Mercantile Bank (NASDAQ:MBWM) Shares Up 16.2% – Still a Buy?

Mercantile Bank Co. (NASDAQ:MBWMGet Free Report) rose 16.2% on Wednesday . The stock traded as high as $51.02 and last traded at $51.02. Approximately 22,038 shares were traded during trading, a decline of 68% from the average daily volume of 68,069 shares. The stock had previously closed at $43.90.

Analysts Set New Price Targets

MBWM has been the subject of a number of research analyst reports. Piper Sandler upped their price objective on shares of Mercantile Bank from $42.00 to $53.00 and gave the company a “neutral” rating in a research note on Wednesday, July 17th. Keefe, Bruyette & Woods reaffirmed an “outperform” rating and set a $51.00 price target (up previously from $47.00) on shares of Mercantile Bank in a research report on Wednesday, July 17th.

Read Our Latest Report on Mercantile Bank

Mercantile Bank Stock Performance

The stock’s 50-day moving average is $43.73 and its 200-day moving average is $41.78. The company has a current ratio of 1.02, a quick ratio of 1.02 and a debt-to-equity ratio of 0.95. The stock has a market cap of $825.72 million, a price-to-earnings ratio of 10.27 and a beta of 0.95.

Mercantile Bank (NASDAQ:MBWMGet Free Report) last issued its earnings results on Tuesday, October 15th. The financial services provider reported $1.22 EPS for the quarter, beating analysts’ consensus estimates of $1.18 by $0.04. Mercantile Bank had a net margin of 22.77% and a return on equity of 14.59%. The business had revenue of $93.08 million for the quarter, compared to the consensus estimate of $56.83 million. During the same quarter last year, the firm posted $1.30 EPS. On average, analysts expect that Mercantile Bank Co. will post 4.87 EPS for the current year.

Mercantile Bank Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, December 18th. Investors of record on Friday, December 6th will be given a dividend of $0.36 per share. This represents a $1.44 annualized dividend and a yield of 2.81%. The ex-dividend date of this dividend is Friday, December 6th. Mercantile Bank’s dividend payout ratio (DPR) is presently 28.92%.

Insider Activity

In related news, Director Michael H. Price sold 5,000 shares of the business’s stock in a transaction dated Monday, August 26th. The stock was sold at an average price of $45.57, for a total value of $227,850.00. Following the transaction, the director now owns 21,556 shares in the company, valued at approximately $982,306.92. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Over the last three months, insiders sold 5,500 shares of company stock worth $248,920. 3.08% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in MBWM. Principal Financial Group Inc. lifted its stake in Mercantile Bank by 3.7% during the third quarter. Principal Financial Group Inc. now owns 8,611 shares of the financial services provider’s stock worth $376,000 after purchasing an additional 304 shares during the last quarter. Allspring Global Investments Holdings LLC lifted its holdings in Mercantile Bank by 9.2% in the first quarter. Allspring Global Investments Holdings LLC now owns 4,660 shares of the financial services provider’s stock worth $179,000 after acquiring an additional 392 shares during the last quarter. CWM LLC grew its holdings in shares of Mercantile Bank by 16.1% during the third quarter. CWM LLC now owns 3,249 shares of the financial services provider’s stock valued at $142,000 after purchasing an additional 450 shares during the last quarter. Semanteon Capital Management LP raised its position in shares of Mercantile Bank by 10.1% during the 3rd quarter. Semanteon Capital Management LP now owns 5,751 shares of the financial services provider’s stock worth $251,000 after purchasing an additional 528 shares during the period. Finally, Rhumbline Advisers boosted its position in Mercantile Bank by 2.7% during the 2nd quarter. Rhumbline Advisers now owns 25,321 shares of the financial services provider’s stock valued at $1,027,000 after purchasing an additional 655 shares during the period. 58.63% of the stock is owned by institutional investors and hedge funds.

About Mercantile Bank

(Get Free Report)

Mercantile Bank Corporation operates as the bank holding company for Mercantile Bank of Michigan that provides commercial and retail banking services to small- to medium-sized businesses and individuals in the United States. It accepts various deposit products, including checking, savings, and term certificate accounts; time deposits; and certificates of deposit.

Featured Stories

Receive News & Ratings for Mercantile Bank Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Mercantile Bank and related companies with MarketBeat.com's FREE daily email newsletter.