GatesA.R:R 0.2 < 1.5@spotFINSVC REGIONAL CLIFF HARD BLOCKMomentum 5.9>=5.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 51d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARRange BoundSuitability: Moderate
RSI
51 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $94.92Resistance $103.53

Price Targets

$95
$102
A.Upside+1.1%
A.R:R0.2:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Target reached (1.1% upside)
! asymmetry at 0.2 (below the engine's 1.5 threshold)@spot
! FINSVC_REGIONAL_CLIFF:HARD_BLOCK

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-08-04 (51d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is MCY stock a buy right now?

Hold if already holding. Not a fresh buy at $100.93, but acceptable to hold if already in. Reasons: Single-region cliff: 85% exposure to California (≥60% threshold). Regional macroeconomic shock = idiosyncratic terminal risk.; Concentration risk — Geographic: California (85.0%). Chart setup: RSI 51 mid-range, Bollinger mid-band. Maintain position. Not compelling to add more. Target $102.00 (+1.1%), stop $95.27 (−5.9%), A.R:R 0.2:1. Score 6.2/10, moderate confidence.

What is the MCY stock price target?

Take-profit target: $102.00 (+1.1% upside). Target $102.00 (+1.1%), stop $95.27 (−5.9%), A.R:R 0.2:1. Stop-loss: $95.27.

What are the risks of investing in MCY?

Single-region cliff: 85% exposure to California (≥60% threshold). Regional macroeconomic shock = idiosyncratic terminal risk.; Concentration risk — Geographic: California (85.0%); Analyst target reached - limited upside remaining.

Is MCY overvalued or undervalued?

Mercury General Corporation trades at a P/E of 6.7 (forward 8.4). TrendMatrix value score: 9.6/10. Verdict: Hold.

What do analysts say about MCY?

6 analysts cover MCY with a consensus score of 4.0/5. Average price target: $120.

What does Mercury General Corporation do?Mercury General writes personal automobile insurance in 11 states through 12 subsidiaries, principally in California,...

Mercury General writes personal automobile insurance in 11 states through 12 subsidiaries, principally in California, and also offers homeowners, commercial auto, and other lines. With $5.98 billion in total direct premiums written in 2025, the company distributes primarily through ~8,510 independent agents; California represents 82.1% of total direct premiums written.

Related stocks: SLDE (Slide Insurance Holdings, Inc.) · PLMR (Palomar Holdings, Inc.) · STC (Stewart Information Services Co) · ORI (Old Republic International Corp) · SKWD (Skyward Specialty Insurance Gro)
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