Mercury General Corporation (MCY) Insider, 13F Hedge Fund & Politician Buy/Sell Thermometer

Per the Roarable RQD rating, MCY scores 73 out of 100, a letter grade of B, with the verdict label "Roarable Buy — Good Risk/Reward." The score is built from five pillars:

• Fundamental Cash Engine (16 / 20): Per the Roarable RQD rating, this pillar reflects ROIC of 22.4% and an FCF yield of 19.12%. For an investor, these are the strongest cash-generation datapoints in the rating, suggesting the business earns high returns on invested capital and throws off substantial free cash relative to its market value. The tradeoff is that the source does not break out how durable these figures are across periods beyond the three reported years.
• Whale 13F Flow (12 / 20): Per the Roarable RQD rating, this pillar reflects institutional accumulation and options positioning. The mid-range score indicates institutional interest that is present but not dominant. The source data contains no 13F holder detail (see Analyst View section), so this pillar cannot be traced to specific filers.
• Insider Conviction (18 / 20): Per the Roarable RQD rating, this is the highest pillar and reflects SEC Form 4 and Congressional PTR cluster flow. A high score here signals concentrated insider activity; the direction and identity of those trades are not itemized in the source data.
• Macro Regime Fit (14 / 20): Per the Roarable RQD rating, beta of 1.0 and sector sensitivity drive this score. A beta of 1.0 means the stock is, by the source's measure, expected to move in line with the broader market, offering neither a defensive nor an amplified profile on that metric alone.
• Forensic Balance Sheet (13 / 20): Per the Roarable RQD rating, the pillar reflects Altman Z 2.5, Piotroski F 6/9, and Debt/Equity 0.5. These are moderate, serviceable readings rather than exceptional ones; the Altman and Piotroski figures are not interpreted against thresholds in the source.

Taken together, the rating points to a business with strong cash returns and a valuation the source describes as modest on earnings (see Snapshot), offset by only mid-range institutional flow and a balance sheet that is adequate rather than fortress-like. The valuation tradeoff: a trailing P/E of 10.5 and forward P/E of 9.8 sit at the low end of the multiples shown, which is the upside argument, while the 52-week range of $74.29–$113.06 puts the current $102.65 price in the upper portion of that band, leaving less room in the source's own range framing. Investors weighing this should consider that the rating is a model output built from the five pillars above, not a guarantee of outcome.

Per the profile, Mercury General Corporation is a NYSE-listed issuer in the Financials sector, operating within the Property-Casualty Insurers industry. The source data does not describe its product lines, customer base, or distribution channels. Per the market data, reported net margin is 9%, while gross margin and operating margin are each shown as 0%, which the source does not explain. How the company earns revenue beyond its sector and industry classification is not available in source data.

Per the SEC financials, revenue rose from $4629.6M in FY 2023 to $5992.5M in FY 2025, and net income moved from $96.3M to $541.1M over the same span. Free cash flow was $453.0M in FY 2023, $1037.1M in FY 2024, and $1087.2M in FY 2025. Operating income is shown as $0.0M in every period, so it cannot be used to assess operating profitability. Per the Roarable RQD rating and market data, ROIC is 22.4%, Altman Z is 2.5, and Piotroski F is 6/9, with Debt/Equity at 0.5. Cash and debt balances are not reported in the financials.

Per the recent news wire, six items reference MCY, all from aggregator and financial-media sources (Yahoo! Finance Canada, TradingView, Yahoo Finance, MarketBeat), each flagged YELLOW under the MARKET WIRE impact label. The headlines reference general stock-price coverage, a valuation-oriented piece ("Is Mercury General (MCY) Stock Undervalued Right Now?"), a note on an institutional holding change ("Stock Holdings Lowered by Inspire Investing LLC"), and a preview of Q3 earnings ("reports Q3: everything you need to know ahead of earnings"). The summaries are generic and do not state specific fundamental events. Per the Butterfly Supply-Chain Graph, supply chain is listed as NONE with no butterfly links and no proprietary signals, so no supply-chain or proprietary catalysts are available. Risk watch items drawn from the wire are limited to the institutional position reduction and the upcoming earnings report, whose results are not in the source data.

Per the Butterfly Supply-Chain Graph, the supply chain is NONE, with an empty list of butterfly links and an empty list of proprietary signals. The source therefore does not identify upstream suppliers, downstream customers, or sector correlations beyond the sector and industry labels. Second-order bottlenecks cannot be mapped from the available data. Investors should treat this section as unresolved rather than as evidence of an absence of ripple effects.

• What are the company's product lines, underwriting mix, and geographic footprint, given that the source provides only sector classification?
• Why is operating income reported as $0.0M in every period and gross margin as 0%, and what is the true operating profitability?
• What are the cash and debt balances, and how do they support the 0.5 Debt/Equity figure in the forensic pillar?
• What do the Form 4 insider and 13F institutional filings actually show, given the Insider Conviction and Whale Flow pillar scores rest on them?
• What did the upcoming Q3 earnings report deliver, and how does it bear on the valuation multiples shown?