- Loans will likely continue to grow as low interest rates drive mortgage purchase volume.
- Refinancing volume will likely decline next year due to stable interest rates. As a result, non-interest income will likely decrease in 2021.
- Margins will likely remain stable because MBIN’s assets and funds have short durations. The company’s balance sheet has already incorporated most of the impact of interest rate cuts.
- Valuation analysis suggests a high upside from MBIN’s current stock price.
For further details see:
Merchants Bancorp: Earnings Outlook Remains Positive