Pacific Mercantile Bancorp operates as a holding company for the Pacific Mercantile Bank that provides a range of commercial banking products and services to middle-market businesses, professional firms, and individuals. More Details
Solid track record with adequate balance sheet.
Share Price & News
How has Pacific Mercantile Bancorp's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PMBC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: PMBC's weekly volatility (5%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: PMBC exceeded the US Banks industry which returned 78% over the past year.
Return vs Market: PMBC exceeded the US Market which returned 52.4% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Pacific Mercantile Bancorp's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 months ago | Simply Wall StHave Insiders Been Buying Pacific Mercantile Bancorp (NASDAQ:PMBC) Shares This Year?
3 months ago | Simply Wall StWould Shareholders Who Purchased Pacific Mercantile Bancorp's (NASDAQ:PMBC) Stock Three Years Be Happy With The Share price Today?
4 months ago | Simply Wall StWhat Kind Of Shareholders Hold The Majority In Pacific Mercantile Bancorp's (NASDAQ:PMBC) Shares?
Is Pacific Mercantile Bancorp undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PMBC ($8.89) is trading below our estimate of fair value ($11.64)
Significantly Below Fair Value: PMBC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PMBC is poor value based on its PE Ratio (14.9x) compared to the US Banks industry average (12.1x).
PE vs Market: PMBC is good value based on its PE Ratio (14.9x) compared to the US market (20.6x).
Price to Earnings Growth Ratio
PEG Ratio: PMBC is poor value based on its PEG Ratio (2.5x)
Price to Book Ratio
PB vs Industry: PMBC is overvalued based on its PB Ratio (1.3x) compared to the US Banks industry average (1.1x).
How is Pacific Mercantile Bancorp forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PMBC's forecast earnings growth (6% per year) is above the savings rate (2%).
Earnings vs Market: PMBC's earnings (6% per year) are forecast to grow slower than the US market (16% per year).
High Growth Earnings: PMBC's earnings are forecast to grow, but not significantly.
Revenue vs Market: PMBC's revenue (5.9% per year) is forecast to grow slower than the US market (9.3% per year).
High Growth Revenue: PMBC's revenue (5.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if PMBC's Return on Equity is forecast to be high in 3 years time
How has Pacific Mercantile Bancorp performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PMBC has high quality earnings.
Growing Profit Margin: PMBC's current net profit margins (24.4%) are higher than last year (5.5%).
Past Earnings Growth Analysis
Earnings Trend: PMBC's earnings have grown significantly by 30.6% per year over the past 5 years.
Accelerating Growth: PMBC's earnings growth over the past year (501.1%) exceeds its 5-year average (30.6% per year).
Earnings vs Industry: PMBC earnings growth over the past year (501.1%) exceeded the Banks industry 17.1%.
Return on Equity
High ROE: PMBC's Return on Equity (8.7%) is considered low.
How is Pacific Mercantile Bancorp's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: PMBC's Assets to Equity ratio (9.8x) is low.
Allowance for Bad Loans: PMBC has a low allowance for bad loans (44%).
Low Risk Liabilities: 98% of PMBC's liabilities are made up of primarily low risk sources of funding.
Loan Level: PMBC has an appropriate level of Loans to Assets ratio (78%).
Low Risk Deposits: PMBC's Loans to Deposits ratio (89%) is appropriate.
Level of Bad Loans: PMBC has a high level of bad loans (3.3%).
What is Pacific Mercantile Bancorp current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate PMBC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate PMBC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if PMBC's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if PMBC's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of PMBC's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Brad Dinsmore (57 yo)
Mr. Bradford R. Dinsmore, also known as Brad, has been the President, Chief Executive Officer and Director of Pacific Mercantile Bancorp. and Pacific Mercantile Bank since September 3, 2019. Mr. Dinsmore s...
CEO Compensation Analysis
Compensation vs Market: Brad's total compensation ($USD583.10K) is below average for companies of similar size in the US market ($USD990.84K).
Compensation vs Earnings: Brad's compensation has been consistent with company performance over the past year.
Experienced Management: PMBC's management team is seasoned and experienced (7.4 years average tenure).
Experienced Board: PMBC's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: PMBC insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Pacific Mercantile Bancorp's company bio, employee growth, exchange listings and data sources
- Name: Pacific Mercantile Bancorp
- Ticker: PMBC
- Exchange: NasdaqGS
- Founded: 1998
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$198.427m
- Shares outstanding: 22.32m
- Website: https://www.pmbank.com
Number of Employees
- Pacific Mercantile Bancorp
- 949 South Coast Drive
- Third Floor
- Costa Mesa
- United States
Pacific Mercantile Bancorp operates as a holding company for the Pacific Mercantile Bank that provides a range of commercial banking products and services to middle-market businesses, professional firms, a...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/05/06 00:19|
|End of Day Share Price||2021/05/05 00:00|
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.