Mercantile Bank Management
Management criteria checks 2/4
Mercantile Bank's CEO is Ray Reitsma, appointed in Jun 2024, has a tenure of 2.17 years. total yearly compensation is $1.77M, comprised of 41.5% salary and 58.5% bonuses, including company stock and options. directly owns 0.52% of the company’s shares, worth $5.55M. The average tenure of the management team and the board of directors is 3.1 years and 2.6 years respectively.
Key information
Ray Reitsma
Chief executive officer
US$1.8m
Total compensation
| CEO salary percentage | 41.50% |
| CEO tenure | 2.2yrs |
| CEO ownership | 0.5% |
| Management average tenure | 3.1yrs |
| Board average tenure | 2.6yrs |
Recent management updates
Recent updates
Analysis Article • Jul 23
Results: Mercantile Bank Corporation Exceeded Expectations And The Consensus Has Updated Its Estimates
The quarterly results for Mercantile Bank Corporation ( NASDAQ:MBWM ) were released last week, making it a good time to...
Narrative Update • Jun 18
MBWM: Updated Discount Rate And P/E Assumptions Will Support Future Upside
Analysts have lifted their price target on Mercantile Bank stock by $3, citing updated assumptions around discount rates and forward P/E multiples while keeping fair value estimates broadly unchanged. Analyst Commentary Recent research on Mercantile Bank stock gives you a mix of optimism and caution, with one group of bullish analysts lifting price targets and others starting coverage with a more neutral stance.Narrative Update • Jun 04
MBWM: Recent Neutral Coverage And Higher Fair Value Will Support Future Upside
Analysts have adjusted their price target on Mercantile Bank by $3, citing recent research that includes a target increase at Keefe Bruyette and a neutral initiation at Stephens as key factors in their updated view. Analyst Commentary Recent Street research offers a mixed read on Mercantile Bank, with one group of bullish analysts adjusting their price targets higher while others are taking a more wait and see stance at current levels.Narrative Update • May 07
MBWM: Higher Future P/E And Neutral Coverage Stance Will Support Upside Potential
Analysts have adjusted the price target on Mercantile Bank to $59.33, citing updated assumptions around discount rates and future P/E that align with recent Street research, including a $3 target change and a new neutral initiation. Analyst Commentary Bullish Takeaways Bullish analysts view the $3 price target adjustment as better alignment between Mercantile Bank's current trading P/E and where they think the stock should sit relative to peers with similar profiles.Narrative Update • Apr 23
MBWM: Higher Assumed Future P/E Will Support Upside Potential
Analysts now set a revised price target for Mercantile Bank at about $59.33, compared with the prior fair value of $52.80. This reflects updated views on discount rates, growth, margins, and a higher assumed future P/E in light of recent Street research that includes a $3 target increase and a neutral initiation.Analysis Article • Jan 23
Mercantile Bank (NASDAQ:MBWM) Has Announced That It Will Be Increasing Its Dividend To $0.39
Mercantile Bank Corporation ( NASDAQ:MBWM ) has announced that it will be increasing its dividend from last year's...Seeking Alpha • Jan 22
Mercantile Bank: Excellent Underwriting And Expanding Margins
Summary Mercantile Bank is initiated with a "Buy" rating, targeting an 11% upside to a $59 fair value plus a 2.9% dividend yield. MBWM's Q4 earnings beat, robust credit quality, and the Eastern Michigan Bank acquisition expand its Michigan footprint and balance sheet liquidity. Loan growth is guided at 5%-7% for 2024, with NIM expansion expected from improved deposit mix and asset repricing, even amid anticipated Fed rate cuts. Strong capital ratios, excellent reserve coverage, and likely further M&A position MBWM for sustained growth and multiple expansion toward 10x earnings. Read the full article on Seeking AlphaNarrative Update • Dec 05
MBWM: Clean Asset Quality Will Support Upside Despite Higher Expense Drag
Analysts have modestly reduced their price target on Mercantile Bank to $52.00 from $55.00, citing solid Q3 results with clean asset quality and strong deposit growth, but also noting a higher expense base, tighter net interest margins, and softer loan growth due to elevated payoffs. Analyst Commentary Analyst commentary on Mercantile Bank reflects a balanced view, with constructive interpretations of the latest quarter offset by clear acknowledgments of emerging headwinds for growth and profitability.Narrative Update • Nov 21
MBWM: Asset Quality And Deposit Momentum Will Offset Higher Expenses Ahead
Analysts have reduced Mercantile Bank’s price target from $55 to $52. They cite a larger expense base, tighter net interest margin, and slower loan growth, even as asset quality and deposit growth continue.Narrative Update • Nov 06
MBWM: Medium-Term Strength Will Rely On Asset Quality Amid Higher Expenses
Analysts have lowered their price target for Mercantile Bank from $55 to $52. They cite higher expenses, a tighter net interest margin, and slower loan growth, despite continued strong asset quality and deposit growth.Narrative Update • Oct 23
Analysts Lower Mercantile Bank Target as Margins Narrow and Expenses Rise Despite Solid Results
Analysts have reduced their price target for Mercantile Bank from $55.60 to $52.80. They cite larger expenses, slightly lower profit margins, and modest loan growth, even though the company reported solid Q3 results and continued strength in assets and deposits.Analysis Article • Jul 25
Mercantile Bank (NASDAQ:MBWM) Is Increasing Its Dividend To $0.38
Mercantile Bank Corporation ( NASDAQ:MBWM ) will increase its dividend from last year's comparable payment on the 17th...Analysis Article • Mar 04
Mercantile Bank's (NASDAQ:MBWM) Shareholders Will Receive A Bigger Dividend Than Last Year
Mercantile Bank Corporation ( NASDAQ:MBWM ) has announced that it will be increasing its dividend from last year's...Analysis Article • Jan 24
Mercantile Bank (NASDAQ:MBWM) Is Increasing Its Dividend To $0.37
The board of Mercantile Bank Corporation ( NASDAQ:MBWM ) has announced that it will be paying its dividend of $0.37 on...
