Mercantile Bank Corporation (MBWM) Financial Ratios
28 years of historical data (1998–2025) · Financial Services · Banks - Regional
EV/EBITDA
↑
12.03
↑+29% vs avg
5yr avg: 9.35
30Y Low3.2·High28.5
P/FCF
↑
82.83
↑+305% vs avg
5yr avg: 20.48
30Y Low2.4·High69.8
P/B Ratio
↓
1.21
+1% vs avg
5yr avg: 1.20
30Y Low0.2·High2.1
ROE
↑
13.6%
-6% vs avg
5yr avg: 14.3%
30Y Low-33%·High26%
Debt/EBITDA
↓
7.75
+7% vs avg
5yr avg: 7.24
30Y Low2.2·High21.8
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
MBWM Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Mercantile Bank Corporation trades at 9.8x earnings, 12% above its 5-year average of 8.8x, sitting at the 25th percentile of its historical range. Compared to the Financial Services sector median P/E of 13.6x, the stock trades at a discount of 28%. On a free-cash-flow basis, the stock trades at 82.8x P/FCF, 305% above the 5-year average of 20.5x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $928M | $782M | $718M | $647M | $531M | $560M | $442M | $598M | $469M | $583M | $615M |
| Enterprise Value | $1.3B | $1.1B | $973M | $1.4B | $1.1B | $278M | $376M | $868M | $894M | $767M | $783M |
| P/E Ratio → | 9.84 | 8.81 | 9.02 | 7.87 | 8.70 | 9.49 | 10.03 | 12.12 | 11.17 | 18.62 | 19.23 |
| P/S Ratio | 2.50 | 2.10 | 1.98 | 2.13 | 2.48 | 2.82 | 2.28 | 3.23 | 2.91 | 4.03 | 4.41 |
| P/B Ratio | 1.21 | 1.08 | 1.23 | 1.24 | 1.20 | 1.23 | 1.00 | 1.44 | 1.25 | 1.59 | 1.80 |
| P/FCF | 82.83 | 69.79 | 7.75 | 10.79 | 4.54 | 9.50 | 15.30 | 19.13 | 8.47 | 17.54 | 18.88 |
| P/OCF | 51.66 | 43.53 | 7.10 | 9.71 | 4.43 | 8.67 | 11.67 | 13.37 | 7.60 | 15.08 | 17.77 |
P/E links to full P/E history page with 30-year chart
MBWM EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
Mercantile Bank Corporation's enterprise value stands at 12.0x EBITDA, 29% above its 5-year average of 9.3x. The Financial Services sector median is 11.4x, placing the stock at a 6% premium on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.05 | 2.69 | 4.46 | 5.02 | 1.40 | 1.94 | 4.69 | 5.55 | 5.31 | 5.61 |
| EV / EBITDA | 12.03 | 10.66 | 8.94 | 11.84 | 12.11 | 3.18 | 5.85 | 12.40 | 14.51 | 13.60 | 13.87 |
| EV / EBIT | 12.55 | 11.12 | 9.90 | 13.17 | 14.18 | 3.77 | 6.85 | 14.36 | 17.24 | 16.65 | 16.70 |
| EV / FCF | — | 101.24 | 10.51 | 22.57 | 9.20 | 4.72 | 13.01 | 27.76 | 16.13 | 23.08 | 24.03 |
MBWM Profitability
Margins and return-on-capital ratios measuring operating efficiency
Mercantile Bank Corporation earns an operating margin of 27.5%, above the Financial Services sector average of 20.3%. Operating margins have compressed from 33.8% to 27.5% over the past 3 years, signaling potential cost pressures or competitive headwinds. ROE of 13.6% is modest. ROIC of 5.5% represents adequate returns on invested capital versus a sector median of 5.5%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 64.0% | 64.0% | 61.9% | 71.8% | 85.9% | 92.4% | 79.3% | 80.8% | 85.7% | 87.0% | 88.9% |
| Operating Margin | 27.5% | 27.5% | 27.2% | 33.8% | 35.4% | 37.1% | 28.3% | 32.6% | 32.2% | 31.9% | 33.6% |
| Net Profit Margin | 23.9% | 23.9% | 22.0% | 27.1% | 28.5% | 29.7% | 22.8% | 26.7% | 26.1% | 21.6% | 22.9% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 13.6% | 13.6% | 14.4% | 17.1% | 13.6% | 13.1% | 10.3% | 12.5% | 11.3% | 8.9% | 9.5% |
| ROA | 1.4% | 1.4% | 1.4% | 1.6% | 1.2% | 1.2% | 1.1% | 1.4% | 1.3% | 1.0% | 1.1% |
| ROIC | 5.5% | 5.5% | 5.7% | 6.3% | 5.1% | 5.1% | 4.3% | 5.1% | 4.8% | 4.8% | 5.4% |
| ROCE | 8.0% | 8.0% | 8.0% | 9.7% | 8.2% | 8.0% | 6.5% | 7.6% | 7.4% | 7.7% | 9.2% |
MBWM Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
Mercantile Bank Corporation carries a Debt/EBITDA ratio of 7.8x, which is highly leveraged (82% above the sector average of 4.3x). Net debt stands at $353M ($826M total debt minus $473M cash). Interest coverage of just 0.8x is concerning — the company has limited headroom to absorb earnings volatility before struggling with debt service.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.14 | 1.14 | 1.11 | 1.60 | 1.45 | 1.52 | 1.27 | 1.21 | 1.33 | 1.05 | 1.03 |
| Debt / EBITDA | 7.75 | 7.75 | 5.96 | 7.32 | 7.21 | 7.93 | 8.71 | 7.19 | 8.11 | 6.81 | 6.23 |
| Net Debt / Equity | — | 0.49 | 0.44 | 1.35 | 1.23 | -0.62 | -0.15 | 0.65 | 1.13 | 0.50 | 0.49 |
