Vanguard Group Inc. Purchases 147,299 Shares of Mercantile Bank Corporation $MBWM

Key Points

• Vanguard Group Inc. has increased its stake in Mercantile Bank Corporation by 16.9%, owning approximately 6.26% of the company worth around $44.2 million following the addition of over 147,000 shares in the first quarter.
• Mercantile Bank recently reported earnings per share of $1.39, exceeding analysts' expectations, and announced a dividend increase to $0.38 per share, marking a yield of 3.1%.
• Several analysts have raised their price targets for Mercantile Bank, with an average price target of $55.25 and a consensus rating of "Moderate Buy."

Vanguard Group Inc. raised its position in Mercantile Bank Corporation (NASDAQ:MBWM - Free Report) by 16.9% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 1,017,076 shares of the financial services provider's stock after purchasing an additional 147,299 shares during the quarter. Vanguard Group Inc. owned 6.26% of Mercantile Bank worth $44,182,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds also recently made changes to their positions in the stock. Well Done LLC increased its stake in shares of Mercantile Bank by 4.5% in the first quarter. Well Done LLC now owns 6,391 shares of the financial services provider's stock valued at $284,000 after buying an additional 277 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in Mercantile Bank by 3.6% in the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 8,978 shares of the financial services provider's stock valued at $399,000 after acquiring an additional 313 shares during the period. Principal Financial Group Inc. grew its stake in Mercantile Bank by 3.6% in the first quarter. Principal Financial Group Inc. now owns 9,675 shares of the financial services provider's stock valued at $420,000 after acquiring an additional 340 shares during the period. Envestnet Asset Management Inc. grew its stake in Mercantile Bank by 0.8% in the first quarter. Envestnet Asset Management Inc. now owns 57,603 shares of the financial services provider's stock valued at $2,502,000 after acquiring an additional 446 shares during the period. Finally, Point72 Asia Singapore Pte. Ltd. bought a new position in shares of Mercantile Bank in the fourth quarter valued at approximately $35,000. Institutional investors and hedge funds own 58.63% of the company's stock.

Wall Street Analysts Forecast Growth

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

Mercantile Bank Trading Down 0.2%

NASDAQ MBWM traded down $0.11 on Thursday, hitting $49.71. The company's stock had a trading volume of 58,422 shares, compared to its average volume of 59,393. The company has a current ratio of 0.98, a quick ratio of 0.98 and a debt-to-equity ratio of 0.79. Mercantile Bank Corporation has a 52-week low of $37.76 and a 52-week high of $52.98. The firm has a market cap of $807.79 million, a P/E ratio of 9.86 and a beta of 0.92. The company's 50-day simple moving average is $47.32 and its 200 day simple moving average is $45.27.

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

Mercantile Bank Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, September 17th. Stockholders of record on Friday, September 5th will be given a $0.38 dividend. The ex-dividend date of this dividend is Friday, September 5th. This represents a $1.52 annualized dividend and a dividend yield of 3.1%. This is an increase from Mercantile Bank's previous quarterly dividend of $0.37. Mercantile Bank's dividend payout ratio is currently 29.37%.

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.