WallStSmart

Mercer International Inc (MERC)vsSylvamo Corp (SLVM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sylvamo Corp generates 78% more annual revenue ($3.30B vs $1.86B). SLVM leads profitability with a 2.3% profit margin vs -27.9%. SLVM earns a higher WallStSmart Score of 42/100 (D).

MERC

Hold

35

out of 100

Grade: F

Growth: 2.7Profit: 2.0Value: 6.3Quality: 5.0
Piotroski: 2/9Altman Z: 0.45

SLVM

Hold

42

out of 100

Grade: D

Growth: 2.7Profit: 5.0Value: 4.3Quality: 5.5
Piotroski: 3/9Altman Z: 3.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MERCUndervalued (+85.0%)

Margin of Safety

+85.0%

Fair Value

$11.57

Current Price

$0.39

$11.18 discount

UndervaluedFair: $11.57Overvalued
SLVMSignificantly Overvalued (-57.3%)

Margin of Safety

-57.3%

Fair Value

$33.09

Current Price

$35.24

$2.15 premium

UndervaluedFair: $33.09Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MERC1 strengths · Avg: 10.0/10
Debt/EquityHealth
-16.7210/10

Conservative balance sheet, low leverage

SLVM2 strengths · Avg: 10.0/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
3.2610/10

Safe zone — low bankruptcy risk

Areas to Watch

MERC4 concerns · Avg: 3.5/10
PEG RatioValuation
2.294/10

Expensive relative to growth rate

Revenue GrowthGrowth
1.5%4/10

1.5% revenue growth

Market CapQuality
$25.96M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

SLVM4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
1.5%4/10

1.5% revenue growth

Market CapQuality
$1.43B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
2.3%3/10

2.3% margin — thin

Operating MarginProfitability
1.5%3/10

Operating margin of 1.5%

Comparative Analysis Report

WallStSmart Research

Bull Case : MERC

The strongest argument for MERC centers on Debt/Equity.

Bull Case : SLVM

The strongest argument for SLVM centers on Price/Book, Altman Z-Score.

Bear Case : MERC

The primary concerns for MERC are PEG Ratio, Revenue Growth, Market Cap.

Bear Case : SLVM

The primary concerns for SLVM are Revenue Growth, Market Cap, Profit Margin. Thin 2.3% margins leave little buffer for downturns.

Key Dynamics to Monitor

MERC profiles as a turnaround stock while SLVM is a value play — different risk/reward profiles.

SLVM carries more volatility with a beta of 0.76 — expect wider price swings.

SLVM is growing revenue faster at 1.5% — sustainability is the question.

SLVM generates stronger free cash flow (-11M), providing more financial flexibility.

Bottom Line

SLVM scores higher overall (42/100 vs 35/100). MERC offers better value entry with a 85.0% margin of safety. Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Mercer International Inc

BASIC MATERIALS · PAPER & PAPER PRODUCTS · USA

Mercer International Inc., manufactures and sells Northern Bleached Softwood Kraft Pulp (NBSK) in Europe, the United States, Asia and internationally. The company is headquartered in Vancouver, Canada.

Sylvamo Corp

BASIC MATERIALS · PAPER & PAPER PRODUCTS · USA

Sylvamo Corp (SLVM), headquartered in Memphis, Tennessee, is a leading global manufacturer of sustainable paper products, with a strong emphasis on high-quality printing and writing papers. The company is dedicated to innovation and environmental responsibility, striving to minimize its ecological impact while capitalizing on evolving sustainability trends. Sylvamo's efficient operational model and commitment to operational excellence enable it to effectively pursue growth opportunities within the changing paper industry. Supported by solid financial fundamentals, Sylvamo is well-positioned to enhance its competitive edge and deliver long-term value in an increasingly dynamic marketplace.

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