Mercantile Bank Stock Market Value
| MBWM Stock | USD 44.71 1.04 2.38% |
| Symbol | Mercantile |
Is Regional Banks space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Mercantile Bank. If investors know Mercantile will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Mercantile Bank listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Mercantile Bank is measured differently than its book value, which is the value of Mercantile that is recorded on the company's balance sheet. Investors also form their own opinion of Mercantile Bank's value that differs from its market value or its book value, called intrinsic value, which is Mercantile Bank's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Mercantile Bank's market value can be influenced by many factors that don't directly affect Mercantile Bank's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Mercantile Bank's value and its price as these two are different measures arrived at by different means. Investors typically determine if Mercantile Bank is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Mercantile Bank's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Mercantile Bank 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Mercantile Bank's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Mercantile Bank.
| 12/15/2024 |
| 03/15/2025 |
If you would invest 0.00 in Mercantile Bank on December 15, 2024 and sell it all today you would earn a total of 0.00 from holding Mercantile Bank or generate 0.0% return on investment in Mercantile Bank over 90 days. Mercantile Bank is related to or competes with Great Southern, First Bancorp, MidWestOne Financial, and Lakeland Financial. Mercantile Bank Corporation operates as the bank holding company for Mercantile Bank of Michigan that provides commercia... More
Mercantile Bank Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Mercantile Bank's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Mercantile Bank upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.01) | |||
| Maximum Drawdown | 10.79 | |||
| Value At Risk | (3.56) | |||
| Potential Upside | 2.96 |
Mercantile Bank Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Mercantile Bank's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Mercantile Bank's standard deviation. In reality, there are many statistical measures that can use Mercantile Bank historical prices to predict the future Mercantile Bank's volatility.| Risk Adjusted Performance | (0.05) | |||
| Jensen Alpha | (0.08) | |||
| Total Risk Alpha | 0.1225 | |||
| Treynor Ratio | (0.28) |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Mercantile Bank's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Mercantile Bank Backtested Returns
Mercantile Bank has Sharpe Ratio of -0.0606, which conveys that the firm had a -0.0606 % return per unit of risk over the last 3 months. Mercantile Bank exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify Mercantile Bank's Risk Adjusted Performance of (0.05), standard deviation of 2.05, and Mean Deviation of 1.49 to check out the risk estimate we provide. The company secures a Beta (Market Risk) of 0.49, which conveys possible diversification benefits within a given portfolio. As returns on the market increase, Mercantile Bank's returns are expected to increase less than the market. However, during the bear market, the loss of holding Mercantile Bank is expected to be smaller as well. At this point, Mercantile Bank has a negative expected return of -0.12%. Please make sure to verify Mercantile Bank's treynor ratio, kurtosis, as well as the relationship between the Kurtosis and day typical price , to decide if Mercantile Bank performance from the past will be repeated at some point in the near future.
Auto-correlation | -0.5 |
Modest reverse predictability
Mercantile Bank has modest reverse predictability. Overlapping area represents the amount of predictability between Mercantile Bank time series from 15th of December 2024 to 29th of January 2025 and 29th of January 2025 to 15th of March 2025. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Mercantile Bank price movement. The serial correlation of -0.5 indicates that about 50.0% of current Mercantile Bank price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.5 | |
| Spearman Rank Test | 0.03 | |
| Residual Average | 0.0 | |
| Price Variance | 2.73 |
Mercantile Bank lagged returns against current returns
Autocorrelation, which is Mercantile Bank stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Mercantile Bank's stock expected returns. We can calculate the autocorrelation of Mercantile Bank returns to help us make a trade decision. For example, suppose you find that Mercantile Bank has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Mercantile Bank regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Mercantile Bank stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Mercantile Bank stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Mercantile Bank stock over time.
Current vs Lagged Prices |
| Timeline |
Mercantile Bank Lagged Returns
When evaluating Mercantile Bank's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Mercantile Bank stock have on its future price. Mercantile Bank autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Mercantile Bank autocorrelation shows the relationship between Mercantile Bank stock current value and its past values and can show if there is a momentum factor associated with investing in Mercantile Bank.
Regressed Prices |
| Timeline |
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Mercantile Bank technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.