Merchants Bancorp (NASDAQ:MBIN) Sets New 1-Year High – Should You Buy?

Shares of Merchants Bancorp (NASDAQ:MBIN) reached a new 52-week high on Monday . The company traded as high as $45.60 and last traded at $44.77, with a volume of 74534 shares changing hands. The stock had previously closed at $42.48.

Analyst Upgrades and Downgrades

A number of research firms recently issued reports on MBIN. Zacks Research raised shares of Merchants Bancorp from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, February 3rd. UBS Group set a $42.00 target price on shares of Merchants Bancorp in a research report on Thursday, October 30th. Piper Sandler reaffirmed an “overweight” rating and issued a $42.00 price target (up previously from $41.00) on shares of Merchants Bancorp in a report on Thursday, October 30th. Weiss Ratings reiterated a “hold (c+)” rating on shares of Merchants Bancorp in a research report on Monday, December 29th. Finally, Morgan Stanley upped their price objective on Merchants Bancorp from $40.00 to $42.00 and gave the company an “equal weight” rating in a research report on Friday, January 30th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and two have given a Hold rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $41.00.

Merchants Bancorp Stock Performance

The stock has a market capitalization of $2.13 billion, a PE ratio of 12.25 and a beta of 1.27. The business’s 50 day moving average is $36.39 and its 200 day moving average is $33.51. The company has a current ratio of 1.10, a quick ratio of 0.80 and a debt-to-equity ratio of 1.73.

Merchants Bancorp (NASDAQ:MBIN) last posted its quarterly earnings data on Wednesday, January 28th. The company reported $1.28 earnings per share for the quarter, topping analysts’ consensus estimates of $0.94 by $0.34. Merchants Bancorp had a net margin of 16.02% and a return on equity of 13.35%. The company had revenue of $193.49 million for the quarter, compared to analyst estimates of $170.80 million. On average, equities research analysts predict that Merchants Bancorp will post 5.54 earnings per share for the current fiscal year.

Merchants Bancorp Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, January 2nd. Investors of record on Monday, December 15th were paid a dividend of $0.10 per share. This represents a $0.40 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date of this dividend was Monday, December 15th. Merchants Bancorp’s dividend payout ratio (DPR) is currently 10.58%.

Merchants Bancorp announced that its Board of Directors has initiated a share buyback program on Wednesday, January 28th that allows the company to buyback $100.00 million in shares. This buyback authorization allows the company to repurchase up to 6.2% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board believes its shares are undervalued.

Institutional Trading of Merchants Bancorp

A number of hedge funds and other institutional investors have recently bought and sold shares of MBIN. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in shares of Merchants Bancorp by 4.4% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 10,741 shares of the company’s stock worth $397,000 after purchasing an additional 449 shares during the last quarter. Legal & General Group Plc increased its stake in Merchants Bancorp by 3.8% in the 2nd quarter. Legal & General Group Plc now owns 21,677 shares of the company’s stock worth $717,000 after buying an additional 795 shares during the period. PNC Financial Services Group Inc. lifted its holdings in Merchants Bancorp by 3.7% during the 2nd quarter. PNC Financial Services Group Inc. now owns 22,967 shares of the company’s stock valued at $760,000 after buying an additional 811 shares in the last quarter. Ameritas Investment Partners Inc. lifted its holdings in Merchants Bancorp by 44.6% during the 2nd quarter. Ameritas Investment Partners Inc. now owns 2,649 shares of the company’s stock valued at $88,000 after buying an additional 817 shares in the last quarter. Finally, Harbor Capital Advisors Inc. boosted its position in Merchants Bancorp by 12.4% in the 4th quarter. Harbor Capital Advisors Inc. now owns 7,846 shares of the company’s stock valued at $267,000 after buying an additional 865 shares during the period. Hedge funds and other institutional investors own 24.57% of the company’s stock.

Merchants Bancorp Company Profile

Merchants Bancorp (NASDAQ: MBIN) is the bank holding company for Merchants Bank, a regional financial institution headquartered in Buffalo, New York. Through its network of branches and digital platforms, the company offers a range of banking services across western and central New York. Merchants Bancorp operates as a full‐service commercial bank, serving small and medium-sized businesses, professionals, families and individuals in its core markets.

The company’s primary activities include deposit taking, commercial and consumer lending, mortgage origination, and treasury management services.