Regional Management Corp. (RM) - What Are Investment Firms Thinking About This Stock?

Key Points

• Analysts remain moderately bullish: Regional Management has a consensus “Moderate Buy” rating, with three buys and two holds, and an average 12-month price target of $41.50.
• Third-quarter results exceeded expectations: EPS came in at $1.61 versus the $1.47 consensus, while revenue rose 8% year over year to a record $178.8 million. The company is targeting 5%–7% portfolio growth in 2026 and declared a quarterly dividend of $0.30 per share.
• Rising credit costs remain a key risk: The provision for credit losses increased 9.4% to $66.2 million, and the net credit loss rate worsened to 10.9% from 10.2% a year earlier as finance receivables expanded.

Regional Management Corp. (NYSE:RM - Get Free Report) has been assigned an average recommendation of "Moderate Buy" from the five research firms that are currently covering the stock, Marketbeat.com reports. Two analysts have rated the stock with a hold recommendation and three have given a buy recommendation to the company. The average twelve-month price objective among analysts that have covered the stock in the last year is $41.50.

A number of brokerages have recently commented on RM. Wall Street Zen raised Regional Management from a "hold" rating to a "buy" rating in a research note on Monday, October 12th. Stephens reissued an "overweight" rating and set a $40.00 price objective on shares of Regional Management in a research note on Thursday. Citizens Jmp decreased their price objective on shares of Regional Management from $45.00 to $43.00 and set a "market outperform" rating for the company in a report on Thursday, July 30th. Citigroup reaffirmed a "market outperform" rating on shares of Regional Management in a research note on Thursday, July 30th. Finally, Weiss Ratings downgraded shares of Regional Management from a "hold (c+)" rating to a "hold (c)" rating in a research note on Thursday, October 8th.

More Regional Management News

Here are the key news stories impacting Regional Management this week:

• Positive Sentiment: Third-quarter diluted EPS was $1.61, exceeding the $1.47 analyst consensus, while revenue rose 8.0% year over year to a record $178.8 million, above the $174.69 million estimate. Net income increased 5.3% to $15.1 million. Regional Management quarterly earnings report
• Positive Sentiment: Net finance receivables grew 7.6% year over year to approximately $2.2 billion, indicating continued portfolio expansion. Management is forecasting 5% to 7% portfolio growth in 2026 and is targeting a long-term return on equity above 18%. Regional Management growth and ROE outlook
• Positive Sentiment: Regional Management declared a quarterly dividend of $0.30 per share, or $1.20 annualized, representing a yield of roughly 3.6% based on the supplied share price. The dividend is payable December 16 to shareholders of record November 18. Regional Management third-quarter dividend announcement
• Neutral Sentiment: The company also disclosed leadership changes. While management emphasized growth and profitability goals, investors may seek additional details on the transition and its effect on execution. Regional Management Q3 results and leadership changes
• Negative Sentiment: Credit costs increased: the provision for credit losses rose 9.4% to $66.2 million, and the net credit loss rate worsened to 10.9% from 10.2% a year earlier. This remains a key risk for future earnings as the loan portfolio expands. Regional Management record revenue and credit-loss report

Regional Management Trading Up 14.1%

RM stock traded up $4.75 during midday trading on Thursday, reaching $38.41. The company's stock had a trading volume of 6,555 shares, compared to its average volume of 71,642. Regional Management has a 52 week low of $29.89 and a 52 week high of $44.29. The stock has a market cap of $354.32 million, a PE ratio of 8.08 and a beta of 1.02. The company has a quick ratio of 64.04, a current ratio of 64.04 and a debt-to-equity ratio of 4.41. The business's 50-day simple moving average is $32.74 and its 200-day simple moving average is $35.36.

Regional Management (NYSE:RM - Get Free Report) last announced its quarterly earnings data on Wednesday, October 28th. The credit services provider reported $1.61 EPS for the quarter, topping analysts' consensus estimates of $1.47 by $0.14. Regional Management had a return on equity of 12.49% and a net margin of 6.98%. The business had revenue of $178.78 million during the quarter, compared to analysts' expectations of $174.69 million.

Regional Management Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, December 16th. Stockholders of record on Wednesday, November 18th will be issued a $0.30 dividend. The ex-dividend date of this dividend is Wednesday, November 18th. This represents a $1.20 annualized dividend and a dividend yield of 3.1%. Regional Management's payout ratio is 25.26%.

Insider Buying and Selling at Regional Management

In other Regional Management news, CEO Lakhbir S. Lamba purchased 3,500 shares of the company's stock in a transaction dated Wednesday, August 12th. The shares were bought at an average price of $31.76 per share, with a total value of $111,160.00. Following the completion of the transaction, the chief executive officer directly owned 55,734 shares in the company, valued at $1,770,111.84. This trade represents a 6.70% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, major shareholder Fund L.P. Forager sold 10,401 shares of Regional Management stock in a transaction dated Thursday, September 17th. The shares were sold at an average price of $32.22, for a total value of $335,120.22. Following the transaction, the insider owned 919,136 shares in the company, valued at $29,614,561.92. This trade represents a 1.12% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 29,722 shares of company stock worth $958,879 in the last ninety days. 10.90% of the stock is currently owned by company insiders.

Institutional Trading of Regional Management

Large investors have recently bought and sold shares of the business. Janney Montgomery Scott LLC lifted its position in Regional Management by 2.8% during the 1st quarter. Janney Montgomery Scott LLC now owns 17,464 shares of the credit services provider's stock worth $563,000 after buying an additional 473 shares in the last quarter. GAMMA Investing LLC boosted its stake in shares of Regional Management by 183.8% during the 3rd quarter. GAMMA Investing LLC now owns 931 shares of the credit services provider's stock worth $28,000 after buying an additional 603 shares during the last quarter. Legal & General Group Plc acquired a new position in shares of Regional Management during the 2nd quarter worth about $33,000. Versant Capital Management Inc grew its holdings in shares of Regional Management by 140.7% in the 3rd quarter. Versant Capital Management Inc now owns 1,663 shares of the credit services provider's stock valued at $50,000 after acquiring an additional 972 shares in the last quarter. Finally, Allspring Global Investments Holdings LLC grew its holdings in shares of Regional Management by 10.2% in the 1st quarter. Allspring Global Investments Holdings LLC now owns 11,810 shares of the credit services provider's stock valued at $385,000 after acquiring an additional 1,092 shares in the last quarter. 98.89% of the stock is owned by institutional investors.

Regional Management Company Profile

Regional Management Corp. NYSE: RM is a consumer finance company that provides credit products to individuals who may have limited access to traditional bank financing. The company primarily offers small and medium-sized installment loans, including secured and unsecured personal loans, through a network of local branches and digital channels.

Its services may also include optional credit-related products, such as insurance and other ancillary offerings associated with consumer lending.

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