Piper Sandler has revised its price target for Mercantile Bank (MBWM, Financial), lowering it to $47.50 from the previous estimate of $50. Despite the adjustment, the firm maintains a Neutral rating on the bank's shares. This decision comes on the heels of what Piper Sandler considers another robust quarter for Mercantile Bank.
The financial firm highlights the bank's 2% increase in pre-provision net revenue (PPNR), which was supported by a solid expansion in net interest margins and effectively managed operating expenses. These factors contribute to a positive outlook for Mercantile Bank's performance.
Piper Sandler continues to hold a favorable view of Mercantile Bank's credit stability and superior profitability, suggesting that these attributes justify a slight premium compared to its industry peers, despite the bank's asset-sensitive balance sheet.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 4 analysts, the average target price for Mercantile Bank Corp (MBWM, Financial) is $50.13 with a high estimate of $53.00 and a low estimate of $47.50. The average target implies an upside of 20.29% from the current price of $41.67. More detailed estimate data can be found on the Mercantile Bank Corp (MBWM) Forecast page.
Based on the consensus recommendation from 5 brokerage firms, Mercantile Bank Corp's (MBWM, Financial) average brokerage recommendation is currently 2.6, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Mercantile Bank Corp (MBWM, Financial) in one year is $42.67, suggesting a upside of 2.4% from the current price of $41.67. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Mercantile Bank Corp (MBWM) Summary page.
