Mercantile Bank (US:MBWM) ZACKSยท2024-07-09 15:01Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for Mercantile Bank despite higher revenues, with a focus on how actual results compare to estimates impacting stock price [1][2]. Revenue and Earnings Estimates - Revenues for the upcoming quarter are expected to be $56.23 million, reflecting a 1.9% increase from the same quarter last year [3]. - The consensus EPS estimate has been revised 1.3% higher in the last 30 days, indicating a reassessment by analysts [3]. - The expected EPS for the quarter is $1.17, representing a year-over-year decline of 7.9% [5]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates a negative Earnings ESP of -0.28%, suggesting analysts have become bearish on the company's earnings prospects [12]. - The stock currently holds a Zacks Rank of 3, making it challenging to predict a beat on the consensus EPS estimate [13][14]. Historical Performance - In the last reported quarter, Mercantile Bank exceeded the expected EPS of $1.14 by delivering $1.34, resulting in a surprise of +17.54% [15]. - The company has beaten consensus EPS estimates in all of the last four quarters [16]. Conclusion - While the company may not be a strong candidate for an earnings beat, investors should consider other factors before making investment decisions ahead of the earnings release [19].