Quarter driven by net interest income expansion and strong commercial loan growth
Loan-to-deposit ratio fell as local deposits rose and Eastern Michigan Bank deposits were added
Result drivers
Commercial loan growth - Co said strong commercial loan growth drove Q2 results despite elevated payoffs and paydowns
Net interest margin - Higher net interest margin, aided by reduced cost of funds and repricing of matured loans and securities, supported net interest income expansion
Credit loss provision - Negative provision for credit losses mainly reflected resolution of a nonperforming commercial construction loan
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the banks peer group is "buy"
Wall Street's median 12-month price target for Mercantile Bank Corp is $60.00, about 4.1% above its July 20 closing price of $57.66
The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 9 three months ago
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