New Narrative • Oct 20
Rising Costs And Slowing Loan Growth Threaten Bank Earnings Stability
Elevated loan-to-deposit ratio and declining net interest margins indicate potential liquidity strain and reduced profitability.Seeking Alpha • Oct 15
A Great Quarter Is A Great Time To Downgrade Mercantile Bank Corporation
Summary Mercantile Bank Corporation's Q3 2024 results exceeded analyst expectations, with revenue and profits higher than anticipated, despite a year-over-year decline in net profits. The stock has risen 26.1% since April, outperforming the S&P 500, but asset quality concerns and potential interest rate cuts prompted a downgrade to “buy.”. Net interest income increased due to reduced credit loss provisions and higher interest-earning assets, though net interest margin continues to decline. Despite a higher valuation and asset quality drop, Mercantile Bank's balance sheet growth and attractive share price still make it a solid “buy” candidate. Read the full article on Seeking AlphaAnalysis Article • Aug 21
Mercantile Bank's (NASDAQ:MBWM) Dividend Will Be Increased To $0.36
The board of Mercantile Bank Corporation ( NASDAQ:MBWM ) has announced that it will be paying its dividend of $0.36 on...Analysis Article • Jul 19
Mercantile Bank (NASDAQ:MBWM) Is Increasing Its Dividend To $0.36
The board of Mercantile Bank Corporation ( NASDAQ:MBWM ) has announced that it will be paying its dividend of $0.36 on...Seeking Alpha • Jul 17
Mercantile Bank: Q2 2024 Earnings Spike The Price
Summary Mortgage loan originations and commercial loan growth led to a positive market reaction. Loan to Deposit ratio is improving, but still high at 107%, with management aiming to bring it down to around 95%. MBWM may currently be overvalued, leading management to set aside a possible buyback and focus on maintaining capital ratios. Read the full article on Seeking AlphaAnalysis Article • Apr 19
Mercantile Bank Corporation Just Beat EPS By 17%: Here's What Analysts Think Will Happen Next
Mercantile Bank Corporation ( NASDAQ:MBWM ) just released its latest quarterly results and things are looking bullish...Seeking Alpha • Apr 14
Mercantile Bank: A Fantastic Prospect For Investors To Bank On
Summary Mercantile Bank Corporation is a small bank with consistent revenue and profit growth, making it an attractive investment opportunity. The bank offers commercial and retail banking services, as well as insurance products and trust services. Despite a decline in non-interest income and concerns about uninsured deposit exposure, the bank's shares are attractively priced and its asset quality is high. Read the full article on Seeking AlphaAnalysis Article • Jan 22
Mercantile Bank (NASDAQ:MBWM) Is Paying Out A Larger Dividend Than Last Year
Mercantile Bank Corporation ( NASDAQ:MBWM ) will increase its dividend from last year's comparable payment on the 13th...CEO Compensation Analysis
| Date | Total Compensation | Salary | Company Earnings |
|---|---|---|---|
| Jun 30 2026 | n/a | n/a | US$95m |
| Mar 31 2026 | n/a | n/a | US$92m |
| Dec 31 2025 | US$2m | US$735k | US$89m |
| Sep 30 2025 | n/a | n/a | US$86m |
| Jun 30 2025 | n/a | n/a | US$81m |
| Mar 31 2025 | n/a | n/a | US$78m |
| Dec 31 2024 | US$1m | US$628k | US$80m |
| Sep 30 2024 | n/a | n/a | US$80m |
| Jun 30 2024 | n/a | n/a | US$81m |
| Mar 31 2024 | n/a | n/a | US$83m |
| Dec 31 2023 | US$1m | US$485k | US$82m |
| Sep 30 2023 | n/a | n/a | US$84m |
| Jun 30 2023 | n/a | n/a | US$79m |
| Mar 31 2023 | n/a | n/a | US$71m |
| Dec 31 2022 | US$962k | US$441k | US$61m |
| Sep 30 2022 | n/a | n/a | US$51m |
| Jun 30 2022 | n/a | n/a | US$50m |
| Mar 31 2022 | n/a | n/a | US$56m |
| Dec 31 2021 | US$871k | US$406k | US$59m |
| Sep 30 2021 | n/a | n/a | US$61m |
| Jun 30 2021 | n/a | n/a | US$57m |
| Mar 31 2021 | n/a | n/a | US$48m |
| Dec 31 2020 | US$782k | US$401k | US$44m |
| Sep 30 2020 | n/a | n/a | US$43m |
| Jun 30 2020 | n/a | n/a | US$45m |
| Mar 31 2020 | n/a | n/a | US$48m |
| Dec 31 2019 | US$734k | US$371k | US$49m |
Compensation vs Market: Ray's total compensation ($USD1.77M) is below average for companies of similar size in the US market ($USD3.53M).
