Mercantile Bank (NASDAQ:MBWM) Stock Crosses Above 200 Day Moving Average – Should You Sell?

Mercantile Bank Corporation (NASDAQ:MBWM) shares crossed above its two hundred day moving average during trading on Friday . The stock has a two hundred day moving average of $53.93 and traded as high as $61.70. Mercantile Bank shares last traded at $61.56, with a volume of 78,647 shares changing hands.

Wall Street Analysts Forecast Growth

Several research firms have recently weighed in on MBWM. Keefe, Bruyette & Woods upped their price target 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. Hovde Group lowered Mercantile Bank from an “outperform” rating to a “market perform” rating and set a $62.00 price objective for the company. in a research note on Wednesday, July 22nd. Piper Sandler set a $65.00 target price on Mercantile Bank in a research report on Wednesday, July 22nd. Finally, Weiss Ratings restated a “buy (b)” rating on shares of Mercantile Bank in a research note on Friday, June 12th. Three analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $60.40.

Mercantile Bank Trading Up 0.3%

The firm has a market capitalization of $1.06 billion, a P/E ratio of 10.84 and a beta of 0.79. The company has a quick ratio of 0.93, a current ratio of 0.93 and a debt-to-equity ratio of 0.59. The firm’s 50-day simple moving average is $57.66 and its 200-day simple moving average is $53.93.

Mercantile Bank (NASDAQ:MBWM) last released its quarterly earnings results on Tuesday, July 21st. The financial services provider reported $1.53 EPS for the quarter, topping analysts’ consensus estimates of $1.32 by $0.21. The business had revenue of $68.76 million during 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 13.66%. Analysts anticipate 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. Investors of record on Friday, September 4th will be given a $0.40 dividend. This represents a $1.60 annualized dividend and a yield of 2.6%. This is a boost from Mercantile Bank’s previous quarterly dividend of $0.39. The ex-dividend date is Friday, September 4th. Mercantile Bank’s dividend payout ratio (DPR) is presently 27.46%.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the company. Man Group plc bought a new stake in Mercantile Bank during the second quarter worth about $1,144,000. Jupiter Topco LLC purchased a new position in shares of Mercantile Bank in the 2nd quarter worth about $387,000. Canada Pension Plan Investment Board bought a new position in shares of Mercantile Bank during the 2nd quarter valued at about $683,000. Legal & General Group Plc bought a new position in shares of Mercantile Bank during the 2nd quarter valued at about $732,000. Finally, The Manufacturers Life Insurance Company purchased a new position in shares of Mercantile Bank during the 2nd quarter valued at about $258,000. 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.