Regional Management Corp., a diversified consumer finance company, provides various installment loan products primarily to customers with limited access to consumer credit from banks, thrifts, credit card companies, and other lenders. More Details
Fair value with moderate growth potential.
Share Price & News
How has Regional Management's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: RM is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: RM's weekly volatility (8%) has been stable over the past year.
7 Day Return
US Consumer Finance
1 Year Return
US Consumer Finance
Return vs Industry: RM underperformed the US Consumer Finance industry which returned -5.6% over the past year.
Return vs Market: RM underperformed the US Market which returned 19.7% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Regional Management's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall StTrade Alert: The Independent Director Of Regional Management Corp. (NYSE:RM), Roel Campos, Has Just Spent US$199k Buying 13% More Shares
3 weeks ago | Simply Wall StRegional Management Corp. Just Recorded A 84% EPS Beat: Here's What Analysts Are Forecasting Next
1 month ago | Simply Wall StWhat Is The Ownership Structure Like For Regional Management Corp. (NYSE:RM)?
Is Regional Management undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: RM ($27.98) is trading above our estimate of fair value ($19.06)
Significantly Below Fair Value: RM is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: RM is good value based on its PE Ratio (10.9x) compared to the US Consumer Finance industry average (12.1x).
PE vs Market: RM is good value based on its PE Ratio (10.9x) compared to the US market (19.7x).
Price to Earnings Growth Ratio
PEG Ratio: RM is good value based on its PEG Ratio (0.4x)
Price to Book Ratio
PB vs Industry: RM's PB Ratio (1.2x) is in line with the US Consumer Finance industry average.
How is Regional Management forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RM's forecast earnings growth (29.7% per year) is above the savings rate (2.2%).
Earnings vs Market: RM's earnings (29.7% per year) are forecast to grow faster than the US market (22% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: RM's revenue (6.5% per year) is forecast to grow slower than the US market (10.2% per year).
High Growth Revenue: RM's revenue (6.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: RM's Return on Equity is forecast to be low in 3 years time (12.4%).
How has Regional Management performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RM has high quality earnings.
Growing Profit Margin: RM's current net profit margins (7.6%) are lower than last year (11.9%).
Past Earnings Growth Analysis
Earnings Trend: RM's earnings have grown by 9.6% per year over the past 5 years.
Accelerating Growth: RM's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: RM had negative earnings growth (-29.6%) over the past year, making it difficult to compare to the Consumer Finance industry average (-24.5%).
Return on Equity
High ROE: RM's Return on Equity (10.3%) is considered low.
How is Regional Management's financial position?
Financial Position Analysis
Short Term Liabilities: RM's short term assets ($948.3M) exceed its short term liabilities ($43.6M).
Long Term Liabilities: RM's short term assets ($948.3M) exceed its long term liabilities ($721.5M).
Debt to Equity History and Analysis
Debt Level: RM's debt to equity ratio (251.2%) is considered high.
Reducing Debt: RM's debt to equity ratio has increased from 192.3% to 251.2% over the past 5 years.
Debt Coverage: RM's debt is well covered by operating cash flow (25.6%).
Interest Coverage: RM's interest payments on its debt are not well covered by EBIT (2.1x coverage).
What is Regional Management current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: RM's dividend (2.86%) is higher than the bottom 25% of dividend payers in the US market (1.47%).
High Dividend: RM's dividend (2.86%) is low compared to the top 25% of dividend payers in the US market (4.05%).
Stability and Growth of Payments
Stable Dividend: Too early to tell whether RM's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if RM's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: RM's dividends in 3 years are forecast to be well covered by earnings (22.8% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Rob Beck (56 yo)
Mr. Robert William Beck, also known as Rob, serves as President, Chief Executive Officer and Director at Regional Management Corp. since March 26, 2020 and served as its Executive Vice President and Chief ...
CEO Compensation Analysis
Compensation vs Market: Rob's total compensation ($USD1.10M) is below average for companies of similar size in the US market ($USD1.79M).
Compensation vs Earnings: Insufficient data to compare Rob's compensation with company performance.
|Executive VP & COO||3.5yrs||US$1.23m||0.35% |
|Executive VP and Chief Strategy & Development Officer||0.17yr||US$1.07m||0.30% |
|VP & Chief Accounting Officer||4.58yrs||no data||0.38% |
|Executive VP & CFO||no data||no data||no data|
|Senior VP||0.17yr||no data||0.20% |
|Chief Human Resources Officer & VP||8.33yrs||no data||no data|
|Executive VP & Chief Credit Risk Officer||0.83yr||no data||0.14% |
Experienced Management: RM's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.
|Independent Director||8.67yrs||US$229.70k||0.38% |
|Independent Director||6.33yrs||US$212.50k||1.36% |
|Independent Director||8.67yrs||US$212.50k||0.66% |
|Independent Chairman||1.33yrs||US$217.87k||0.40% |
|Independent Director||2.83yrs||US$195.00k||0.14% |
|Independent Director||2.83yrs||US$160.00k||0.12% |
|Independent Director||0.58yr||no data||0.069% |
Experienced Board: RM's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: RM insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.8%.
Regional Management Corp.'s company bio, employee growth, exchange listings and data sources
- Name: Regional Management Corp.
- Ticker: RM
- Exchange: NYSE
- Founded: 1987
- Industry: Consumer Finance
- Sector: Diversified Financials
- Market Cap: US$317.175m
- Shares outstanding: 11.34m
- Website: https://www.regionalmanagement.com
Number of Employees
- Regional Management Corp.
- 979 Batesville Road
- Suite B
- South Carolina
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|RM||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Mar 2012|
|46F||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Mar 2012|
Regional Management Corp., a diversified consumer finance company, provides various installment loan products primarily to customers with limited access to consumer credit from banks, thrifts, credit card ...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/11/26 23:59|
|End of Day Share Price||2020/11/25 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.