Mercantile Bank Corporation (NASDAQ:MBWM) Receives Average Recommendation of “Moderate Buy” from Brokerages

Mercantile Bank Corporation (NASDAQ:MBWM) has been given an average rating of “Moderate Buy” by the seven analysts that are presently covering the stock, Marketbeat Ratings reports. Three analysts have rated the stock with a hold rating and four have given a buy rating to the company. The average 12-month target price among brokers that have issued a report on the stock in the last year is $56.20.

Several equities research analysts recently weighed in on MBWM shares. Keefe, Bruyette & Woods raised their price target on shares of Mercantile Bank from $56.00 to $57.00 and gave the company an “outperform” rating in a research report on Wednesday, January 21st. Piper Sandler set a $57.00 price target on shares of Mercantile Bank in a research note on Wednesday, January 21st. Raymond James Financial set a $57.00 price target on shares of Mercantile Bank in a research note on Wednesday, January 21st. Stephens assumed coverage on shares of Mercantile Bank in a research report on Wednesday, March 25th. They set an “equal weight” rating and a $54.00 price objective on the stock. Finally, Wall Street Zen upgraded shares of Mercantile Bank to a “hold” rating in a research report on Saturday, March 28th.

Institutional Trading of Mercantile Bank

Several institutional investors and hedge funds have recently modified their holdings of MBWM. Wellington Management Group LLP bought a new stake in shares of Mercantile Bank during the 4th quarter valued at $14,181,000. JPMorgan Chase & Co. increased its holdings in Mercantile Bank by 73.1% in 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 increased its holdings in Mercantile Bank by 319.8% in 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 increased its holdings in 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 valued at $9,077,000 after acquiring an additional 54,373 shares during the last quarter. Finally, Elizabeth Park Capital Advisors Ltd. bought a new stake in Mercantile Bank in the 4th quarter valued at $2,452,000. 58.63% of the stock is currently owned by institutional investors.

Mercantile Bank Price Performance

Shares of NASDAQ MBWM opened at $49.87 on Friday. The company has a market capitalization of $861.25 million, a price-to-earnings ratio of 8.95 and a beta of 0.81. The company has a debt-to-equity ratio of 0.62, a quick ratio of 0.93 and a current ratio of 0.93. The company has a 50 day simple moving average of $51.16 and a two-hundred day simple moving average of $49.88. Mercantile Bank has a fifty-two week low of $42.17 and a fifty-two week high of $55.77.

Mercantile Bank (NASDAQ:MBWM) last announced its quarterly earnings results on Tuesday, April 21st. The financial services provider reported $1.46 earnings per share for the quarter, beating the consensus estimate of $1.33 by $0.13. The company had revenue of $67.59 million during the quarter, compared to the consensus estimate of $67.41 million. Mercantile Bank had a net margin of 24.19% and a return on equity of 13.73%. Analysts expect that Mercantile Bank will post 5.63 EPS for the current fiscal year.

Mercantile Bank Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 17th. Stockholders of record on Friday, June 5th will be given a dividend of $0.39 per share. This represents a $1.56 annualized dividend and a dividend yield of 3.1%. The ex-dividend date is Friday, June 5th. Mercantile Bank’s dividend payout ratio (DPR) is presently 28.01%.

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.