Mercantile Bank (NASDAQ:MBWM) Reaches New 12-Month High – Here’s Why

Mercantile Bank Corporation (NASDAQ:MBWM) shares reached a new 52-week high on Friday . The stock traded as high as $62.42 and last traded at $61.3230, with a volume of 2761 shares. The stock had previously closed at $60.33.

Wall Street Analyst Weigh In

MBWM has been the topic of several research analyst reports. Raymond James Financial began coverage on shares of Mercantile Bank in a research report on Tuesday, September 1st. They set an “outperform” rating and a $65.00 price target on the stock. Hovde Group cut Mercantile Bank from an “outperform” rating to a “market perform” rating and set a $62.00 price objective on the stock. in a research note on Wednesday, July 22nd. Keefe, Bruyette & Woods upped their price objective on Mercantile Bank from $60.00 to $64.00 and gave the company an “outperform” rating in a research note on Wednesday, July 22nd. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Mercantile Bank in a report on Wednesday. Finally, Piper Sandler set a $65.00 target price on Mercantile Bank in a research report on Wednesday, July 22nd. Three equities research analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of “Hold” and a consensus target price of $62.00.

Mercantile Bank Stock Up 0.0%

The stock’s fifty day simple moving average is $59.67 and its two-hundred day simple moving average is $54.89. The company has a debt-to-equity ratio of 0.59, a current ratio of 0.93 and a quick ratio of 0.93. The company has a market capitalization of $1.06 billion, a price-to-earnings ratio of 10.80 and a beta of 0.80.

Mercantile Bank (NASDAQ:MBWM) last posted its quarterly earnings results on Tuesday, July 21st. The financial services provider reported $1.53 EPS for the quarter, beating the consensus estimate of $1.32 by $0.21. Mercantile Bank had a net margin of 24.75% and a return on equity of 13.66%. The business had revenue of $68.76 million during the quarter, compared to analyst estimates of $68.81 million. On average, sell-side analysts predict that Mercantile Bank Corporation will post 5.69 earnings per share for the current fiscal year.

Mercantile Bank Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 16th. Shareholders of record on Friday, September 4th will be issued a $0.40 dividend. This is an increase from Mercantile Bank’s previous quarterly dividend of $0.39. This represents a $1.60 dividend on an annualized basis and a yield of 2.6%. The ex-dividend date of this dividend is Friday, September 4th. Mercantile Bank’s dividend payout ratio is 28.17%.

Hedge Funds Weigh In On Mercantile Bank

Several institutional investors have recently made changes to their positions in MBWM. Royal Bank of Canada lifted its holdings in shares of Mercantile Bank by 5.6% in the 1st quarter. Royal Bank of Canada now owns 68,824 shares of the financial services provider’s stock worth $2,989,000 after purchasing an additional 3,621 shares during the last quarter. AQR Capital Management LLC grew its stake in Mercantile Bank by 21.2% during the 1st quarter. AQR Capital Management LLC now owns 92,045 shares of the financial services provider’s stock worth $3,998,000 after buying an additional 16,092 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in Mercantile Bank by 4.3% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 9,360 shares of the financial services provider’s stock worth $407,000 after buying an additional 382 shares during the period. Empowered Funds LLC increased its position in Mercantile Bank by 4.1% in the first quarter. Empowered Funds LLC now owns 57,731 shares of the financial services provider’s stock worth $2,508,000 after buying an additional 2,255 shares during the period. Finally, Jane Street Group LLC lifted its stake in Mercantile Bank by 21.0% in the first quarter. Jane Street Group LLC now owns 15,952 shares of the financial services provider’s stock valued at $693,000 after buying an additional 2,772 shares during the last quarter. 58.63% of the stock is owned by institutional investors.

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.