Basswood Capital Management L.L.C. Decreases Position in Regional Management Corp. $RM

Basswood Capital Management L.L.C. decreased its holdings in shares of Regional Management Corp. (NYSE:RM) by 16.4% in the 4th quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 856,641 shares of the credit services provider’s stock after selling 167,669 shares during the quarter. Regional Management makes up approximately 1.3% of Basswood Capital Management L.L.C.’s portfolio, making the stock its 18th biggest position. Basswood Capital Management L.L.C. owned approximately 8.82% of Regional Management worth $33,195,000 as of its most recent SEC filing.

Several other institutional investors have also recently added to or reduced their stakes in RM. Royal Bank of Canada lifted its stake in Regional Management by 2.4% during the first quarter. Royal Bank of Canada now owns 16,200 shares of the credit services provider’s stock worth $487,000 after purchasing an additional 375 shares during the last quarter. AQR Capital Management LLC acquired a new position in Regional Management during the first quarter worth approximately $201,000. Goldman Sachs Group Inc. increased its position in Regional Management by 45.5% during the first quarter. Goldman Sachs Group Inc. now owns 194,374 shares of the credit services provider’s stock worth $5,853,000 after buying an additional 60,744 shares during the period. Empowered Funds LLC increased its position in Regional Management by 7.2% during the first quarter. Empowered Funds LLC now owns 46,851 shares of the credit services provider’s stock worth $1,411,000 after buying an additional 3,160 shares during the period. Finally, Jane Street Group LLC acquired a new position in Regional Management during the first quarter worth approximately $282,000. Hedge funds and other institutional investors own 98.89% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research analysts have commented on the company. Citigroup raised Regional Management to an “outperform” rating in a research report on Thursday, May 21st. Citizens Jmp raised Regional Management from a “market perform” rating to an “outperform” rating and set a $45.00 price target on the stock in a research report on Thursday, May 21st. Finally, Weiss Ratings lowered Regional Management from a “hold (c+)” rating to a “hold (c)” rating in a research report on Thursday, May 21st. Two investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $45.00.

Regional Management Trading Up 1.0%

RM opened at $37.20 on Friday. The firm has a market cap of $342.60 million, a price-to-earnings ratio of 7.55 and a beta of 1.03. Regional Management Corp. has a 52 week low of $26.98 and a 52 week high of $46.00. The business’s 50 day moving average is $36.27 and its two-hundred day moving average is $36.10. The company has a quick ratio of 59.88, a current ratio of 59.88 and a debt-to-equity ratio of 4.30.

Regional Management (NYSE:RM) last released its earnings results on Wednesday, April 29th. The credit services provider reported $1.18 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.98 by $0.20. The business had revenue of $167.29 million for the quarter, compared to analyst estimates of $161.55 million. Regional Management had a return on equity of 13.16% and a net margin of 7.40%.

Regional Management Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, June 10th. Stockholders of record on Wednesday, May 20th were issued a $0.30 dividend. The ex-dividend date of this dividend was Wednesday, May 20th. This represents a $1.20 dividend on an annualized basis and a dividend yield of 3.2%. Regional Management’s payout ratio is presently 24.34%.

Insider Activity

In other news, EVP Harpreet Rana sold 14,978 shares of the business’s stock in a transaction that occurred on Wednesday, April 15th. The stock was sold at an average price of $38.09, for a total value of $570,512.02. Following the transaction, the executive vice president owned 31,524 shares of the company’s stock, valued at approximately $1,200,749.16. The trade was a 32.21% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Brian J. Fisher sold 5,457 shares of the business’s stock in a transaction that occurred on Wednesday, April 15th. The shares were sold at an average price of $38.09, for a total value of $207,857.13. Following the completion of the transaction, the executive vice president directly owned 27,745 shares in the company, valued at approximately $1,056,807.05. The trade was a 16.44% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 105,810 shares of company stock valued at $4,072,197. Company insiders own 10.90% of the company’s stock.

About Regional Management

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.