Mercantile Bank (MBWM) Q2 Earnings: How Key Metrics Compare to Wall Street Estimates
Mercantile Bank (MBWM) reported $55.2 million in revenue for the quarter ended June 2023, representing a year-over-year increase of 31.2%. EPS of $1.27 for the same period compares to $0.74 a year ago.
The reported revenue represents a surprise of +5.27% over the Zacks Consensus Estimate of $52.43 million. With the consensus EPS estimate being $1.11, the EPS surprise was +14.41%.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Mercantile Bank performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Efficiency Ratio: 50.42% versus the three-analyst average estimate of 52.8%.
Net Interest Margin: 4.05% versus 3.93% estimated by three analysts on average.
Net loan charge-offs to average loans: 0.02% versus 0.1% estimated by two analysts on average.
Average Balance - Total interest-earning assets: $4.72 billion versus $4.65 billion estimated by two analysts on average.
Total Noninterest Income: $7.65 million versus the three-analyst average estimate of $6.87 million.
Net Interest Income: $47.55 million versus the three-analyst average estimate of $45.56 million.
Earnings on bank owned life insurance policies: $0.40 million versus the two-analyst average estimate of $0.40 million.
Service charges on accounts: $1.06 million versus the two-analyst average estimate of $1.01 million.
Credit and debit card income: $2.43 million versus the two-analyst average estimate of $2.10 million.
Mortgage banking income: $1.84 million versus the two-analyst average estimate of $1.40 million.
View all Key Company Metrics for Mercantile Bank here>>>
Shares of Mercantile Bank have remained unchanged over the past month versus the Zacks S&P 500 composite's +2.7% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.
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Mercantile Bank Corporation (MBWM) : Free Stock Analysis Report
