Regional Management (NYSE:RM) Cut to “Hold” at Wall Street Zen

Wall Street Zen lowered shares of Regional Management (NYSE:RM) from a buy rating to a hold rating in a research report sent to investors on Friday morning.

Separately, Keefe, Bruyette & Woods dropped their target price on Regional Management from $33.00 to $30.00 and set a “market perform” rating on the stock in a report on Friday, May 2nd.

Regional Management Stock Down 1.5%

NYSE RM opened at $32.42 on Friday. The stock’s 50 day moving average is $29.25 and its 200 day moving average is $31.36. The company has a current ratio of 45.13, a quick ratio of 45.13 and a debt-to-equity ratio of 4.11. Regional Management has a 12 month low of $25.41 and a 12 month high of $37.52. The stock has a market cap of $321.61 million, a PE ratio of 9.82 and a beta of 1.18.

Regional Management (NYSE:RM) last released its earnings results on Wednesday, April 30th. The credit services provider reported $0.70 earnings per share for the quarter, beating the consensus estimate of $0.67 by $0.03. The firm had revenue of $152.97 million for the quarter, compared to the consensus estimate of $153.59 million. Regional Management had a return on equity of 10.57% and a net margin of 5.53%. Research analysts predict that Regional Management will post 4.7 EPS for the current fiscal year.

Regional Management Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, June 11th. Stockholders of record on Wednesday, May 21st were paid a $0.30 dividend. The ex-dividend date of this dividend was Wednesday, May 21st. This represents a $1.20 dividend on an annualized basis and a dividend yield of 3.70%. Regional Management’s payout ratio is presently 36.36%.

Insider Buying and Selling at Regional Management

In related news, major shareholder Fund L.P. Forager acquired 12,754 shares of Regional Management stock in a transaction on Tuesday, June 10th. The stock was purchased at an average cost of $28.20 per share, with a total value of $359,662.80. Following the purchase, the insider directly owned 1,016,236 shares in the company, valued at approximately $28,657,855.20. The trade was a 1.27% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Robert William Beck sold 6,160 shares of the firm’s stock in a transaction that occurred on Tuesday, July 1st. The shares were sold at an average price of $30.39, for a total value of $187,202.40. Following the completion of the transaction, the chief executive officer directly owned 89,673 shares of the company’s stock, valued at $2,725,162.47. The trade was a 6.43% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have purchased a total of 36,082 shares of company stock valued at $1,022,745 over the last three months. 10.50% of the stock is currently owned by insiders.

Institutional Trading of Regional Management

A number of hedge funds and other institutional investors have recently modified their holdings of the business. Vanguard Group Inc. raised its holdings in Regional Management by 0.3% during the fourth quarter. Vanguard Group Inc. now owns 454,637 shares of the credit services provider’s stock worth $15,449,000 after purchasing an additional 1,205 shares in the last quarter. Twin Lions Management LLC purchased a new stake in shares of Regional Management during the fourth quarter worth $11,157,000. Tieton Capital Management LLC increased its position in Regional Management by 23.5% during the fourth quarter. Tieton Capital Management LLC now owns 255,251 shares of the credit services provider’s stock worth $8,673,000 after buying an additional 48,541 shares during the last quarter. Renaissance Technologies LLC grew its position in shares of Regional Management by 10.6% in the fourth quarter. Renaissance Technologies LLC now owns 228,937 shares of the credit services provider’s stock valued at $7,779,000 after purchasing an additional 21,990 shares during the last quarter. Finally, Goldman Sachs Group Inc. lifted its stake in shares of Regional Management by 45.5% in the first quarter. Goldman Sachs Group Inc. now owns 194,374 shares of the credit services provider’s stock valued at $5,853,000 after buying an additional 60,744 shares during the period. 98.89% of the stock is owned by hedge funds and other institutional investors.

Regional Management Company Profile

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 in the United States. It offers small and large installment loans; and retail loans to finance the purchase of furniture, appliances, and other retail products.