Mercury Insurance

MCY

Market cap $5.02B

Mercury General (MCY) possesses solid growth attributes, which could help it handily outperform the market.

Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

49 States See Declines, but California Remains a Hotspot as Thieves Exploit Keyless Entry and OBD Hacks LOS ANGELES, Feb. 26, 2026 /PRNewswire/ -- After years of increases, U.S. auto theft is finally trending downward — but the risk hasn't disappeared. Mercury Insurance (NYSE/NYSE Texas MCY) reviewed auto theft statistics dating back to 2023 to track and share insights from those learnings.

Mercury General (MCY) proved resilient after the January 2025 wildfires, delivering a strong underwriting rebound in Q4 and restoring earnings visibility. FY2025 MCY's combined ratio improved to 96.3%, supported by rate increases and portfolio remediation, confirming that pricing discipline is taking hold. Shareholders' equity reached $2.4 billion, and with a forward P/E of 9-11x, MCY trades as reasonable valuation, relative to its risk profile.

OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has revised the outlooks to stable from negative and affirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “a” (Excellent) for the members of Mercury Casualty Group (Mercury). Concurrently, AM Best has revised the outlook to stable from negative and affirmed the Long-Term ICR of “bbb” (Good) of the organization's publicly traded ultimate parent, Mercury General Corporation (MGC) (Los Angeles, CA.

Mercury joins nationally recognized financial services brands, such as American Express and Capital One in USA Today's ranking. LOS ANGELES, Feb. 24, 2026 /PRNewswire/ -- Mercury Insurance (NYSE/NYSE Texas: MCY) has earned a spot on USA Today's inaugural list of America's Best Customer Service providers in Financial Services for 2026, recognizing companies that consistently deliver high-quality customer experiences across the financial services landscape.

Federal data shows drivers 16-19 are nearly three times more likely to be in a fatal crash – preparation, and protection matter. LOS ANGELES, Feb. 19, 2026 /PRNewswire/ -- The driver's license photo may be slightly awkward, but the milestone is unforgettable.

MCY tops Q4 estimates as premiums rise, investment income jumps and catastrophe losses fall, driving a 32% profit surge, while revenues are up 7% and the combined ratio improves.

Mercury General (MCY) came out with quarterly earnings of $3.66 per share, beating the Zacks Consensus Estimate of $2.56 per share. This compares to earnings of $2.78 per share a year ago.

LOS ANGELES, Feb. 17, 2026 /PRNewswire/ -- Mercury General Corporation (NYSE: MCY) reported today the fourth quarter and fiscal 2025 results: Consolidated Highlights Three Months Ended December 31, Change Twelve Months Ended December 31, Change 2025 2024 $ % 2025 2024 $ % (000's except per-share amounts and ratios) Net premiums earned (2) $  1,445,404 $  1,352,101 $     93,303 6.9 % $  5,505,613 $  5,075,456 $  430,157 8.5 % Net premiums written (1) (2) $  1,427,731 $  1,314,933 $   112,798 8.6 % $  5,721,778 $  5,378,310 $  343,468 6.4 % Direct premiums written (1) $  1,490,371 $  1,346,718 $   143,653 10.7 % $  5,982,537 $  5,500,835 $  481,702 8.8 % Net realized investment gains (losses), net of tax (3) $             92 $     (52,823) $     52,915 NM $     103,781 $      70,050 $    33,731 48.2 % Net income $    202,547 $    101,068 $   101,479 100.4 % $     541,094 $    467,953 $    73,141 15.6 % Net income per diluted share $          3.66 $          1.82 $         1.84 101.1 % $           9.77 $          8.45 $        1.32 15.6 % Operating income (1) $   202,455 $   153,891 $     48,564 31.6 % $    437,313 $    397,903 $    39,410 9.9 % Operating income per diluted share (1) $         3.66 $         2.78 $         0.88 31.7 % $          7.90 $          7.19 $        0.71 9.9 % Catastrophe losses net of reinsurance (4) $     19,000 $     41,000 $    (22,000) (53.7) % $    508,000 $    277,000 $  231,000 83.4 % Combined ratio (5) 88.6 % 91.4 % —    (2.8) pts 96.3 % 96.0 % —       0.3 pts NM = Not Meaningful (1) These measures are not based on U.S. generally accepted accounting principles ("GAAP"), are defined in "Information Regarding GAAP and Non-GAAP Measures" and are reconciled to the most directly comparable GAAP measures in "Supplemental Schedules." (2) Both net premiums earned and net premiums written for the twelve months ended December 31, 2025 include $101 million of increased ceded premiums due to the reinstatement premiums paid and recorded in the first half of 2025 to reinstate the fully exhausted reinsurance coverage layers of the Company's catastrophe reinsurance treaty ending June 30, 2025 following the Palisades and Eaton wildfires in January 2025.