Compensation vs Earnings: Ray's compensation has increased by more than 20% in the past year.
CEO
Ray Reitsma (63 yo)
2.2yrs
Tenure
US$1,769,983
Compensation
Mr. Raymond E. Reitsma, also known as Ray, has been the President of Mercantile Bank since January 1, 2017 and is its Chief Executive Officer from June 1, 2024. Mr. Reitsma served as Executive Vice Preside...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 2.2yrs | US$1.77m | 0.52% $ 5.5m | |
| Executive VP | 28.6yrs | US$899.98k | 0.71% $ 7.7m | |
| Executive VP | 2.6yrs | US$697.73k | 0.19% $ 2.0m | |
| Executive VP & Chief Human Resource Officer | 3.6yrs | US$557.04k | 0.11% $ 1.2m | |
| Executive VP & Chief Commercial Banking Officer of the Mercantile Bank | no data | US$892.64k | 0.19% $ 2.0m | |
| Senior VP and Chief Compliance & Community Development Officer of Mercantile Bank | no data | no data | no data | |
| Senior VP & Head of Risk Management Department | no data | no data | no data | |
| Executive VP & Senior Lending Officer of Mercantile Bank | no data | no data | no data | |
| Executive VP & Chief Experience Officer of Mercantile Bank | no data | no data | 0.096% $ 1.0m | |
| Executive VP & Senior Lending Officer of Mercantile Bank | no data | no data | no data | |
| Senior VP & Chief Community Banking Officer of Mercantile Bank | no data | no data | no data | |
| Senior VP and Training & Marketing Director of Mercantile Bank | no data | no data | no data |
3.1yrs
Average Tenure
59yo
Average Age
Experienced Management: MBWM's management team is considered experienced (3.1 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 2.8yrs | US$1.77m | 0.52% $ 5.5m | |
| Independent Director | 6yrs | US$83.55k | 0.091% $ 980.2k | |
| Independent Chairman | 29.6yrs | US$113.70k | 0.28% $ 3.0m | |
| Independent Director | 9.7yrs | US$86.08k | 0.11% $ 1.2m | |
| Independent Director | 6yrs | US$78.64k | 0.066% $ 706.1k | |
| Independent Director | 2.4yrs | US$75.26k | 0.043% $ 458.8k | |
| Independent Director | 1.6yrs | US$65.85k | 0.038% $ 403.3k | |
| Independent Director | 1.6yrs | US$75.26k | 0.035% $ 370.7k | |
| Independent Director | less than a year | no data | 0.037% $ 391.5k | |
| Independent Director | 2.8yrs | US$92.57k | 0.038% $ 402.2k | |
| Independent Director | 1.6yrs | US$75.26k | 0.0097% $ 104.4k | |
| Independent Director | 1.6yrs | US$75.26k | 0.019% $ 203.9k |
2.6yrs
Average Tenure
56yo
Average Age
Experienced Board: MBWM's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/08/06 23:01 |
| End of Day Share Price | 2026/08/06 00:00 |
| Earnings | 2026/06/30 |
| Annual Earnings | 2025/12/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
| |
| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
| |
| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
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.
Analysis Model and Snowflake
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Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
Mercantile Bank Corporation is covered by 10 analysts. 6 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| Kevin Reevey | D.A. Davidson & Co. |
| Brendan Nosal | Hovde Group, LLC |
| Damon DelMonte | Keefe, Bruyette, & Woods |