Merchants BancorpMBIN -0.88%79 5-Year Yield-on-Cost % is 1.67 as of Jul. 08, 2026, which is 12% below its 10-year median of 1.90. GuruFocus rates MBIN with a GF Score™ of 79/100 and a GF Value™ of $42.65 (Modestly Overvalued). The stock has 10 warning signs investors should review. Among 1,254 Banks companies, Merchants Bancorp ranks worse than 85.89% on this metric.
Merchants Bancorp's yield on cost for the quarter that ended in Mar. 2026 was 1.67.
The historical rank and industry rank for Merchants Bancorp's 5-Year Yield-on-Cost % or its related term are showing as below:
MBIN'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 0.42 Med: 1.9 Max: 4.07
Current: 1.67
During the past 11 years, Merchants Bancorp's highest Yield on Cost was 4.07. The lowest was 0.42. And the median was 1.90.
MBIN's 5-Year Yield-on-Cost % is ranked worse than 85.89% of 1254
companies
in the Banks industry
Industry Median: 3.905
vs MBIN: 1.67
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Merchants Bancorp 5-Year Yield-on-Cost % Related Terms
MBIN vs BANR, BLX, HAPN: 5-Year Yield-on-Cost % Comparison
For the Banks - Regional subindustry, Merchants Bancorp's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Merchants Bancorp 5-Year Yield-on-Cost % vs Banks Industry
For the Banks industry and Financial Services sector, Merchants Bancorp's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Merchants Bancorp's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Merchants Bancorp (MBIN) has a 5-Year Yield-on-Cost % of 1.67 as of Jul. 08, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Merchants Bancorp and its competitors. This is 12% below median its historical median of 1.90. Over the past decade, Merchants Bancorp's 5-Year Yield-on-Cost % has ranged from 0.42 to 4.07. According to the industry distribution chart, Merchants Bancorp ranks #1077 out of 1254 companies in the Banks industry, placing it in the top 85.9%.
Is Merchants Bancorp's 5-Year Yield-on-Cost % too high?
Merchants Bancorp's current 5-Year Yield-on-Cost % of 1.67 is 12% below median its 10-year median of 1.90. Over the past 10 years, this metric has ranged from a low of 0.42 to a high of 4.07. The Banks industry median 5-Year Yield-on-Cost % is 3.91. Merchants Bancorp's value of 1.67 is 57.2% below this industry median. Based on the distribution chart, Merchants Bancorp ranks #1077 out of 1254 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, Merchants Bancorp has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Merchants Bancorp's 5-Year Yield-on-Cost % compare to BANR and BLX?
According to the Banks industry distribution chart, Merchants Bancorp ranks #1077 out of 1254 companies for 5-Year Yield-on-Cost %. This places Merchants Bancorp in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 3.91. Merchants Bancorp's value of 1.67 is 57.2% below this benchmark. Historically, Merchants Bancorp's own 5-Year Yield-on-Cost % has ranged from 0.42 to 4.07 over the past decade. While the company's 10-year median is 1.90 vs. the industry median of 3.91, Merchants Bancorp has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for a Banks company?
The median 5-Year Yield-on-Cost % among Banks companies is 3.91, based on 1,254 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Merchants Bancorp's current 5-Year Yield-on-Cost % of 1.67 is 57.2% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Merchants Bancorp and its competitors. For the Banks industry, the median 5-Year Yield-on-Cost % is 3.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Merchants Bancorp's current 5-Year Yield-on-Cost % is 1.67, which is 12% below median its own 10-year median of 1.90. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Merchants Bancorp stock overvalued right now?
Based on GuruFocus' analysis, Merchants Bancorp (MBIN) is currently considered Modestly Overvalued. The stock's GF Value™ is $42.65, compared to a current price of $47.46 — trading 11.3% above its estimated fair value. The current 5-Year Yield-on-Cost % is 1.67, which is 12% below median its 10-year median of 1.90 and 57.2% below the Banks industry median of 3.91. Merchants Bancorp's overall GF Score™ is 79/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Merchants Bancorp (MBIN), the current 5-Year Yield-on-Cost % is 1.67 as of Jul. 08, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Merchants Bancorp (MBIN) Overvalued in 2026?
Based on GuruFocus' analysis, Merchants Bancorp stock appears to be overvalued.
The current stock price of $47.46 is trading 11.3% above its estimated GF Value™ of $42.65.
GuruFocus considers Merchants Bancorp to be Modestly Overvalued.
Key valuation signals for MBIN:
5-Year Yield-on-Cost %: 1.67 (12% below median its 10-year median of 1.90)
GF Value™: $42.65 vs. price of $47.46 (11.3% above fair value)
Industry Position: 57.2% below the Banks median (#1077 of 1254)
No single metric tells the full story. See the MBIN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Merchants Bancorp is a United States-based bank holding company operating multiple lines of business focused on FHA multi-family housing and healthcare facility financing and servicing, retail and correspondent residential mortgage banking, and traditional community banking. Its segments include Multi-family Mortgage Banking, which originates and services government-sponsored mortgages for multi-family and healthcare facilities; Mortgage Warehousing, which offers mortgage warehouse financing, commercial loans and deposit services; and the Banking segment, which generates maximum revenue and provides portfolio lending for multi-family and healthcare facility loans, residential mortgage banking, agricultural lending, SBA lending and community banking.
79GF Score
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