Merchants Bancorp Stock Buy Hold or Sell Recommendation
| MBIN Stock | USD 41.93 0.62 1.46% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Merchants Bancorp is 'Hold'. The recommendation algorithm takes into account all of Merchants Bancorp's available fundamental, technical, and predictive indicators you will find on this site.
Check out Merchants Bancorp Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. To learn how to invest in Merchants Stock, please use our How to Invest in Merchants Bancorp guide. In addition, we conduct extensive research on individual companies such as Merchants and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Merchants Bancorp. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product.
Merchants |
Execute Merchants Bancorp Buy or Sell Advice
The Merchants recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Merchants Bancorp. Macroaxis does not own or have any residual interests in Merchants Bancorp or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Merchants Bancorp's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Hold
Market Performance | OK | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Poor | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Merchants Bancorp Trading Alerts and Improvement Suggestions
| Merchants Bancorp currently holds about 472.79 M in cash with (356.4 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 10.97. | |
| Merchants Bancorp has a poor financial position based on the latest SEC disclosures | |
| Roughly 40.0% of the company outstanding shares are owned by corporate insiders | |
| Latest headline from news.google.com: Disposition of 25000 shares by Scott Evans of Merchants Bancorp at 43.1 subject to Rule 16b-3 |
Merchants Bancorp Returns Distribution Density
The distribution of Merchants Bancorp's historical returns is an attempt to chart the uncertainty of Merchants Bancorp's future price movements. The chart of the probability distribution of Merchants Bancorp daily returns describes the distribution of returns around its average expected value. We use Merchants Bancorp price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Merchants Bancorp returns is essential to provide solid investment advice for Merchants Bancorp.
| Mean Return | 0 | Value At Risk | -2.94 | Potential Upside | 4.15 | Standard Deviation | 3.44 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Merchants Bancorp historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Merchants Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument, such as Merchants Bancorp, soars without any apparent reason. This usually happens because many institutional investors are aggressively trading Merchants Bancorp back and forth among themselves. Companies that invest excess capital in these types of assets may also be included in this term and can influence corporate governance by exercising voting rights in their investments.
| Shares | Banc Funds Co Llc | 2024-09-30 | 389.6 K | Boston Partners Global Investors, Inc | 2024-09-30 | 327.8 K | Federated Hermes Inc | 2024-09-30 | 266.4 K | Charles Schwab Investment Management Inc | 2024-09-30 | 233.5 K | Marshall Wace Asset Management Ltd | 2024-09-30 | 230.5 K | Jpmorgan Chase & Co | 2024-09-30 | 224.4 K | Valeo Financial Advisors, Llc | 2024-09-30 | 218.5 K | Citadel Advisors Llc | 2024-09-30 | 217.7 K | Hotchkis & Wiley Capital Management Llc | 2024-09-30 | 214.5 K | Blackrock Inc | 2024-09-30 | 1.5 M | Vanguard Group Inc | 2024-09-30 | 1.2 M |
Merchants Bancorp Cash Flow Accounts
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 (projected) | ||
| Investments | (2.5B) | (471.7M) | (2.9B) | (2.2B) | (2.0B) | (1.9B) | |
| Change In Cash | (327.0M) | 852.9M | (806.5M) | 358.3M | 322.4M | 338.6M | |
| Net Borrowings | (14.0M) | 1.2B | (314.3M) | (103.6M) | (119.1M) | (113.1M) | |
| Free Cash Flow | (878.5M) | (52.9M) | 967.0M | (363.9M) | (418.5M) | (397.6M) | |
| Depreciation | 1.9M | 2.2M | 2.5M | 2.9M | 3.3M | 3.4M | |
| Other Non Cash Items | (888.6M) | 55.8M | 350.3M | (636.0M) | (572.4M) | (543.8M) | |
| Dividends Paid | 23.7M | 31.2M | 38.1M | 48.5M | 55.8M | 58.6M | |
| Capital Expenditures | 3.6M | 3.6M | 8.8M | 7.5M | 8.7M | 7.2M | |
| Net Income | 180.5M | 227.1M | 219.7M | 279.2M | 321.1M | 337.2M | |
| End Period Cash Flow | 179.7M | 1.0B | 226.2M | 584.4M | 672.1M | 503.3M | |
| Change To Netincome | (1.4B) | (1.1B) | (281.8M) | 803.0M | 923.5M | 969.7M |
Merchants Bancorp Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Merchants Bancorp or Financial Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Merchants Bancorp's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Merchants stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | -0.07 | |
