RM stock: buy or sell?

RM stock price: $27.72 1.09% At close on September 20th, 2019

Updated on:
September 20th, 2019

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After sliding for 4 sessions, Friday Regional Management raised a good 1.09%, closing at $27.72. Last session broke a streak of 4 red sessions in a row.

Regional Management Corp., a diversified consumer finance company, provides various loan products primarily to customers with limited access to consumer credit from banks, thrifts, credit card companies, and other traditional lenders.

Should I buy RM stock?

You can't be a successful trader if you don't follow a methodolgy or system that assist you in choosing companies and the correct market timing. Having a trading plan helps to make decisions easier, quicker and with less hesitations. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

Currently, Regional Management stock doesn't match any of these trading strategies, so our recommendation is not to buy.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean RM will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is Regional Management stock a buy?

Financial institutions and banks publish stock ratings everyday. At Stocks2.com, we gathered 2 ratings published for RM stock in the last 30 days.

Is RM a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-2-22BTIG Researchn/aBuy
2019-1-7Keefe, Bruyette & Woodsn/aHold

RM stock analysis

Daily outlook

After sliding for 4 days, Friday Regional Management raised a good 1.09%, closing at $27.72.

After sliding for 4 sessions, Friday Regional Management raised a good 1.09%, closing at $27.72. Since price and SMA200d lines crossed up on September 3rd, RM climbed $1.97 (7.65%). Since July when SMA50d and SMA100d crossed up, RM price gained $3.13 per share (12.73%).

RM stock chart (daily)

Weekly outlook

Regional Management declined a fateful -2.22% this week. Early September RM rocketed an outstanding 10.59% in just one week.

In a weekly time frame, Regional Management stock is drawing an uptrend with rising tops and bottoms. Now trading in between its last bottom and last top, RM might consolidate in a flat-base, waiting to break out over or down under . Since this week when SMA20w and SMA40w crossed up, RM price slipped $-0.63 per share (-2.22%). Since early September when RM stock price broke up the SMA40w line, it gained $1.97 (7.65%).

RM stock chart (weekly)

RM stock price history

RM stock went public on March 28th, 2012 with a price of $17.001. Since then, RM stock grew a 63.10%, with a yearly average of 9.00%. If you had invested $1,000 in RM stock in 2012, it would worth $631.00 today.

1: Adjusted price after possible price splits or reverse-splits.

RM stock historical price chart

RM stock reached 52-week highs at $30.96, and all-time highs 2018-06-07 with a price of 37.21.

RM stock price target is $31.50

Nobody can reliably foresee how stock prices may evolve in the future. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. You should not follow the analysts' RM stock price predictions in the hope that they will be met as they may be wrong and not met. We have 2 price targets for RM stock released in the last 30 days:
RM stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-2-22BTIG ResearchInitiatesn/a$36.00-
2019-1-7Keefe, Bruyette & WoodsReiteratesn/a$27.00-
(in average)$0.00$31.500.0%
Moving in a range from $36.00 and $27.00, the price forecast for RM stock is $31.50. In average, analysts' outlook on RM price target is stable from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

Regional Management presented more than good results for 2018-Q4 on February. Regional Management escalated Earnings per Share (EPS) by 13.90%, beating experts of $0.79. Regional Management posted $0.90.
RM earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q1-n/a0.65n/a
2017-Q2-n/a0.52n/a
2017-Q32017-11-080.590.45-23.7%
2017-Q42018-02-130.590.625.1%
2018-Q12018-05-010.680.725.9%
2018-Q22018-07-310.650.77.7%
2018-Q32018-11-080.830.852.4%
2018-Q42019-02-120.790.913.9%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a

Annual financial results

In 2018, Regional Management annual revenues rose a wonderful 9.93% to $273.24 M USD from $248.55 marked in 2017. Nonetheless, its profit margin (compared to revenues) remained steady to 12.94%, that is $35.35 million.

RM annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$171 M-$29 M16.9%-
2014$190 M11.22%$15 M7.8%-48.59%
2015$201 M5.96%$23 M11.6%57.85%
2016$221 M9.70%$24 M10.9%2.85%
2017$249 M12.67%$30 M12.1%24.68%
2018$273 M9.93%$35 M12.9%17.96%

Quarterly financial results

Regional Management posted $74.11 M in revenues for 2018-Q4, a 7.11% up compared to previous quarter. Reported quarter income marked $10.77 million with a profit margin of 14.53%. Profit margin gained a 3.77% compared to previous quarter when profit margin was 10.77%. When comparing revenues to same quarter last year, Regional Management sales marked a super good increase and boosted a 13.50%. Looking back to recent quarterly results, Regional Management posted 2 negative quarters in a row.
RM quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q1$66 M-$8 M11.6%-
2017-Q2$65 M-0.73%$6 M9.4%-19.53%
2017-Q3$63 M-4.29%$5 M8.5%-13.53%
2017-Q4$65 M4.41%$11 M16.7%105.03%
2018-Q1$65 M0.24%$9 M13.2%-20.59%
2018-Q2$65 M-1.45%$8 M13.2%-1.87%
2018-Q3$69 M7.27%$7 M10.8%-12.18%
2018-Q4$74 M7.11%$11 M14.5%44.58%

Regional Management ownership

When you are planning to buy a company, it's always worth to overview its ownership structure.

Regional Management shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 37.42% of all shares.

In case of Regional Management stock, 0.00% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for RM stock account 0.00%, no big difference from last month.

For a better context understanding, the following table shows ownership data compared to other related companies:

RMCITOMFWRLD
Market cap$331.3 M$4.3 B$5.1 B$1.2 B
Total shares12.0 M94.7 M136.1 M9.0 M
Float shares9.3 M94.0 M76.3 M4.3 M
  - Institutional holdings (%)0.0%8.0%93.9%91.4%
  - Insider holdings (%)37.4%34.2%2.8%6.2%
Shares in short selling0.0%0.0%0.0%0.0%

RM summary

Friday, September 20th, 2019
Open$27.46
Close$27.72
Day range$27.33 - $27.85
Previous close$27.42
Session gain1.09%
Average true range$0.93
50d mov avg$26.67
100d mov avg$25.84
200d mov avg$25.89
Daily pattern
Weekly pattern lt06a

Regional Management performance

To better understand Regional Management performance you must becnhmark its gains with other related stocks in same sector or industry. For Regional Management, the benchmark is made against , OneMain and World Acceptance.
Stock3m6m12m
RMRegional Manageme...11.01%12.50%-4.81%
CIT-8.62%0.51%-13.01%
OMFOneMain21.66%26.16%13.39%
WRLDWorld Acceptance-13.44%23.48%14.54%

Regional Management competitors

We selected a few stocks to conform a list of Regional Management competitors to watch if you are interested in investing in RM: