Merchants Bancorp (NASDAQ:MBIN) Posts Quarterly Earnings Results, Beats Expectations By $0.67 EPS

Key Points

• Merchants Bancorp beat quarterly expectations: The company reported EPS of $2.06, exceeding the $1.39 consensus estimate by $0.67, while revenue of $224.94 million also surpassed expectations.
• Shares traded lower after the results: MBIN fell $0.59 to $49.13 during midday trading. The stock has traded between $30.37 and $56.87 over the past year and currently carries a market capitalization of approximately $2.26 billion.
• Analyst sentiment remains cautious: Despite two Buy ratings, three analysts rate the stock Hold, resulting in an average rating of “Hold” and an average price target of $55.25. The company also pays a quarterly dividend of $0.11 per share, yielding about 0.9%.

Merchants Bancorp (NASDAQ:MBIN - Get Free Report) announced its quarterly earnings results on Wednesday. The company reported $2.06 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.39 by $0.67, FiscalAI reports. Merchants Bancorp had a return on equity of 15.29% and a net margin of 19.80%. The business had revenue of $224.94 million for the quarter, compared to the consensus estimate of $182.95 million.

Merchants Bancorp Stock Performance

Shares of NASDAQ MBIN traded down $0.59 during midday trading on Wednesday, hitting $49.13. 145,965 shares of the company's stock were exchanged, compared to its average volume of 219,412. Merchants Bancorp has a twelve month low of $30.37 and a twelve month high of $56.87. The firm has a market cap of $2.26 billion, a P/E ratio of 9.87 and a beta of 1.21. The stock's 50 day moving average price is $51.26 and its 200-day moving average price is $47.26. The company has a debt-to-equity ratio of 2.32, a current ratio of 1.21 and a quick ratio of 0.89.

Merchants Bancorp Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Tuesday, September 15th were given a dividend of $0.11 per share. The ex-dividend date was Tuesday, September 15th. This represents a $0.44 annualized dividend and a dividend yield of 0.9%. Merchants Bancorp's payout ratio is currently 8.84%.

Wall Street Analysts Forecast Growth

Several brokerages have weighed in on MBIN. Piper Sandler dropped their target price on Merchants Bancorp from $64.00 to $63.00 and set an "overweight" rating on the stock in a research report on Monday, October 5th. Raymond James Financial cut Merchants Bancorp from an "outperform" rating to a "market perform" rating in a research note on Wednesday, July 1st. Weiss Ratings reissued a "buy (b-)" rating on shares of Merchants Bancorp in a report on Friday, July 31st. Zacks Research lowered shares of Merchants Bancorp from a "strong-buy" rating to a "hold" rating in a research report on Monday, September 28th. Finally, Morgan Stanley set a $65.00 price target on shares of Merchants Bancorp and gave the stock an "equal weight" rating in a research report on Tuesday, September 8th. Two research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and an average price target of $55.25.

Insider Buying and Selling

In other Merchants Bancorp news, Director Julia Kaercher sold 9,000 shares of the business's stock in a transaction on Thursday, July 30th. The stock was sold at an average price of $55.20, for a total transaction of $496,800.00. Following the completion of the transaction, the director owned 727,103 shares in the company, valued at approximately $40,136,085.60. The trade was a 1.22% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. 44.90% of the stock is currently owned by corporate insiders.

Merchants Bancorp Company Profile

Merchants Bancorp is a diversified financial holding company headquartered in Carmel, Indiana. Through its principal subsidiary, Merchants Bank of Indiana, the company provides banking, mortgage banking and healthcare finance services to businesses, institutions and other clients.

The company's mortgage banking operations offer financing and related services for multifamily and healthcare properties, including loans for apartment communities, senior housing and other specialized real estate.

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