Regional Management (NYSE:RM) Lowered to “Buy” Rating by Wall Street Zen

Regional Management (NYSE:RM) was downgraded by equities researchers at Wall Street Zen from a “strong-buy” rating to a “buy” rating in a note issued to investors on Saturday.

A number of other research firms have also issued reports on RM. Zacks Research upgraded Regional Management from a “strong sell” rating to a “hold” rating in a research report on Monday, January 5th. Weiss Ratings reiterated a “hold (c+)” rating on shares of Regional Management in a research note on Monday, December 29th. Three analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, Regional Management presently has a consensus rating of “Hold” and an average price target of $30.00.

Regional Management Stock Up 2.9%

RM opened at $35.48 on Friday. The firm has a market cap of $344.51 million, a price-to-earnings ratio of 7.97 and a beta of 1.06. Regional Management has a fifty-two week low of $25.41 and a fifty-two week high of $46.00. The company’s 50-day moving average price is $38.26 and its 200 day moving average price is $38.69.

Regional Management (NYSE:RM) last issued its earnings results on Wednesday, February 4th. The credit services provider reported $1.30 EPS for the quarter, beating analysts’ consensus estimates of $1.23 by $0.07. The company had revenue of ($165.49) million during the quarter, compared to the consensus estimate of $167.90 million. Regional Management had a return on equity of 12.19% and a net margin of 6.88%. Research analysts anticipate that Regional Management will post 4.7 earnings per share for the current year.

Insider Activity

In related news, Director Michael R. Dunn sold 5,580 shares of Regional Management stock in a transaction dated Wednesday, December 3rd. The shares were sold at an average price of $37.46, for a total transaction of $209,026.80. Following the sale, the director directly owned 103,109 shares in the company, valued at $3,862,463.14. The trade was a 5.13% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, major shareholder Fund L.P. Forager sold 21,561 shares of the company’s stock in a transaction dated Friday, January 9th. The stock was sold at an average price of $38.96, for a total transaction of $840,016.56. Following the completion of the sale, the insider directly owned 1,020,572 shares of the company’s stock, valued at $39,761,485.12. The trade was a 2.07% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 77,475 shares of company stock valued at $3,006,040. Company insiders own 10.80% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Forager Capital Management LLC increased its stake in shares of Regional Management by 20.7% during the second quarter. Forager Capital Management LLC now owns 1,085,098 shares of the credit services provider’s stock valued at $31,696,000 after acquiring an additional 186,072 shares during the period. Hillsdale Investment Management Inc. bought a new position in Regional Management during the 3rd quarter valued at $3,707,000. Goldman Sachs Group Inc. increased its position in shares of Regional Management by 45.5% during the 1st quarter. Goldman Sachs Group Inc. now owns 194,374 shares of the credit services provider’s stock valued at $5,853,000 after purchasing an additional 60,744 shares during the period. Tieton Capital Management LLC raised its stake in shares of Regional Management by 18.6% in the 2nd quarter. Tieton Capital Management LLC now owns 295,081 shares of the credit services provider’s stock worth $8,619,000 after buying an additional 46,380 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership lifted its holdings in shares of Regional Management by 65.3% in the second quarter. Arrowstreet Capital Limited Partnership now owns 80,425 shares of the credit services provider’s stock valued at $2,349,000 after buying an additional 31,761 shares during the period. 98.89% of the stock is currently owned by institutional investors.

Regional Management Company Profile

Regional Management Corp., headquartered in Wilmington, North Carolina, is a consumer finance company specializing in installment loan products for underbanked individuals. Since its founding in 1977, the company has developed a network of field-based branches alongside a digital platform to offer credit solutions in rural and small-town markets across the United States.

The company’s core offerings include consumer installment loans for everyday purchases, auto refinancing and lease buyouts, as well as ancillary services such as insurance referrals.