Merchants Bancorp (NASDAQ:MBIN) Shares Gap Up – Here’s Why

Merchants Bancorp (NASDAQ:MBIN)’s stock price gapped up prior to trading on Monday . The stock had previously closed at $37.04, but opened at $37.79. Merchants Bancorp shares last traded at $37.30, with a volume of 18,477 shares traded.

Analyst Ratings Changes

Several research firms recently commented on MBIN. Piper Sandler boosted their target price on Merchants Bancorp from $52.50 to $56.50 and gave the stock an “overweight” rating in a research note on Thursday, January 30th. Raymond James restated an “outperform” rating and set a $53.00 target price (up from $50.00) on shares of Merchants Bancorp in a research note on Thursday, January 30th. Finally, Morgan Stanley reduced their target price on shares of Merchants Bancorp from $47.00 to $45.00 and set an “equal weight” rating on the stock in a report on Thursday, March 13th.

Merchants Bancorp Price Performance

The stock has a fifty day simple moving average of $40.22 and a 200-day simple moving average of $40.37. The company has a market capitalization of $1.71 billion, a PE ratio of 5.92 and a beta of 1.16. The company has a current ratio of 1.15, a quick ratio of 0.85 and a debt-to-equity ratio of 2.40.

Merchants Bancorp (NASDAQ:MBIN) last posted its earnings results on Monday, February 3rd. The company reported $1.85 earnings per share for the quarter, topping the consensus estimate of $1.27 by $0.58. Merchants Bancorp had a return on equity of 22.86% and a net margin of 22.08%. Equities analysts anticipate that Merchants Bancorp will post 5.54 earnings per share for the current year.

Merchants Bancorp Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, April 1st. Investors of record on Friday, March 14th will be given a $0.10 dividend. This represents a $0.40 dividend on an annualized basis and a dividend yield of 1.07%. This is an increase from Merchants Bancorp’s previous quarterly dividend of $0.09. The ex-dividend date is Friday, March 14th. Merchants Bancorp’s dividend payout ratio (DPR) is 6.34%.

Insider Activity at Merchants Bancorp

In other Merchants Bancorp news, insider Scott A. Evans sold 25,000 shares of the firm’s stock in a transaction dated Wednesday, January 29th. The stock was sold at an average price of $43.10, for a total transaction of $1,077,500.00. Following the transaction, the insider now owns 27,606 shares of the company’s stock, valued at approximately $1,189,818.60. This trade represents a 47.52 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 39.70% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Merchants Bancorp

A number of institutional investors and hedge funds have recently added to or reduced their stakes in MBIN. Kestra Investment Management LLC purchased a new position in shares of Merchants Bancorp during the fourth quarter worth about $25,000. Cubist Systematic Strategies LLC acquired a new position in Merchants Bancorp in the 4th quarter valued at $79,000. Bank of Jackson Hole Trust purchased a new position in Merchants Bancorp during the 4th quarter worth $82,000. Matrix Trust Co lifted its stake in shares of Merchants Bancorp by 730.8% in the 4th quarter. Matrix Trust Co now owns 2,642 shares of the company’s stock worth $96,000 after acquiring an additional 2,324 shares during the period. Finally, Tower Research Capital LLC TRC boosted its holdings in shares of Merchants Bancorp by 118.9% in the fourth quarter. Tower Research Capital LLC TRC now owns 3,559 shares of the company’s stock valued at $130,000 after acquiring an additional 1,933 shares in the last quarter. Hedge funds and other institutional investors own 24.57% of the company’s stock.

Merchants Bancorp Company Profile

Merchants Bancorp operates as the diversified bank holding company in the United States. It operates through three segments: Multi-family Mortgage Banking, Mortgage Warehousing, and Banking. The Multi-family Mortgage Banking segment engages in the mortgage banking, which originates and services government sponsored mortgages, including bridge financing products to refinance, acquire, or reposition multi-family housing projects, and construction lending for multi-family and healthcare facilities.