Goldman Sachs Group Inc. Sells 31,452 Shares of Mercantile Bank Corporation $MBWM

Key Points

• Goldman Sachs Group Inc. reduced its stake in Mercantile Bank Corporation by 24.6%, selling 31,452 shares, and now owns approximately 96,275 shares valued at around $4.18 million.
• Mercantile Bank recently reported earnings of $1.39 per share, exceeding analyst estimates, with revenues reaching $60.90 million for the quarter.
• The company has increased its quarterly dividend to $0.38, resulting in an annualized dividend of $1.52 and a yield of 3.2%.

Goldman Sachs Group Inc. cut its position in Mercantile Bank Corporation (NASDAQ:MBWM - Free Report) by 24.6% in the 1st quarter, according to its most recent disclosure with the SEC. The fund owned 96,275 shares of the financial services provider's stock after selling 31,452 shares during the period. Goldman Sachs Group Inc. owned approximately 0.59% of Mercantile Bank worth $4,182,000 as of its most recent SEC filing.

Other large investors have also bought and sold shares of the company. Virtus Advisers LLC purchased a new position in Mercantile Bank in the first quarter worth about $39,000. Point72 Asset Management L.P. purchased a new position in Mercantile Bank in the fourth quarter worth about $102,000. Squarepoint Ops LLC purchased a new position in Mercantile Bank in the fourth quarter worth about $211,000. EntryPoint Capital LLC purchased a new position in Mercantile Bank in the first quarter worth about $223,000. Finally, EP Wealth Advisors LLC raised its holdings in Mercantile Bank by 14.4% in the first quarter. EP Wealth Advisors LLC now owns 5,151 shares of the financial services provider's stock worth $224,000 after buying an additional 650 shares during the last quarter. 58.63% of the stock is owned by hedge funds and other institutional investors.

Mercantile Bank Price Performance

Shares of MBWM traded down $1.29 during mid-day trading on Friday, reaching $47.00. The stock had a trading volume of 157,585 shares, compared to its average volume of 67,628. The firm has a market cap of $763.70 million, a price-to-earnings ratio of 9.33 and a beta of 0.95. Mercantile Bank Corporation has a 12 month low of $37.76 and a 12 month high of $52.98. The business has a fifty day moving average of $47.56 and a 200 day moving average of $45.24. The company has a debt-to-equity ratio of 0.79, a quick ratio of 0.98 and a current ratio of 0.98.

Mercantile Bank (NASDAQ:MBWM - Get Free Report) last posted its quarterly earnings results on Tuesday, July 22nd. The financial services provider reported $1.39 earnings per share for the quarter, topping analysts' consensus estimates of $1.23 by $0.16. The business had revenue of $60.90 million during the quarter, compared to analyst estimates of $60.02 million. Mercantile Bank had a net margin of 22.11% and a return on equity of 13.52%. Equities analysts predict that Mercantile Bank Corporation will post 4.83 EPS for the current year.

Mercantile Bank Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, September 17th. Investors of record on Friday, September 5th were given a dividend of $0.38 per share. This is a positive change from Mercantile Bank's previous quarterly dividend of $0.37. This represents a $1.52 dividend on an annualized basis and a dividend yield of 3.2%. The ex-dividend date was Friday, September 5th. Mercantile Bank's dividend payout ratio (DPR) is currently 30.16%.

Analysts Set New Price Targets

Several research analysts have issued reports on the stock. Piper Sandler lifted their target price on shares of Mercantile Bank from $47.50 to $56.00 and gave the stock a "neutral" rating in a report on Wednesday, July 23rd. Raymond James Financial raised shares of Mercantile Bank from a "market perform" rating to an "outperform" rating and set a $55.00 price objective for the company in a report on Thursday, July 24th. Finally, Keefe, Bruyette & Woods boosted their price objective on shares of Mercantile Bank from $53.00 to $56.00 and gave the company an "outperform" rating in a report on Wednesday, July 23rd. Three equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average price target of $55.25.

Mercantile Bank Profile

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.