Merchants Bancorp Joins S&P SmallCap 600

Published February 12, 2026 by The Daily Scout

Merchants Bancorp is set to join the S&P SmallCap 600 index, replacing TreeHouse Foods Inc. The inclusion is expected to increase the bank's visibility among institutional investors and may lead to a short-term price increase as index funds adjust their holdings.

Why it matters

- TreeHouse Foods is being removed from the S&P SmallCap 600 due to its pending acquisition by private equity firm Investindustrial S.A. S&P Dow Jones Indices removes companies that are acquired or no longer meet eligibility criteria. - To be included in the S&P SmallCap 600, a company must have a market capitalization between $1.2 billion and $8 billion, and its recent quarterly earnings and the sum of its trailing four consecutive quarters' earnings must be positive. - Merchants Bancorp is a diversified bank holding company headquartered in Carmel, Indiana, with operations in multi-family mortgage banking, mortgage warehousing, and traditional community banking. As of December 31, 2025, the company had $19.4 billion in assets and $13.0 billion in deposits. - For the fourth quarter ending December 31, 2025, Merchants Bancorp reported a net interest income of $138.09 million and a net income of $67.85 million. For the full year, net interest income was $517.06 million with a net income of $218.77 million. - Studies have shown that inclusion in a major stock index can lead to a short-term increase in a company's stock price. This is often attributed to buying pressure from index funds and institutional investors that track the index. - In January 2026, Merchants Bancorp's board of directors authorized a share repurchase program for up to $100 million of its common stock. - The consensus rating for Merchants Bancorp among five Wall Street analysts is a "Moderate Buy". The average 12-month price target is around $41.00. - TreeHouse Foods' stock was delisted from the New York Stock Exchange on February 11, 2026, following its acquisition.

Key numbers

Merchants Bancorp is set to join the S&P SmallCap 600 index, replacing TreeHouse Foods Inc.
- TreeHouse Foods is being removed from the S&P SmallCap 600 due to its pending acquisition by private equity firm Investindustrial S.A.
To be included in the S&P SmallCap 600, a company must have a market capitalization between $1.2 billion and $8 billion, and its recent quarterly earnings and the sum of its trailing four consecutive quarters' earnings must be positive.
As of December 31, 2025, the company had $19.4 billion in assets and $13.0 billion in deposits.

What happens next

The average 12-month price target is around $41.00.
Merchants Bancorp is set to join the S&P SmallCap 600 index, replacing TreeHouse Foods Inc.
The inclusion is expected to increase the bank's visibility among institutional investors and may lead to a short-term price increase as index funds adjust their holdings.

Sources

Quick answers

What happened in Merchants Bancorp Joins S&P SmallCap 600?

Why does Merchants Bancorp Joins S&P SmallCap 600 matter?

TreeHouse Foods is being removed from the S&P SmallCap 600 due to its pending acquisition by private equity firm Investindustrial S.A. S&P Dow Jones Indices removes companies that are acquired or no longer meet eligibility criteria. To be included in the S&P SmallCap 600, a company must have a market capitalization between $1.2 billion and $8 billion, and its recent quarterly earnings and the sum of its trailing four consecutive quarters' earnings must be positive. Merchants Bancorp is a diversified bank holding company headquartered in Carmel, Indiana, with operations in multi-family mortgage banking, mortgage warehousing, and traditional community banking. As of December 31, 2025, the company had $19.4 billion in assets and $13.0 billion in deposits. For the fourth quarter ending December 31, 2025, Merchants Bancorp reported a net interest income of $138.09 million and a net income of $67.85 million. For the full year, net interest income was $517.06 million with a net income of $218.77 million. Studies have shown that inclusion in a major stock index can lead to a short-term increase in a company's stock price. This is often attributed to buying pressure from index funds and institutional investors that track the index. In January 2026, Merchants Bancorp's board of directors authorized a share repurchase program for up to $100 million of its common stock. The consensus rating for Merchants Bancorp among five Wall Street analysts is a "Moderate Buy". The average 12-month price target is around $41.00. TreeHouse Foods' stock was delisted from the New York Stock Exchange on February 11, 2026, following its acquisition.