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Regional Management (RM) AI Stock Analysis
Regional Management
(NYSE:RM)
RM’s score is driven by strong cash generation and an attractive valuation (low P/E with a solid dividend), supported by positive price momentum and constructive technicals. The main constraint is elevated balance-sheet leverage and ongoing credit-pressure signals from the latest call (high loss rates and a weaker Q4 outlook), which raise downside risk in a tougher credit environment.
Regional Management Key Performance Indicators (KPIs)
Revenue by TypeBreaks down revenue by source, showing which lending activities drive earnings and how diversified Regional Management’s business is across its products.
Interest & Fee Income remains the durable growth engine, consistent with expanding finance receivables and management’s expectation for stronger second-half earnings. Insurance Income is comparatively stagnant and volatile, while the recent surge in Other revenue appears less established and may not represent recurring momentum. The bank-partnership model should gradually improve revenue quality and margins, but elevated credit losses, tighter underwriting, and rising funding costs could limit how quickly portfolio growth translates into bottom-line expansion.
The FlyRegional Management (RM) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $334.90M
- Dividend Yield
- 3.31%
- Average Volume (3M)
- 91.93K
- Price to Earnings (P/E)
- 7.1
- Beta (1Y)
- 0.99
- Revenue Growth
- 8.41%
- EPS Growth
- 20.27%
- Country
- US
- Employees
- 2,112
- Sector
- Financial
- Sector Strength
- 68
- Industry
- Financial - Credit Services
Regional Management Business Overview & Revenue Model
Company Description
Regional Management Corp. (RMC) functions as a broad-based financial services provider, concentrating on offering consumer installment loans. Its primary focus is on serving individuals across the United States who face challenges in securing credit...
Regional Management Earnings Call Summary
The call was predominantly positive, with record quarterly revenue, earnings growth, portfolio expansion, improved sequential credit losses, maintained full-year guidance, and meaningful progress on the bank partnership and technology initiatives. However, credit losses and delinquencies remained elevated, small and digital originations declined, and fourth-quarter net income is now expected to fall below the third quarter because of seasonal credit losses, higher funding costs, partnership implementation costs, and shifted G&A expenses.
Q3-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Management reiterated expectations for full year net income growth of 6% to 9%, diluted earnings per share growth of 10% to 13%, and portfolio growth of 5% to 7%; for the fourth quarter, net income is expected to be lower than the third quarter, portfolio growth is expected to be approximately $60 million, the reserve build approximately $6 million with the allowance rate flat sequentially, the net credit loss rate approximately 11.5%, total revenue yield to increase sequentially, the operating expense ratio to rise sequentially, cost of funds to increase to approximately 4.7%, and the effective tax rate to be approximately 20%, while strategic initiatives are expected to contribute approximately $5 million of net income compared to approximately $3 million in the third quarter; over time, the company is targeting an annual return on equity above 18%, expects substantially all of its branch network to be operating under the bank partnership by the end of 2027, and expects 2027 to be a strong year with faster portfolio growth, continued progress on credit and, subject to the macroeconomic environment, strong growth in net income compared to 2026 even as funding costs rise.
Regional Management Financial Statement Overview
Summary
Operating performance and cash generation are solid (Income Statement 72; Cash Flow 78), with revenue growth and profitability recovering versus the weaker 2023 period and consistently strong free cash flow. The key drag is balance-sheet risk (Balance Sheet 41) from persistently very high leverage (debt-to-equity ~4–5x) and rising total debt, which reduces flexibility if credit conditions deteriorate.
