Mercantile Bank Price To Earning vs. Revenue
| MBWM Stock | USD 50.53 0.43 0.86% |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Operating Profit Margin | 0.45 | 0.4711 |
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For Mercantile Bank profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Mercantile Bank to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Mercantile Bank utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Mercantile Bank's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Mercantile Bank over time as well as its relative position and ranking within its peers.
Mercantile |
Mercantile Bank's Revenue Breakdown by Earning Segment
Check out Correlation Analysis.
Is Regional Banks 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 Mercantile Bank. If investors know Mercantile 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 Mercantile Bank 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 (0.07) | Dividend Share 1.4 | Earnings Share 4.96 | Revenue Per Share 13.795 | Quarterly Revenue Growth 0.036 |
The market value of Mercantile Bank is measured differently than its book value, which is the value of Mercantile that is recorded on the company's balance sheet. Investors also form their own opinion of Mercantile Bank's value that differs from its market value or its book value, called intrinsic value, which is Mercantile Bank'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 Mercantile Bank's market value can be influenced by many factors that don't directly affect Mercantile Bank'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 Mercantile Bank's value and its price as these two are different measures arrived at by different means. Investors typically determine if Mercantile Bank is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Mercantile Bank'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.
Mercantile Bank Revenue vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Mercantile Bank's current stock value. Our valuation model uses many indicators to compare Mercantile Bank value to that of its competitors to determine the firm's financial worth. Mercantile Bank is regarded fifth in price to earning category among its peers. It is regarded third in revenue category among its peers totaling about 18,256,951 of Revenue per Price To Earning. At this time, Mercantile Bank's Total Revenue is very stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Mercantile Bank by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.Mercantile Revenue vs. Price To Earning
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
Mercantile Bank |
| = | 11.94 X |
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Mercantile Bank |
| = | 217.99 M |
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Mercantile Revenue vs Competition
Mercantile Bank is regarded third in revenue category among its peers. Market size based on revenue of Financials industry is now estimated at about 1.12 Billion. Mercantile Bank retains roughly 217.99 Million in revenue claiming about 20% of equities under Financials industry.
Mercantile Bank Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Mercantile Bank, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Mercantile Bank will eventually generate negative long term returns. The profitability progress is the general direction of Mercantile Bank's change in net profit over the period of time. It can combine multiple indicators of Mercantile Bank, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -50.5 M | -48 M | |
| Operating Income | 102.7 M | 56.7 M | |
| Income Before Tax | 102.7 M | 107.8 M | |
| Total Other Income Expense Net | 102.7 M | 107.8 M | |
| Net Income | 82.2 M | 86.3 M | |
| Income Tax Expense | 20.5 M | 21.5 M | |
| Net Income Applicable To Common Shares | 70.2 M | 73.7 M | |
| Net Income From Continuing Ops | 84 M | 44 M | |
| Non Operating Income Net Other | -2.7 M | -2.8 M | |
| Net Interest Income | 195.6 M | 142 M | |
| Interest Income | 255.8 M | 169.4 M | |
| Change To Netincome | 22.7 M | 23.8 M | |
| Net Income Per Share | 5.13 | 5.39 | |
| Income Quality | 0.81 | 0.73 | |
| Net Income Per E B T | 0.80 | 0.70 |
Mercantile Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Mercantile Bank. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Mercantile Bank position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Mercantile Bank's important profitability drivers and their relationship over time.
Use Mercantile Bank in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Mercantile Bank position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Mercantile Bank will appreciate offsetting losses from the drop in the long position's value.Mercantile Bank Pair Trading
Mercantile Bank Pair Trading Analysis
The ability to find closely correlated positions to Mercantile Bank could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Mercantile Bank when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Mercantile Bank - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Mercantile Bank to buy it.
The correlation of Mercantile Bank is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Mercantile Bank moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Mercantile Bank moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Mercantile Bank can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Mercantile Bank position
In addition to having Mercantile Bank in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Check out Correlation Analysis. To learn how to invest in Mercantile Stock, please use our How to Invest in Mercantile Bank guide.You can also try the Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
To fully project Mercantile Bank's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Mercantile Bank at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Mercantile Bank's income statement, its balance sheet, and the statement of cash flows.