MCAN Mortgage (TSE:MKP) Sets New 52-Week Low - Should You Sell?

Key Points

• MCAN Mortgage shares hit a new 52-week low, falling 1.3% to around C$20.29, below both the 50-day and 200-day moving averages.
• Analysts maintain a “Moderate Buy” consensus, with an average price target of C$24.67 and National Bank Financial assigning a C$27 target with an “outperform” rating.
• Despite the price decline, the company reported C$0.59 quarterly EPS, C$43.34 million in revenue, and a 26.55% net margin; a director also purchased 5,900 shares worth approximately C$125,198.

MCAN Mortgage Co. (TSE:MKP - Get Free Report) shares reached a new 52-week low during mid-day trading on Wednesday. The company traded as low as C$20.25 and last traded at C$20.29, with a volume of 19344 shares trading hands. The stock had previously closed at C$20.57.

Analyst Upgrades and Downgrades

Separately, National Bank Financial set a C$27.00 target price on MCAN Mortgage and gave the stock an "outperform" rating in a report on Monday, June 29th. Two investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of C$24.67.

MCAN Mortgage Stock Down 1.3%

The firm has a market cap of C$830.55 million, a P/E ratio of 9.62 and a beta of 0.82. The firm's fifty day moving average is C$22.06 and its 200 day moving average is C$23.71. The company has a debt-to-equity ratio of 555.10, a quick ratio of 1.97 and a current ratio of 6.22.

MCAN Mortgage (TSE:MKP - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The company reported C$0.59 earnings per share (EPS) for the quarter. The company had revenue of C$43.34 million during the quarter. MCAN Mortgage had a return on equity of 13.08% and a net margin of 26.55%. As a group, equities research analysts anticipate that MCAN Mortgage Co. will post 2.5108359 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, Director Emily Anne Randle acquired 5,900 shares of the stock in a transaction on Thursday, September 24th. The shares were purchased at an average price of C$21.22 per share, for a total transaction of C$125,198.00. Following the transaction, the director directly owned 5,900 shares of the company's stock, valued at approximately C$125,198. This represents a ∞ increase in their ownership of the stock. 15.28% of the stock is currently owned by corporate insiders.

MCAN Mortgage Company Profile

MCAN Mortgage Corporation d/b/a MCAN Financial Group is a public company listed on the Toronto Stock Exchange under the symbol MKP and is a reporting issuer in all provinces and territories in Canada. MCAN also qualifies as a Mortgage Investment Corporation ("MIC") under the Income Tax Act (Canada). MCAN is the largest MIC in Canada and the only federally regulated MIC that issues term deposits eligible for Canada Deposit Insurance Corporation deposit insurance. MCAN's primary objective is to generate a reliable stream of income by investing in a diversified portfolio of Canadian mortgages, including residential mortgages, residential construction, non-residential construction, and commercial loans, as well as other types of securities, loans, and real estate investments.

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