Mercantile Bank (NASDAQ:MBWM) Releases Earnings Results, Beats Estimates By $0.03 EPS

Mercantile Bank (NASDAQ:MBWM) issued its quarterly earnings data on Tuesday. The financial services provider reported $1.40 earnings per share for the quarter, topping analysts’ consensus estimates of $1.37 by $0.03, Zacks reports. The business had revenue of $62.07 million during the quarter, compared to analysts’ expectations of $62.25 million. Mercantile Bank had a net margin of 23.05% and a return on equity of 13.78%.

Mercantile Bank Stock Down 0.4%

MBWM stock opened at $50.24 on Tuesday. Mercantile Bank has a twelve month low of $37.76 and a twelve month high of $51.89. The company has a quick ratio of 0.97, a current ratio of 0.98 and a debt-to-equity ratio of 0.74. The company has a market cap of $816.40 million, a PE ratio of 9.52 and a beta of 0.89. The business’s 50-day simple moving average is $47.76 and its 200 day simple moving average is $47.04.

Wall Street Analyst Weigh In

Several research analysts recently commented on the stock. Weiss Ratings reiterated a “buy (b-)” rating on shares of Mercantile Bank in a report on Monday, December 29th. Hovde Group raised their price target on Mercantile Bank from $53.00 to $56.00 and gave the company an “outperform” rating in a research report on Thursday, December 18th. Raymond James Financial lifted their price objective on Mercantile Bank from $52.00 to $54.00 and gave the stock an “outperform” rating in a research note on Wednesday, January 7th. Zacks Research downgraded Mercantile Bank from a “strong-buy” rating to a “hold” rating in a research note on Monday, September 22nd. Finally, Piper Sandler reaffirmed a “neutral” rating and issued a $55.50 target price on shares of Mercantile Bank in a report on Thursday, January 8th. Four investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $55.38.

Insider Buying and Selling

In other news, Director Nelson F. Sanchez acquired 1,000 shares of Mercantile Bank stock in a transaction on Friday, October 31st. The stock was bought at an average price of $43.50 per share, for a total transaction of $43,500.00. Following the transaction, the director owned 3,502 shares of the company’s stock, valued at $152,337. The trade was a 39.97% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is accessible through this link. 3.20% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of MBWM. Comerica Bank increased its holdings in Mercantile Bank by 27.2% in the 3rd quarter. Comerica Bank now owns 8,162 shares of the financial services provider’s stock valued at $367,000 after buying an additional 1,743 shares during the period. Russell Investments Group Ltd. increased its stake in Mercantile Bank by 8.8% in the third quarter. Russell Investments Group Ltd. now owns 7,849 shares of the financial services provider’s stock valued at $353,000 after acquiring an additional 635 shares during the period. Intech Investment Management LLC raised its position in Mercantile Bank by 9.9% in the third quarter. Intech Investment Management LLC now owns 7,539 shares of the financial services provider’s stock worth $339,000 after purchasing an additional 679 shares in the last quarter. Zacks Investment Management raised its position in Mercantile Bank by 7.1% in the third quarter. Zacks Investment Management now owns 7,451 shares of the financial services provider’s stock worth $335,000 after purchasing an additional 497 shares in the last quarter. Finally, Federated Hermes Inc. lifted its stake in Mercantile Bank by 4.5% during the second quarter. Federated Hermes Inc. now owns 7,178 shares of the financial services provider’s stock worth $333,000 after purchasing an additional 309 shares during the period. 58.63% of the stock is currently owned by institutional investors and hedge funds.

About Mercantile Bank

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.