Meridian: DA Davidson Raises PT to $19, Maintains Buy Rating

Meridian: DA Davidson Raises PT to $19, Maintains Buy Rating

In a recent update, DA Davidson has raised its price target on Meridian Bank (NASDAQ:MRBK) to $19.00, up from $17.00, while maintaining a Buy rating on the stock. This move follows the regional bank's strong quarterly results, which demonstrated a net interest margin (NIM) expansion of 8 basis points quarter-over-quarter, surpassing expectations. Additionally, Meridian Bank reported solid loan growth of 7%, aligning with its high-single-digit growth outlook for 2025.

The bank's impressive 17.11% revenue growth over the last twelve months complements its diversified business model, which includes a mortgage-heavy segment. Pre-provision net revenue (PPNR) beat expectations, driven by better net interest income and fees, partially offset by weaker operating expenses. The stock has gained 9.11% year-to-date, trading near its Fair Value, according to InvestingPro analysis.

DA Davidson highlighted the significance of these growth metrics, noting that Meridian Bank is an "above-peer grower" trading at a low price-to-tangible book value of 0.9x. The firm's analysis also revealed a low P/E ratio relative to near-term earnings growth, making the stock attractive to investors.

In other recent news, Meridian Corp released an earnings supplement for the second quarter of 2025, providing detailed financial performance data. Additionally, the company held its Annual Meeting of Shareholders, where three Class B directors were elected for a three-year term ending in 2028. These developments offer investors critical insights into Meridian Corp's governance and financial reporting.

References:
[1] https://www.investing.com/news/analyst-ratings/meridian-bank-stock-price-target-raised-to-19-by-da-davidson-on-nim-expansion-93CH-4157652
[2] https://ca.investing.com/news/analyst-ratings/da-davidson-reiterates-buy-rating-on-amkor-technology-stock-93CH-4124174
[3] https://www.investing.com/news/analyst-ratings/simpson-manufacturing-price-target-raised-to-185-from-180-at-da-davidson-93CH-4158116