β | Beta against Dow Jones | 0.67 | |
σ | Overall volatility | 2.67 | |
Ir | Information ratio | -0.03 |
Merchants Bancorp Volatility Alert
Merchants Bancorp shows above-average downside volatility for the selected time horizon. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Merchants Bancorp's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Merchants Bancorp's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Merchants Bancorp Fundamentals Vs Peers
Comparing Merchants Bancorp's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Merchants Bancorp's direct or indirect competition across all of the common fundamentals between Merchants Bancorp and the related equities. This way, we can detect undervalued stocks with similar characteristics as Merchants Bancorp or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Merchants Bancorp's fundamental indicators could also be used in its relative valuation, which is a method of valuing Merchants Bancorp by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Merchants Bancorp to competition |
| Fundamentals | Merchants Bancorp | Peer Average |
| Return On Equity | 0.17 | -0.31 |
| Return On Asset | 0.0172 | -0.14 |
| Profit Margin | 0.50 % | (1.27) % |
| Operating Margin | 0.63 % | (5.51) % |
| Current Valuation | 4.83 B | 16.62 B |
| Shares Outstanding | 45.77 M | 571.82 M |
| Shares Owned By Insiders | 40.07 % | 10.09 % |
| Shares Owned By Institutions | 32.76 % | 39.21 % |
| Number Of Shares Shorted | 688.26 K | 4.71 M |
| Price To Earning | 5.54 X | 28.72 X |
| Price To Book | 1.24 X | 9.51 X |
| Price To Sales | 3.21 X | 11.42 X |
| Revenue | 1.3 B | 9.43 B |
| Gross Profit | 607.41 M | 27.38 B |
| EBITDA | 350.76 M | 3.9 B |
| Net Income | 279.23 M | 570.98 M |
| Cash And Equivalents | 472.79 M | 2.7 B |
| Cash Per Share | 10.97 X | 5.01 X |
| Total Debt | 964.13 M | 5.32 B |
| Debt To Equity | 11.30 % | 48.70 % |
| Book Value Per Share | 32.55 X | 1.93 K |
| Cash Flow From Operations | (356.4 M) | 971.22 M |
| Short Ratio | 4.15 X | 4.00 X |
| Earnings Per Share | 6.30 X | 3.12 X |
| Target Price | 52.17 | |
| Number Of Employees | 618 | 18.84 K |
| Beta | 1.13 | -0.15 |
| Market Capitalization | 1.95 B | 19.03 B |
| Total Asset | 16.95 B | 29.47 B |
| Retained Earnings | 1.06 B | 9.33 B |
| Annual Yield | 0.01 % | |
| Net Asset | 16.95 B |
Note: Acquisition by Obrien Patrick D. of 388 shares of Merchants Bancorp at 32.28 subject to Rule 16b-3 [view details]
Merchants Bancorp Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Merchants . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Daily Balance Of Power | (9,223,372,036,855) | |||
| Rate Of Daily Change | 0.99 | |||
| Day Median Price | 41.93 | |||
| Day Typical Price | 41.93 | |||
| Price Action Indicator | (0.31) | |||
| Period Momentum Indicator | (0.62) |
About Merchants Bancorp Buy or Sell Advice
When is the right time to buy or sell Merchants Bancorp? Buying financial instruments such as Merchants Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Check out Merchants Bancorp Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. To learn how to invest in Merchants Stock, please use our How to Invest in Merchants Bancorp guide.You can also try the Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
Is Commercial & Residential Mortgage Finance space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Merchants Bancorp. If investors know Merchants will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Merchants Bancorp listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.30) | Earnings Share 6.3 | Revenue Per Share | Quarterly Revenue Growth (0.05) | Return On Assets |
The market value of Merchants Bancorp is measured differently than its book value, which is the value of Merchants that is recorded on the company's balance sheet. Investors also form their own opinion of Merchants Bancorp's value that differs from its market value or its book value, called intrinsic value, which is Merchants Bancorp's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Merchants Bancorp's market value can be influenced by many factors that don't directly affect Merchants Bancorp's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Merchants Bancorp's value and its price as these two are different measures arrived at by different means. Investors typically determine if Merchants Bancorp is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Merchants Bancorp's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.