Mercantile Bank (NASDAQ:MBWM) Reaches New 52-Week High – What’s Next?

Mercantile Bank Corporation (NASDAQ:MBWM) shares hit a new 52-week high on Tuesday . The company traded as high as $60.45 and last traded at $60.2860, with a volume of 59385 shares. The stock had previously closed at $58.62.

Wall Street Analyst Weigh In

MBWM has been the topic of several recent research reports. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Mercantile Bank in a report on Friday, June 12th. Piper Sandler set a $65.00 target price on Mercantile Bank in a research note on Wednesday, July 22nd. Keefe, Bruyette & Woods raised their target price on shares of Mercantile Bank from $60.00 to $64.00 and gave the stock an “outperform” rating in a report on Wednesday, July 22nd. Finally, Hovde Group downgraded shares of Mercantile Bank from an “outperform” rating to a “market perform” rating and set a $62.00 target price on the stock. in a research note on Wednesday, July 22nd. Three analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat.com, Mercantile Bank presently has an average rating of “Hold” and a consensus price target of $60.40.

Mercantile Bank Stock Performance

The business has a fifty day moving average of $55.60 and a 200 day moving average of $53.07. The company has a market cap of $1.04 billion, a P/E ratio of 10.57 and a beta of 0.80. The company has a quick ratio of 0.93, a current ratio of 0.93 and a debt-to-equity ratio of 0.62.

Mercantile Bank (NASDAQ:MBWM) last released its quarterly earnings results on Tuesday, July 21st. The financial services provider reported $1.53 earnings per share for the quarter, beating the consensus estimate of $1.32 by $0.21. The business had revenue of $68.76 million for the quarter, compared to analysts’ expectations of $68.81 million. Mercantile Bank had a net margin of 24.75% and a return on equity of 13.90%. On average, equities analysts predict that Mercantile Bank Corporation will post 5.7 EPS for the current year.

Mercantile Bank Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, September 16th. Stockholders of record on Friday, September 4th will be given a $0.40 dividend. The ex-dividend date of this dividend is Friday, September 4th. This represents a $1.60 annualized dividend and a dividend yield of 2.7%. This is a positive change from Mercantile Bank’s previous quarterly dividend of $0.39. Mercantile Bank’s dividend payout ratio is 27.46%.

Hedge Funds Weigh In On Mercantile Bank

Several hedge funds and other institutional investors have recently modified their holdings of MBWM. Vanguard Group Inc. lifted its holdings in Mercantile Bank by 2.6% in the fourth quarter. Vanguard Group Inc. now owns 1,066,368 shares of the financial services provider’s stock worth $51,292,000 after buying an additional 27,403 shares during the period. Renaissance Technologies LLC grew its holdings in shares of Mercantile Bank by 1.2% during the 4th quarter. Renaissance Technologies LLC now owns 496,213 shares of the financial services provider’s stock worth $23,868,000 after acquiring an additional 5,800 shares during the period. North Star Asset Management Inc. grew its holdings in shares of Mercantile Bank by 5.4% during the 4th quarter. North Star Asset Management Inc. now owns 374,544 shares of the financial services provider’s stock worth $18,016,000 after acquiring an additional 19,204 shares during the period. Wellington Management Group LLP bought a new position in shares of Mercantile Bank in the 4th quarter worth approximately $14,181,000. Finally, Hotchkis & Wiley Capital Management LLC raised its position in shares of Mercantile Bank by 36.9% in the 3rd quarter. Hotchkis & Wiley Capital Management LLC now owns 201,713 shares of the financial services provider’s stock worth $9,077,000 after acquiring an additional 54,373 shares in the last quarter. Hedge funds and other institutional investors own 58.63% of the company’s stock.

Mercantile Bank Company Profile

Mercantile Bank Corporation (NASDAQ: MBWM) is the bank holding company for Mercantile Bank of Michigan, a full-service commercial bank headquartered in Grand Rapids, Michigan. Through its state-chartered subsidiary, the company provides a broad range of financial products and services to small and mid-sized businesses, professionals and consumers across West and Central Michigan.

The bank’s core offerings include deposit products such as checking, savings and money market accounts, alongside commercial and consumer loan portfolios.