MBIN vs. HESM

Last updated Jun 3, 2026

MBIN (Merchants Bancorp) and HESM (Hess Midstream LP) are both stocks. MBIN operates in Banks - Regional (Financial Services), while HESM operates in Oil & Gas Midstream (Energy). Over the past 5 years, MBIN returned 11.77%/yr vs 17.07%/yr for HESM. At a 0.25 correlation, their price movements are largely independent.

Performance

MBIN vs. HESM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Merchants Bancorp (MBIN) and Hess Midstream LP (HESM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MBIN achieves a 38.09% return, which is significantly higher than HESM's 15.44% return.

MBIN

• 1D: 1.32%
• 1M: 0.67%
• YTD: 38.09%
• 6M: 42.87%
• 1Y: 50.12%
• 3Y*: 25.28%
• 5Y*: 11.77%
• 10Y*: —

HESM

• 1D: 0.71%
• 1M: 2.27%
• YTD: 15.44%
• 6M: 20.00%
• 1Y: 10.32%
• 3Y*: 18.82%
• 5Y*: 17.07%
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

MBIN vs. HESM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
MBIN Merchants Bancorp	38.09%	-5.51%	-13.59%	77.01%	-22.06%	72.80%	42.55%	0.30%	2.43%	17.43%
HESM Hess Midstream LP	15.44%	0.56%	26.41%	14.36%	16.62%	52.91%	-5.29%	43.83%	-8.61%	-1.28%

Correlation

The correlation between MBIN and HESM is 0.04, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.04
Correlation (3Y) Calculated over the trailing 3-year period	0.18
Correlation (5Y) Calculated over the trailing 5-year period	0.23
Correlation (All Time) Calculated using the full available price history since Oct 30, 2017	0.25

Over the past year, the correlation between MBIN and HESM has dropped to 0.04 - well below their long-term average of 0.25, suggesting their price drivers have been diverging.

Fundamentals

Market Cap MBIN : $2.16B HESM : $4.93B
EPS MBIN : $4.97 HESM : $2.89
PE Ratio MBIN : 9.44 HESM : 13.22
PS Ratio MBIN : 1.63 HESM : 2.99
PB Ratio MBIN : 0.93 HESM : 13.16
Total Revenue (TTM) MBIN : $1.32B HESM : $1.63B
Gross Profit (TTM) MBIN : $423.13M HESM : $1.13B
EBITDA (TTM) MBIN : $188.84M HESM : $1.24B

Return for Risk

MBIN vs. HESM — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

MBIN

MBIN Risk / Return Rank: 77
MBIN Sharpe Ratio Rank: 79
MBIN Sortino Ratio Rank: 74
MBIN Omega Ratio Rank: 75
MBIN Calmar Ratio Rank: 78
MBIN Martin Ratio Rank: 77

HESM

HESM Risk / Return Rank: 50
HESM Sharpe Ratio Rank: 56
HESM Sortino Ratio Rank: 46
HESM Omega Ratio Rank: 47
HESM Calmar Ratio Rank: 51
HESM Martin Ratio Rank: 51

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

MBIN vs. HESM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Merchants Bancorp (MBIN) and Hess Midstream LP (HESM). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	MBIN	HESM	Difference
Sharpe ratio Return per unit of total volatility	1.38	0.43	+0.95
Sortino ratio Return per unit of downside risk	1.99	0.72	+1.27
Omega ratio Gain probability vs. loss probability	1.27	1.10	+0.17
Calmar ratio Return relative to maximum drawdown	2.54	0.47	+2.08
Martin ratio Return relative to average drawdown	5.71	0.96	+4.75
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

MBIN vs. HESM - Sharpe Ratio Comparison

The current MBIN Sharpe Ratio is 1.38, which is higher than the HESM Sharpe Ratio of 0.43. The chart below compares the historical Sharpe Ratios of MBIN and HESM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	MBIN	HESM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.38	0.43	+0.95
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.33	0.63	-0.30
Sharpe Ratio (All Time) Calculated using the full available price history	0.49	0.33	+0.16

Drawdowns

MBIN vs. HESM - Drawdown Comparison

The maximum MBIN drawdown since its inception was -53.77%, smaller than the maximum HESM drawdown of -75.16%. Use the drawdown chart below to compare losses from any high point for MBIN and HESM.

Drawdown Indicators

	MBIN	HESM	Difference
Max Drawdown Largest peak-to-trough decline	-53.77%	-75.16%	+21.39%
Max Drawdown (1Y) Largest decline over 1 year	-18.94%	-25.78%	+6.84%
Max Drawdown (3Y) Largest decline over 3 years	-43.94%	-25.78%	-18.16%
Max Drawdown (5Y) Largest decline over 5 years	-43.94%	-28.72%	-15.22%
Current Drawdown Current decline from peak	-9.11%	-6.24%	-2.87%
Average Drawdown Average peak-to-trough decline	-19.93%	-11.79%	-8.14%
Ulcer Index Depth and duration of drawdowns from previous peaks	8.44%	12.64%	-4.20%

Volatility

MBIN vs. HESM - Volatility Comparison

The current volatility for Merchants Bancorp (MBIN) is 6.16%, while Hess Midstream LP (HESM) has a volatility of 8.98%. This indicates that MBIN experiences smaller price fluctuations and is considered to be less risky than HESM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MBIN	HESM	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.16%	8.98%	-2.82%
Volatility (6M) Calculated over the trailing 6-month period	27.09%	14.99%	+12.10%
Volatility (1Y) Calculated over the trailing 1-year period	36.50%	24.24%	+12.26%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	35.95%	27.36%	+8.59%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	40.23%	38.86%	+1.37%

Dividends

MBIN vs. HESM - Dividend Comparison

MBIN's dividend yield for the trailing twelve months is around 0.87%, less than HESM's 7.95% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
HESM Hess Midstream LP	7.95%	8.41%	7.12%	7.50%	7.30%	6.93%	8.86%	6.89%	8.00%	2.93%
MBIN Merchants Bancorp	0.87%	1.17%	0.99%	0.75%	1.15%	0.76%	1.16%	1.42%	1.20%	0.25%

Financials

MBIN vs. HESM - Profitability Comparison

The chart below illustrates the profitability comparison between Merchants Bancorp and Hess Midstream LP over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

MBIN - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Merchants Bancorp reported a gross profit of 0.00 and revenue of 270.51M. Therefore, the gross margin over that period was 0.0%.

HESM - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Hess Midstream LP reported a gross profit of 246.00M and revenue of 390.10M. Therefore, the gross margin over that period was 63.1%.

MBIN - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Merchants Bancorp reported an operating income of 0.00 and revenue of 270.51M, resulting in an operating margin of 0.0%.

HESM - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Hess Midstream LP reported an operating income of 238.10M and revenue of 390.10M, resulting in an operating margin of 61.0%.

MBIN - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Merchants Bancorp reported a net income of 67.73M and revenue of 270.51M, resulting in a net margin of 25.0%.

HESM - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Hess Midstream LP reported a net income of 87.60M and revenue of 390.10M, resulting in a net margin of 22.5%.

Frequently Asked Questions

Can I hold both MBIN and HESM in my portfolio?

MBIN and HESM have a correlation of 0.04, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MBIN or HESM?

HESM has higher volatility (8.98%) compared to MBIN (6.16%). In terms of maximum drawdown, MBIN dropped -53.77% vs HESM's -75.16%.

Which has better risk-adjusted returns?

MBIN currently has the higher Sharpe Ratio (1.38 vs 0.43), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.