Income Statement
72PositiveBalance Sheet
41NeutralCash Flow
78Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 683.75M | 645.57M | 588.50M | 551.40M | 507.19M | 428.35M |
| Gross Profit | 592.81M | 337.93M | 301.77M | 263.90M | 287.85M | 307.99M |
| EBITDA | 173.26M | 96.60M | 68.14M | 35.42M | 78.01M | 124.13M |
| Net Income | 47.58M | 44.41M | 41.23M | 15.96M | 51.22M | 88.69M |
Balance Sheet | ||||||
| Total Assets | 2.21B | 2.18B | 1.91B | 1.79B | 1.72B | 1.46B |
| Cash, Cash Equivalents and Short-Term Investments | 7.63M | 98.00M | 3.95M | 4.51M | 3.87M | 10.51M |
| Total Debt | 1.79B | 1.73B | 1.51B | 1.43B | 1.38B | 1.13B |
| Total Liabilities | 1.83B | 1.81B | 1.55B | 1.47B | 1.42B | 1.18B |
| Stockholders Equity | 381.35M | 373.09M | 357.08M | 322.27M | 308.63M | 282.74M |
Cash Flow | ||||||
| Free Cash Flow | 316.53M | 291.99M | 263.87M | 237.10M | 212.92M | 182.15M |
| Operating Cash Flow | 324.37M | 309.07M | 268.93M | 249.17M | 224.33M | 189.01M |
| Investing Cash Flow | -408.67M | -471.18M | -315.37M | -278.72M | -447.29M | -355.06M |
| Financing Cash Flow | 116.66M | 124.47M | 53.41M | 26.43M | 205.57M | 243.36M |
Regional Management Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RM, the sentiment is Positive. The current price of 38.89 is above the 20-day moving average (MA) of 33.81, above the 50-day MA of 32.82, and above the 200-day MA of 34.89, indicating a bullish trend. The MACD of 0.60 indicates Negative momentum. The RSI at 66.91 is Neutral, neither overbought nor oversold. The STOCH value of 58.91 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RM.
Regional Management Risk Analysis
Regional Management disclosed 54 risk factors in its most recent earnings report. Regional Management reported the most risks in the "Finance & Corporate" category.
Latest Risks Added
0 New RisksRegional Management Peers Comparison
Overall Rating
MFIN71Outperform
OPRT70.9Outperform- RM69Neutral
PRAA65Neutral
RWAY49Neutral
YRD37Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| MFIN | 71Outperform | $231.90M | 8.63 | 6.65% | 5.15% | 5.81% | -35.16% |
| OPRT | 71Outperform | $454.81M | 24.73 | 4.95% | ― | -2.34% | ― |
| RM | 69Neutral | $334.90M | 7.08 | 12.61% | 3.31% | 8.41% | 20.27% |
| Sector * | 68Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% |
| PRAA | 65Neutral | $733.76M | -2.90 | -26.80% | ― | 12.25% | -388.78% |
| RWAY | 49Neutral | $273.25M | 59.27 | 1.62% | 15.18% | -38.60% | -94.34% |
| YRD | 37Underperform | $36.26M | -0.16 | -16.95% | 48.18% | -27.36% | -220.29% |
* Financial Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| RM | Regional Managment | 39.21 | 1.11 | 2.91% | |
| MFIN | Medallion Financial | 10.02 | 0.47 | 4.98% | |
| PRAA | Pra Group Inc. | 19.74 | 6.70 | 51.38% | |
| YRD | Yiren Digital Ltd. Sponsored Adr | 0.41 | -5.01 | -92.38% | |
| OPRT | Oportun Financial Corp. | 9.92 | 4.79 | 93.37% | |
| RWAY | Runway Growth Finance Corporation | 6.48 | -1.78 | -21.50% |
Regional Management Corporate Events
Regional Management Reports Strong Q3 Results, Leadership Changes
PositiveOn October 28, 2026, Regional Management reported third-quarter 2026 net income of $15.1 million and diluted EPS of $1.61, with record revenue of $178.8 million driven by portfolio growth and rising fee income from its bank partnership program. The c...
Regional Management Highlights Strategic Growth and National Expansion Plans
PositiveOn September 17, 2026, Regional Management Corp. prepared an investor presentation outlining its strategic framework, operating metrics, and growth ambitions for stakeholders including bankers and investors. The materials highlight the company’...
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Oct 31, 2026