Hotchkis & Wiley Capital Management LLC Has $5.70 Million Holdings in Mercantile Bank Corporation $MBWM

Key Points

• Hotchkis & Wiley Capital Management LLC increased its stake in Mercantile Bank Corporation by 72.7% in Q1, now holding 131,310 shares valued at approximately $5.70 million.
• Mercantile Bank has announced a quarterly dividend of $0.38 per share, reflecting a yield of 3.1%, up from the previous dividend of $0.37.
• Analysts are optimistic about Mercantile Bank's growth, with an average price target of $55.25 and several firms upgrading their ratings on the stock.

Hotchkis & Wiley Capital Management LLC increased its holdings in shares of Mercantile Bank Corporation (NASDAQ:MBWM - Free Report) by 72.7% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 131,310 shares of the financial services provider's stock after acquiring an additional 55,290 shares during the quarter. Hotchkis & Wiley Capital Management LLC owned about 0.81% of Mercantile Bank worth $5,704,000 as of its most recent SEC filing.

Other institutional investors have also made changes to their positions in the company. Point72 Asia Singapore Pte. Ltd. acquired a new position in shares of Mercantile Bank during the 4th quarter worth approximately $35,000. Point72 Asset Management L.P. acquired a new position in Mercantile Bank in the 4th quarter valued at $102,000. EP Wealth Advisors LLC acquired a new position in Mercantile Bank in the 4th quarter valued at $200,000. Squarepoint Ops LLC acquired a new position in Mercantile Bank in the 4th quarter valued at $211,000. Finally, Cubist Systematic Strategies LLC acquired a new position in Mercantile Bank in the 4th quarter valued at $217,000. 58.63% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

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

Mercantile Bank Trading Down 0.9%

Shares of MBWM traded down $0.46 during mid-day trading on Friday, reaching $49.25. 45,554 shares of the company were exchanged, compared to its average volume of 55,600. Mercantile Bank Corporation has a 52 week low of $37.76 and a 52 week high of $52.98. The company has a debt-to-equity ratio of 0.79, a quick ratio of 0.98 and a current ratio of 0.98. The stock has a market capitalization of $800.26 million, a PE ratio of 9.77 and a beta of 0.95. The business has a 50 day simple moving average of $47.43 and a two-hundred day simple moving average of $45.19.

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

Mercantile Bank Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 17th. Investors of record on Friday, September 5th will be paid a dividend of $0.38 per share. This is an increase from Mercantile Bank's previous quarterly dividend of $0.37. This represents a $1.52 annualized dividend and a yield of 3.1%. The ex-dividend date of this dividend is Friday, September 5th. Mercantile Bank's payout ratio is 30.16%.

About Mercantile Bank

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.