Consumer Discretionary • NYSE
According to Zyberno, MRC GLOBAL INC. (MRC) shows a Value Trap signal — WEAK BUSINESS (33/100) with an apparent Margin of Safety of +90.4%, but a Brina Gap of -17.8% reveals the current price still assumes faster growth than the business can deliver.
According to Zyberno's DCF model, MRC GLOBAL INC. (MRC) trades at $13.78 against an estimated intrinsic value per share of $144.05 — a +90.4% Margin of Safety based on Owner Earnings of $226.00M TTM, projected at 21.2% growth for 10 years with a 2.5% terminal growth rate. The Brina Gap of -17.8% weakens the case: based on the company's ROIC (3.6%) and reinvestment rate (19.1%), the business can fundamentally grow at 0.7% — but the current enterprise value implies the market expects 18.5%. This places MRC in the Value Trap quadrant of the Brina Matrix — a value-trap signal where the apparent discount is undermined by overpriced growth expectations. Zyberno's model translates this into a 5-year expected return of 93.8% annually.
Over the trailing twelve months, MRC generated $226.00M in Owner Earnings. Capital was deployed as follows: $31.00M invested in capital expenditures. Reinvestment rate: 19.1%. Owner Earnings have grown at 21.2% annually over the trailing five years using log-linear regression.