Mercantile Bank Corp. ($MBWM) Cautious Buy or Hold to $21 Confident Investor Rating: Fair

Company name Mercantile Bank Corp.
Stock ticker MBWM
Live stock price [stckqut]MBWM[/stckqut]
P/E compared to competitors Fair

MANAGEMENT EXECUTION

Employee productivity Fair
Sales growth Poor
EPS growth Poor
P/E growth Good
EBIT growth Good

ANALYSIS

Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $20.17
Target stock price (averages with growth) $22.85
Target stock price (averages with no growth) $19.06
Target stock price (manual assumptions) $19.89

The following company description is from Google Finance: http://www.google.com/finance?q=mbwm

Mercantile Bank Corporation is a bank holding company. The Company owns Mercantile Bank of Michigan (the Bank). The Bank is a state banking company. The bank, through its seven offices, provides commercial banking services primarily to small-to medium-sized businesses and retail banking services in and around the Grand Rapids, Holland and Lansing areas. The Bank makes secured and unsecured commercial, construction, mortgage and consumer loans, and accepts checking, savings and time deposits. The Bank owns seven automated teller machines (ATM). It also enables customers to conduct certain loan and deposit transactions by telephone and personal computer. Courier service is provided to certain commercial customers, and safe deposit facilities are available at each of its office locations. Effective June 1, 2014, Mercantile Bank Corporation and Firstbank Corp completed their merger and the combined company to operate as Mercantile Bank Corporation.

 

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in Mercantile Bank Corp. as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns.

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How was this analysis of Mercantile Bank Corp. calculated?

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