Mercantile Bank Corporation (NASDAQ:MBWM) Receives Consensus Rating of “Hold” from Brokerages

Shares of Mercantile Bank Corporation (NASDAQ:MBWM) have earned an average recommendation of “Hold” from the seven analysts that are covering the firm, Marketbeat reports. Four analysts have rated the stock with a hold rating and three have given a buy rating to the company. The average 1-year price objective among brokers that have updated their coverage on the stock in the last year is $60.40.

A number of analysts have recently commented on the company. Keefe, Bruyette & Woods boosted their price objective on Mercantile Bank from $60.00 to $64.00 and gave the stock an “outperform” rating in a research note on Wednesday, July 22nd. Hovde Group lowered Mercantile Bank from an “outperform” rating to a “market perform” rating and set a $62.00 target price on the stock. in a report on Wednesday, July 22nd. Piper Sandler set a $65.00 price target on shares of Mercantile Bank in a research report on Wednesday, July 22nd. Finally, Weiss Ratings reiterated a “buy (b)” rating on shares of Mercantile Bank in a research report on Friday, June 12th.

Mercantile Bank Price Performance

Shares of NASDAQ:MBWM opened at $60.43 on Thursday. Mercantile Bank has a 12 month low of $42.75 and a 12 month high of $61.83. The stock has a market cap of $1.04 billion, a price-to-earnings ratio of 10.64 and a beta of 0.80. The stock’s 50 day moving average price is $55.60 and its 200 day moving average price is $53.07. The company has a debt-to-equity ratio of 0.62, a current ratio of 0.93 and a quick ratio of 0.93.

Mercantile Bank (NASDAQ:MBWM) last released its earnings results on Tuesday, July 21st. The financial services provider reported $1.53 earnings per share for the quarter, topping analysts’ consensus estimates of $1.32 by $0.21. The firm had revenue of $68.76 million during the quarter, compared to the consensus estimate of $68.81 million. Mercantile Bank had a return on equity of 13.90% and a net margin of 24.75%. Equities research analysts anticipate that Mercantile Bank will post 5.7 earnings per share for the current fiscal year.

Mercantile Bank Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 16th. Stockholders of record on Friday, September 4th will be paid 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 2.6%. This is an increase from Mercantile Bank’s previous quarterly dividend of $0.39. Mercantile Bank’s dividend payout ratio is presently 27.46%.

Institutional Trading of Mercantile Bank

Several institutional investors and hedge funds have recently added to or reduced their stakes in MBWM. Wellington Management Group LLP bought a new stake in Mercantile Bank during the fourth quarter worth approximately $14,181,000. JPMorgan Chase & Co. lifted its position in shares of Mercantile Bank by 73.1% during the 2nd quarter. JPMorgan Chase & Co. now owns 155,904 shares of the financial services provider’s stock valued at $7,236,000 after acquiring an additional 65,823 shares during the last quarter. Siena Capital Partners GP LLC lifted its position in shares of Mercantile Bank by 319.8% during the 4th quarter. Siena Capital Partners GP LLC now owns 83,966 shares of the financial services provider’s stock valued at $4,039,000 after acquiring an additional 63,966 shares during the last quarter. Hotchkis & Wiley Capital Management LLC boosted its stake in shares of Mercantile Bank by 36.9% during 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. Finally, Elizabeth Park Capital Advisors Ltd. bought a new stake in shares of Mercantile Bank during the 4th quarter worth $2,452,000. 58.63% of the stock is owned by institutional investors and hedge funds.

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.