TD Securities analyst Sean Steuart downgraded Mercer to Hold from Buy with a price target of $12.50, down from $16.50, citing a large gap between his 2020 earnings estimates and consensus forecasts. He lowered his 2019 and 2020 EBITDA estimates for Mercer by 2% and 27%, respectively, due to more conservative pulp price expectations but that leaves his revised 2020 EBITDA forecast 25% below consensus, Steuart explained. While he expects a gradual improvement in pulp markets, and Mercer's results, in 2020, the pace of improvement will likely be slower than reflected in current consensus, the analyst contends.