Merchants Bancorp price target lowered to $42 from $51 at Piper Sandler

Piper Sandler analyst Nathan Rice lowered the firm’s price target on Merchants Bancorp (MBIN) to $42 from $51 and keeps an Overweight rating on the shares. The firm believes the shares’ underperformance represents an attractive buying opportunity with Merchants Bancorp trading at only 0.88-turns tangible book value and 6.3-turns/5.9-turns its revised 2025/2026 operating EPS. Results in Q1 were challenged from both an net interest income and fee income perspective, which was at least partially tied to substantial medium term rate volatility year-to-date.