Regional Management Corp. Common Stock (RM)

FairStock Score: 79/100 — HIGH CONVICTION

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for a sensible price, a durable business, and a balance sheet that will not break. Regional Management is a consumer installment lender to borrowers who often cannot get bank credit. That gives it a niche, but not much of a moat: capital is plentiful, competition is real, and regulators can change the rules. The filed numbers show why this is a mixed case. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $168.0M, net income $8.2M, and diluted EPS $0.85. A year earlier, in fiscal Q2 2025, revenue was $157.4M, net income $10.1M, and EPS $1.03, so revenue rose while profit fell. For FY2025, revenue was $645.6M, net income $44.4M, and diluted EPS $4.45; FY2024 had revenue $588.5M, net income $41.2M, and EPS $4.14. At the 2026-10-13 close, FairStock calculates a P/E of 7.24 and P/B of 0.85, and the Lynch category is ASSET PLAY because it trades at 0.85 times book. FairStock also computes ROE of 12.63%, ROCE of 4.61%, D/E of 4.54, FCF yield of 97.9%, Graham Number of $65.80, and margin of safety of 47.71%. That looks statistically cheap. But Piotroski 3/9 and Altman Z 0.46 remind me that cheap lenders can be value traps if credit turns. I would want evidence that earnings are stabilizing before trusting the discount.

In plain English: Regional Management sells installment loans to people who have a hard time getting credit from banks. Profits have slipped recently even though revenue rose, and the company uses a lot of borrowed money. The stock looks inexpensive compared with its profits and accounting value, but that low price comes with real risk.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer