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Merchants Bancorp

Nasdaq:MBIN.P
Snowflake Description

Flawless balance sheet and undervalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
MBIN.P
Nasdaq
$442M
Market Cap
  1. Home
  2. US
  3. Banks
Company description

Merchants Bancorp operates as the diversified bank holding company in the United States. The last earnings update was 9 days ago. More info.


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MBIN.P Share Price and Events
7 Day Returns
0.8%
NasdaqCM:MBIN.P
-0.3%
US Mortgage
-1%
US Market
1 Year Returns
-
NasdaqCM:MBIN.P
-0.7%
US Mortgage
-0.4%
US Market
MBIN.P Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Merchants Bancorp (MBIN.P) 0.8% 1.7% -0.4% - - -
US Mortgage -0.3% -2% -0.7% -0.7% 24.5% 41.1%
US Market -1% -3.3% 0.4% -0.4% 30.4% 37.1%
1 Year Return vs Industry and Market
  • No trading data on MBIN.P.
  • No trading data on MBIN.P.
Price Volatility
Industry
5yr Volatility vs Market

MBIN.P Value

 Is Merchants Bancorp undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Merchants Bancorp to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Merchants Bancorp.

NasdaqCM:MBIN.P Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Median Return on Equity from the past 5 years.
= Stable Book Value * Return on Equity
= $15.70 * 15.4%
$2.41
Book Value of Equity per Share Weighted future Book Value estimates from 4 analysts. $15.70
Discount Rate (Cost of Equity) See below 9.1%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqCM:MBIN.P
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Mortgage Unlevered Beta Simply Wall St/ S&P Global 0.81
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.81 (1 + (1- 21%) (14.09%))
1.066
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.07
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.066 * 5.96%)
9.08%

Discounted Cash Flow Calculation for NasdaqCM:MBIN.P using Excess Returns Model Model

The calculations below outline how an intrinsic value for Merchants Bancorp is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NasdaqCM:MBIN.P Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (15.4% – 9.08%) * $15.70)
$0.99
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $0.99 / (9.08% - 2.73%)
$15.55
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $15.70 + $15.55
$31.25
NasdaqCM:MBIN.P Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in NasdaqCM:MBIN.P represents 1.78454x of NasdaqCM:MBIN
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
1.78454x
Value per Share
(Listing Adjusted, USD)
= Value per Share (USD) x Listing Adjustment Factor
= $ 31.25 x 1.78454
$55.77
Value per share (USD) From above. $55.77
Current discount Discount to share price of $27.46
= -1 x ($27.46 - $55.77) / $55.77
50.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Merchants Bancorp is available for.
Intrinsic value
>50%
Share price is $27.46 vs Future cash flow value of $55.77
Current Discount Checks
For Merchants Bancorp to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Merchants Bancorp's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Merchants Bancorp's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Merchants Bancorp's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Merchants Bancorp's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqCM:MBIN.P PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in USD $1.91
NasdaqCM:MBIN Share Price ** NasdaqCM (2019-08-16) in USD $15.39
United States of America Mortgage Industry PE Ratio Median Figure of 128 Publicly-Listed Mortgage Companies 13.95x
United States of America Market PE Ratio Median Figure of 3,095 Publicly-Listed Companies 17.23x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Merchants Bancorp.

NasdaqCM:MBIN.P PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqCM:MBIN Share Price ÷ EPS (both in USD)

= 15.39 ÷ 1.91

8.04x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Merchants Bancorp is good value based on earnings compared to the US Mortgage industry average.
  • Merchants Bancorp is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Merchants Bancorp's expected growth come at a high price?
Raw Data
NasdaqCM:MBIN.P PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 8.04x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
6.5%per year
United States of America Mortgage Industry PEG Ratio Median Figure of 48 Publicly-Listed Mortgage Companies 1.35x
United States of America Market PEG Ratio Median Figure of 2,124 Publicly-Listed Companies 1.4x

*Line of best fit is calculated by linear regression .

NasdaqCM:MBIN.P PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 8.04x ÷ 6.5%

1.24x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Merchants Bancorp is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Merchants Bancorp's assets?
Raw Data
NasdaqCM:MBIN.P PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in USD $13.98
NasdaqCM:MBIN Share Price * NasdaqCM (2019-08-16) in USD $15.39
United States of America Mortgage Industry PB Ratio Median Figure of 144 Publicly-Listed Mortgage Companies 1.1x
United States of America Market PB Ratio Median Figure of 5,265 Publicly-Listed Companies 1.7x
NasdaqCM:MBIN.P PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqCM:MBIN Share Price ÷ Book Value per Share (both in USD)

= 15.39 ÷ 13.98

1.1x

* Primary Listing of Merchants Bancorp.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Merchants Bancorp is good value based on assets compared to the US Mortgage industry average.
X
Value checks
We assess Merchants Bancorp's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Mortgage industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Mortgage industry average (and greater than 0)? (1 check)
  5. Merchants Bancorp has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

MBIN.P Future Performance

 How is Merchants Bancorp expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
6.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Merchants Bancorp expected to grow at an attractive rate?
  • Merchants Bancorp's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Merchants Bancorp's earnings growth is positive but not above the United States of America market average.
  • Merchants Bancorp's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqCM:MBIN.P Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqCM:MBIN.P Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts 6.5%
NasdaqCM:MBIN.P Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 13%
United States of America Mortgage Industry Earnings Growth Rate Market Cap Weighted Average 9.3%
United States of America Mortgage Industry Revenue Growth Rate Market Cap Weighted Average 5.8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqCM:MBIN.P Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqCM:MBIN.P Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 168 60 4
2019-12-31 150 56 4
NasdaqCM:MBIN.P Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-06-30 137 -857 55
2019-03-31 132 330 55
2018-12-31 135 204 60
2018-09-30 130 -103 64
2018-06-30 121 85 58
2018-03-31 120 -212 57
2017-12-31 112 -176 51
2017-09-30 101 305 40
2017-06-30 102 -132 41
2017-03-31 89 -118 34
2016-12-31 82 -150 31

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Merchants Bancorp's earnings are expected to grow by 6.5% yearly, however this is not considered high growth (20% yearly).
  • Merchants Bancorp's revenue is expected to grow by 13% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqCM:MBIN.P Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from Merchants Bancorp Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqCM:MBIN.P Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 2.09 2.25 1.94 4.00
2019-12-31 1.96 2.05 1.90 4.00
NasdaqCM:MBIN.P Past Financials Data
Date (Data in USD Millions) EPS *
2019-06-30 1.91
2019-03-31 1.92
2018-12-31 2.08
2018-09-30 2.29
2018-06-30 2.21
2018-03-31 2.34
2017-12-31 2.28
2017-09-30 1.88
2017-06-30 1.94
2017-03-31 1.63
2016-12-31 1.47

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Merchants Bancorp will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Merchants Bancorp's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Merchants Bancorp has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

MBIN.P Past Performance

  How has Merchants Bancorp performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Merchants Bancorp's growth in the last year to its industry (Mortgage).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Merchants Bancorp has delivered over 20% year on year earnings growth in the past 5 years.
  • Merchants Bancorp's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Merchants Bancorp's 1-year earnings growth is negative, it can't be compared to the US Mortgage industry average.
Earnings and Revenue History
Merchants Bancorp's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Merchants Bancorp Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqCM:MBIN.P Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 136.91 54.93 44.77
2019-03-31 132.06 55.05 41.78
2018-12-31 134.93 59.54 39.16
2018-09-30 130.08 64.45 34.75
2018-06-30 121.17 58.18 31.73
2018-03-31 120.44 57.28 28.88
2017-12-31 111.81 51.35 25.76
2017-09-30 101.21 39.78 22.65
2017-06-30 101.72 40.98 20.69
2017-03-31 88.59 34.48 18.63
2016-12-31 81.52 31.13 17.94
2015-12-31 68.10 28.38 14.59

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Merchants Bancorp has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Merchants Bancorp used its assets more efficiently than the US Mortgage industry average last year based on Return on Assets.
  • Unable to establish if Merchants Bancorp improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
X
Past performance checks
We assess Merchants Bancorp's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Mortgage industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Merchants Bancorp has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

MBIN.P Health

 How is Merchants Bancorp's financial position? (This company is analysed differently as a bank or financial institution)

This company is a bank or financial institution.

Fundamentally a bank's business is based upon borrowing and lending money, for this reason they typically have high levels of debt and we analyse them differently.
Net Worth
Balance sheet
This treemap shows a more detailed breakdown of Merchants Bancorp's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Merchants Bancorp Company Filings, last reported 1 month ago.

NasdaqCM:MBIN.P Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 515.01 62.25 569.35
2019-03-31 477.83 338.05 450.27
2018-12-31 421.24 195.46 392.69
2018-09-30 407.35 67.28 491.86
2018-06-30 392.92 189.59 494.60
2018-03-31 379.71 199.41 494.89
2017-12-31 367.47 56.61 403.20
2017-09-30 243.29 56.62 695.25
2017-06-30 226.51 56.63 465.75
2017-03-31 213.71 56.99 523.56
2016-12-31 206.29 57.01 479.27
2015-12-31 148.20 57.49 560.18
BANK ANALYSIS

This company is a bank or financial institution, which is analysed accordingly below.

Below we check the amount of loans the bank has, how many of those are bad, and its ability to cover any bad loans.
  • Merchants Bancorp has an acceptable proportion of non-loan assets held.
  • Merchants Bancorp's liabilities are made up of primarily low risk sources of funding.
  • Loans at Merchants Bancorp are broadly funded by customer deposits.
  • Merchants Bancorp's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).
  • Merchants Bancorp has a sufficient allowance for bad loans.
  • Merchants Bancorp has an acceptable level of bad loans (less than 2%).
X
Financial health checks
We assess Merchants Bancorp's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Merchants Bancorp has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

MBIN.P Dividends

 What is Merchants Bancorp's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.82%
Current annual income from Merchants Bancorp dividends. Estimated to be 1.82% next year.
If you bought $2,000 of Merchants Bancorp shares you are expected to receive $36 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Merchants Bancorp's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).
  • Merchants Bancorp's dividend is below the markets top 25% of dividend payers in United States of America (3.84%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqCM:MBIN.P Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
United States of America Mortgage Industry Average Dividend Yield Market Cap Weighted Average of 96 Stocks 2.9%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2009 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqCM:MBIN.P Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 0.29 4.00
2019-12-31 0.27 4.00
NasdaqCM:MBIN.P Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-05-16 0.280 1.601
2019-02-21 0.280 1.289
2018-11-14 0.240 1.135
2018-08-16 0.240 0.966
2018-06-05 0.240 0.878
2018-02-22 0.240 1.070
2018-02-08 0.200 0.981
2017-12-07 0.200 0.980

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Merchants Bancorp has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Merchants Bancorp only paid a dividend in the past 2 years.
Current Payout to shareholders
What portion of Merchants Bancorp's earnings are paid to the shareholders as a dividend.
  • Dividends paid are thoroughly covered by earnings (7.4x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Merchants Bancorp's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Merchants Bancorp afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Merchants Bancorp has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

MBIN.P Management

 What is the CEO of Merchants Bancorp's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Mike Petrie
COMPENSATION $647,640
AGE 65
TENURE AS CEO 12.8 years
CEO Bio

Mr. Michael F. Petrie also known as Mike, has been Chairman and Chief Executive Officer of Merchants Bank of Indiana (also known as-Greensfork Township State Bank) since March 2002, Merchants Bancorp and P/R Bancorp, the holding company of Greensfork Township State Bank since October 2006 and serves as its Secretary. Mr. Petrie serves as President of PR Mortgage & Investment Corporation, a subsidiary of Greensfork Township State Bank. He serves as on the board of Indiana Association of Community and Economic Development and Community Investment Fund of Indiana since 2013. He served as a Director of MERSCORP, Inc. Mr. Petrie served as a Director of Federal Home Loan Bank of Indianapolis from May 11, 2007 to January 1, 2009. Mr. Petrie is active in the industry and in the community, as evidenced by his affiliations listed as follows: MERS Board of Directors from 2006 to 2010; FHLBI Board of Directors from 2007 to 2008; Archdiocese of Indianapolis Catholic Charities, Inc. (Treasurer) from 2009 to 2014 and Apartment Association of Indiana (Independent Owners Program, Chairman, 1984). He serves as Merchants Affordable Housing Corp., President and Director since 1986, Indiana Affordable Housing Council, Board of Directors since 2016; he Children’s Museum of Indianapolis (2015 - present); Multifamily Lenders Council (President).He served as Chairman of Mortgage Bankers Association, Washington D.C. from 2004 to 2005, Chairman of Elect from 2003 to 2004 and its Vice Chairman from 2002 to 2003 and Board of Directors (1999-2006, 2008 – 2009). He served as Member of National Advisory Council of Federal National Mortgage Association. Mr. Petrie was awarded the "Sagamore of the Wabash" in 2004 and MBA’s Burton C. Wood Legislative Service Award in 2000. Mr. Petrie is a graduate of Indiana University with both a BS and MBA in Finance.

CEO Compensation
  • Mike's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Mike's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Merchants Bancorp management team in years:

2.1
Average Tenure
53
Average Age
  • The tenure for the Merchants Bancorp management team is about average.
Management Team

Mike Petrie

TITLE
Chairman
COMPENSATION
$648K
AGE
65
TENURE
12.8 yrs

Mike Dunlap

TITLE
COMPENSATION
$858K
AGE
53
TENURE
1.6 yrs

Michael Dury

TITLE
President of Merchants Capital Corp
COMPENSATION
$3M
AGE
34
TENURE
1.6 yrs

John Macke

TITLE
Executive VP & CFO
AGE
54
TENURE
2.1 yrs

Kevin Langford

TITLE
Senior VP & Chief Administrative Officer
AGE
51

Tami Durle

TITLE
Manager SEC Reporting

Terry Oznick

TITLE
Senior VP & General Counsel
AGE
35
TENURE
0.9 yrs

Rebecca Marsh

TITLE
VP of Marketing & Communications and Chief Information Security Officer

Brian Emmons

TITLE
Senior VP of Commercial Banking & Participations
TENURE
3.6 yrs

Jerry Koors

TITLE
President of Merchants Mortgage
AGE
55
TENURE
5.8 yrs
Board of Directors Tenure

Average tenure and age of the Merchants Bancorp board of directors in years:

5.3
Average Tenure
65
Average Age
  • The tenure for the Merchants Bancorp board of directors is about average.
Board of Directors

Mike Petrie

TITLE
Chairman
COMPENSATION
$648K
AGE
65
TENURE
12.8 yrs

Randy Rogers

TITLE
Vice Chairman
AGE
73
TENURE
1.6 yrs

Mike Dunlap

TITLE
COMPENSATION
$858K
AGE
53
TENURE
5.3 yrs

Patrick O'Brien

TITLE
Director
COMPENSATION
$43K
AGE
61
TENURE
5.8 yrs

David Shane

TITLE
Director
COMPENSATION
$44K
AGE
71
TENURE
5.8 yrs

Scott Evans

TITLE
Director
AGE
54
TENURE
13.6 yrs

Sue Gilroy

TITLE
Director
COMPENSATION
$41K
AGE
71
TENURE
2.2 yrs

Anne Sellers

TITLE
Director
COMPENSATION
$41K
AGE
58
TENURE
2.2 yrs

Andy Juster

TITLE
Director
AGE
66
TENURE
0.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
26. Mar 19 Buy O'brien Motors, Inc. Company 22. Mar 19 22. Mar 19 80,000 $25.00 $2,000,000
26. Mar 19 Buy Michael Dunlap Individual 22. Mar 19 22. Mar 19 1,200 $25.00 $30,000
26. Mar 19 Buy Patrick O'Brien Individual 22. Mar 19 22. Mar 19 20,000 $25.00 $500,000
26. Mar 19 Buy Susan Kucer Individual 22. Mar 19 22. Mar 19 8,000 $25.00 $200,000
26. Mar 19 Buy Jerry Koors Individual 22. Mar 19 22. Mar 19 300 $25.00 $7,500
26. Mar 19 Buy Richard Belser Individual 22. Mar 19 22. Mar 19 400 $25.00 $10,000
26. Mar 19 Buy David Shane Individual 22. Mar 19 22. Mar 19 1,000 $25.00 $25,000
26. Mar 19 Buy Michael Dury Individual 22. Mar 19 22. Mar 19 4,000 $25.00 $100,000
X
Management checks
We assess Merchants Bancorp's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Merchants Bancorp has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

MBIN.P News

Simply Wall St News

MBIN.P Company Info

Description

Merchants Bancorp operates as the diversified bank holding company in the United States. The company operates in three segments: Multi-family Mortgage Banking, Mortgage Warehousing, and Banking. The Multi-family Mortgage Banking segment originates and services government sponsored mortgages for multi-family and healthcare facilities. The Mortgage Warehousing segment funds agency eligible residential loans, including origination, purchase, and sale in the secondary market, as well as commercial loans to non-depository financial institutions. The Banking segment offers a range of financial products and services to consumers and businesses, such as various types of deposit products comprising checking, savings, and time deposit accounts; commercial, commercial real estate, mortgage, and other consumer loan products; and letters of credit, as well as engages in the retail banking, agricultural lending, single family mortgage lending, small business administration lending, and correspondent lending and servicing businesses. It operates 14 offices. Merchants Bancorp was founded in 1990 and is headquartered in Carmel, Indiana.

Details
Name: Merchants Bancorp
MBIN.P
Exchange: NasdaqCM
Founded: 1990
$441,792,080
28,706,438
Website: http://www.merchantsbankofindiana.com
Address: Merchants Bancorp
11555 North Meridian Street,
Suite 400,
Carmel,
Indiana, 46032,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqCM MBIN Common Stock Nasdaq Capital Market US USD 27. Oct 2017
NasdaqCM MBIN.P 7% NCUM PFD A Nasdaq Capital Market US USD 25. Mar 2019
OTCPK MCSB.L DEP PFD SER B Pink Sheets LLC US USD 13. Aug 2019
Number of employees
Current staff
Staff numbers
259
Merchants Bancorp employees.
Industry
Thrifts and Mortgage Finance
Banks
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/08/18 01:15
End of day share price update: 2019/08/16 00:00
Last estimates confirmation: 2019/08/16
Last earnings filing: 2019/08/09
Last earnings reported: 2019/06/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.