Mercantile Bank (NASDAQ:MBWM) Hits New 12-Month High – Should You Buy?

Shares of Mercantile Bank Corporation (NASDAQ:MBWM) reached a new 52-week high on Wednesday . The stock traded as high as $55.81 and last traded at $55.7460, with a volume of 36008 shares traded. The stock had previously closed at $54.91.

Wall Street Analyst Weigh In

MBWM has been the topic of a number of research analyst reports. Stephens began coverage on shares of Mercantile Bank in a report on Wednesday, March 25th. They set an “equal weight” rating and a $54.00 price objective on the stock. Weiss Ratings reiterated a “buy (b)” rating on shares of Mercantile Bank in a research note on Friday, June 12th. Finally, Wall Street Zen raised shares of Mercantile Bank to a “hold” rating in a research report on Saturday, March 28th. Four investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $56.20.

Mercantile Bank Price Performance

The company has a quick ratio of 0.93, a current ratio of 0.93 and a debt-to-equity ratio of 0.62. The firm has a market capitalization of $962.54 million, a price-to-earnings ratio of 10.01 and a beta of 0.81. The company has a fifty day moving average price of $52.44 and a two-hundred day moving average price of $51.40.

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

Mercantile Bank Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, June 17th. Shareholders of record on Friday, June 5th were given a dividend of $0.39 per share. This represents a $1.56 dividend on an annualized basis and a yield of 2.8%. The ex-dividend date of this dividend was Friday, June 5th. Mercantile Bank’s dividend payout ratio (DPR) is presently 28.01%.

Institutional Investors Weigh In On Mercantile Bank

Several large investors have recently modified their holdings of the stock. Kestra Advisory Services LLC purchased a new position in Mercantile Bank in the 4th quarter valued at $26,000. Quadrant Capital Group LLC boosted its holdings in shares of Mercantile Bank by 63.8% in the fourth quarter. Quadrant Capital Group LLC now owns 891 shares of the financial services provider’s stock valued at $43,000 after acquiring an additional 347 shares in the last quarter. PNC Financial Services Group Inc. increased its stake in shares of Mercantile Bank by 29.9% during the first quarter. PNC Financial Services Group Inc. now owns 1,682 shares of the financial services provider’s stock worth $85,000 after acquiring an additional 387 shares during the period. Aquatic Capital Management LLC raised its holdings in Mercantile Bank by 94.9% during the third quarter. Aquatic Capital Management LLC now owns 3,235 shares of the financial services provider’s stock worth $146,000 after purchasing an additional 1,575 shares in the last quarter. Finally, Quantbot Technologies LP raised its holdings in Mercantile Bank by 251.9% during the second quarter. Quantbot Technologies LP now owns 4,370 shares of the financial services provider’s stock worth $203,000 after purchasing an additional 3,128 shares in the last quarter. Hedge funds and other institutional investors own 58.63% of the company’s stock.

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.