| Net Debt / EBITDA | 3.31 | 3.31 | 2.35 | 6.18 | 6.12 | -3.22 | -1.03 | 3.85 | 6.89 | 3.26 | 2.97 |
| Debt / FCF | — | 31.45 | 2.76 | 11.78 | 4.65 | -4.78 | -2.29 | 8.63 | 7.66 | 5.54 | 5.16 |
| Interest Coverage | 0.79 | 0.79 | 0.75 | 1.32 | 3.21 | 3.79 | 2.10 | 1.79 | 2.37 | 2.92 | 3.72 |
MBWM Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
The current ratio of 0.29x is below 1.0, meaning current liabilities exceed current assets. The current ratio has improved from 0.18x to 0.29x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.29 | 0.29 | 0.23 | 0.18 | 0.18 | 0.36 | 0.29 | 0.20 | 0.16 | 0.20 | 0.20 |
| Quick Ratio | 0.29 | 0.29 | 0.23 | 0.18 | 0.18 | 0.36 | 0.29 | 0.20 | 0.16 | 0.20 | 0.20 |
| Cash Ratio | 0.09 | 0.09 | 0.08 | 0.03 | 0.02 | 0.23 | 0.18 | 0.08 | 0.03 | 0.08 | 0.07 |
| Asset Turnover | — | 0.05 | 0.06 | 0.06 | 0.04 | 0.04 | 0.04 | 0.05 | 0.05 | 0.04 | 0.05 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
MBWM Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Mercantile Bank Corporation returns 2.7% to shareholders annually primarily through dividends. The payout ratio of 27.0% is conservative, leaving significant room for dividend growth or reinvestment. The earnings yield of 10.2% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.7% | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | 27.0% | 27.0% | 28.2% | 25.5% | 32.1% | 31.4% | 40.6% | 34.6% | 65.4% | 38.5% | 58.7% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 10.2% | 11.4% | 11.1% | 12.7% | 11.5% | 10.5% | 10.0% | 8.3% | 9.0% | 5.4% | 5.2% |
| FCF Yield | 1.2% | 1.4% | 12.9% | 9.3% | 22.0% | 10.5% | 6.5% | 5.2% | 11.8% | 5.7% | 5.3% |
| Buyback Yield | 0.0% | — | — | — | — | — | — | — | — | — | — |
| Total Shareholder Yield | 2.7% | — | — | — | — | — | — | — | — | — | — |
| Shares Outstanding | — | $16M | $16M | $16M | $16M | $16M | $16M | $16M | $17M | $16M | $16M |
Peer Comparison
Compare MBWM with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 MBWMYou | $928M | 9.8 | 12.0 | 82.8 | 64.0% | 27.5% | 13.6% | 5.5% | 7.8 |
 IBCP | $706M | 10.5 | 9.5 | 10.1 | 69.6% | 25.8% | 14.3% | 10.2% | 1.4 |
 CZWI | $205M | 14.6 | 15.6 | 19.8 | 54.7% | 7.0% | 7.9% | 2.0% | 5.8 |
 UVSP | $1B | 13.2 | 8.2 | 12.2 | 61.0% | 21.9% | 9.9% | 6.5% | 2.9 |
 FITB | $35B | 14.9 | 12.8 | 9.3 | 65.3% | 24.9% | 12.2% | 6.4% | 4.0 |
 HBAN | $27B | 12.1 | 16.1 | 11.7 | 61.7% | 21.5% | 10.0% | 5.1% | 6.9 |
 CBSH | $8B | 13.4 | 13.3 | 13.6 | 80.0% | 34.2% | 15.8% | 8.4% | 3.9 |
 WTFC | $10B | 13.3 | 11.9 | 12.1 | 62.2% | 26.4% | 12.1% | 7.5% | 3.7 |
 BOKF | $8B | 14.2 | 13.7 | 13.8 | 63.7% | 21.4% | 10.1% | 5.2% | 5.8 |
 FULT | $4B | 11.0 | 10.3 | 15.5 | 67.4% | 25.7% | 11.7% | 7.5% | 2.5 |
 FIS | $20B | 50.9 | 6.4 | 7.0 | 36.9% | 16.5% | 2.6% | 6.0% | 1.1 |
| Financial Services Median | — | 13.6 | 11.4 | 11.1 | 64.1% | 20.3% | 9.0% | 5.5% | 4.3 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 28 years · Updated daily
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MBWM — Frequently Asked Questions
Quick answers to the most common questions about buying MBWM stock.
What is Mercantile Bank Corporation's P/E ratio?
Mercantile Bank Corporation's current P/E ratio is 9.8x. The historical average is 13.6x. This places it at the 25th percentile of its historical range.
What is Mercantile Bank Corporation's EV/EBITDA?
Mercantile Bank Corporation's current EV/EBITDA is 12.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.9x.
What is Mercantile Bank Corporation's ROE?
Mercantile Bank Corporation's return on equity (ROE) is 13.6%. The historical average is 7.8%.
Is MBWM stock overvalued?
Based on historical data, Mercantile Bank Corporation is trading at a P/E of 9.8x. This is at the 25th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is Mercantile Bank Corporation's dividend yield?
Mercantile Bank Corporation's current dividend yield is 2.74% with a payout ratio of 27.0%.
What are Mercantile Bank Corporation's profit margins?
Mercantile Bank Corporation has 64.0% gross margin and 27.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
How much debt does Mercantile Bank Corporation have?
Mercantile Bank Corporation's Debt/EBITDA ratio is 7.8x, indicating high leverage. A ratio above 4x may signal elevated financial risk.