What metrics does one apply to value MCY? At $46: The p/e ratio is not meaningful. The range for the dividend yield may be: long term it is 1.4% - 6.7%. It is now 5.3%, so still near the high end. As a dividend champion the company will want to keep its streak of 26 years of increases intact. Perhaps the best indicator is book value. At a current $34, the price/book is 136%. The long term range is 108% - 265% (1997). However, the current p/b is the highest in the last five years and book value has been about flat for the past four years. The absolute stock price is also at/near a five year high after finishing higher every week for the past ten from a low of $36.03 to the current $46.08 or 28%. The next x-date is 6/11. Any other ideas on how to value MCY at this juncture?
PPS indicates that not to big a hit from OK. Actually hitting a 52 wk. high.
Div keeps a nice floor.
Seriously, when the chairman controls 32% of the stock, you don't think there is really any business going to be done at the meeting, except reaffirm who continues as a director.
Now then, pour me a shot of Crown Royal and let's go play golf.
Anyone else going to the annual meeting at the Wilshire Country Club?
If so, be sure to return your proxy ASAP so you get a good tee time and one of the better golf carts. Pencil in your handicap so they can pair you up properly.
All but two of the directors up for election are retired and the primary purpose for this meeting is so the good 'ol boys club can get in a round of golf. See you on the green.
BTW, there is a dress code on the course.
We are in a sweet spot here. New cars sales going through the roof? Guess what they need? You got it ..car insurance. New car sales data, look as this as a lagging indicator for insurance companies. And guess what?...People file less claims with new cars..Do you want your rates to rise with minor damage? I'm buying more MCY for my 401k.
As Voltaire would have Candide say..."this is the best of all possible worlds"..especially for an insurance company that has little exposure to property claims in natural disasters.
Buenas suertas a todos!
MCY is near 52-week low. Dividend yield = 6.8 %. Very tempted to back the truck up and go all in. But the three years in a row decrease in earnings is bothering me.