Merchants Bancorp jumps after credit improvement drives Q2 beat

Regional lender Merchants Bancorp's MBIN.O shares jumped as much as 16.6%, and were last up 14.7% at $55.94.

MBIN late Tuesday reported Q2 profit above Wall Street estimates as its provision for credit losses shrank.

Piper Sandler analysts said, "Results in 2Q were very encouraging given broad-based asset quality improvement. We gained greater confidence that MBIN's credit overhang will further moderate going forward,".

Two of three brokerages rate the stock "buy" and one "hold"; the median price target is $51, according to data compiled by LSEG.

As of the last close, MBIN stock was up 43% year to date.