RM Valuation

Regional Management Corp

Add to Watchlist

Advanced Chart

41.480

+0.5(1.220%)1D

Overview
Forecast
Valuation
Earnings

RM Relative Valuation

RM's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, RM is overvalued; if below, it's undervalued.

Historical Valuation

Regional Management Corp (RM) is now in the Fair zone, suggesting that its current forward PE ratio of 7.15 is considered Fairly compared with the five-year average of 6.92. The fair price of Regional Management Corp (RM) is between 30.34 to 46.24 according to relative valuation methord.

Relative Value

Fair Zone

30.34-46.24

Current Price：41.48

Fair

7.15

Trailing

Forward

11.77

EV/EBITDA

Regional Management Corp. (RM) has a current EV/EBITDA of 11.77. The 5-year average EV/EBITDA is 11.82. The thresholds are as follows: Strongly Undervalued below 7.40, Undervalued between 7.40 and 9.61, Fairly Valued between 14.03 and 9.61, Overvalued between 14.03 and 16.24, and Strongly Overvalued above 16.24. The current Forward EV/EBITDA of 11.77 falls within the Historic Trend Line -Fairly Valued range.

9.92

EV/EBIT

Regional Management Corp. (RM) has a current EV/EBIT of 9.92. The 5-year average EV/EBIT is 12.25. The thresholds are as follows: Strongly Undervalued below 8.04, Undervalued between 8.04 and 10.14, Fairly Valued between 14.36 and 10.14, Overvalued between 14.36 and 16.46, and Strongly Overvalued above 16.46. The current Forward EV/EBIT of 9.92 falls within the Undervalued range.

0.59

Regional Management Corp. (RM) has a current PS of 0.59. The 5-year average PS is 0.68. The thresholds are as follows: Strongly Undervalued below 0.11, Undervalued between 0.11 and 0.40, Fairly Valued between 0.97 and 0.40, Overvalued between 0.97 and 1.26, and Strongly Overvalued above 1.26. The current Forward PS of 0.59 falls within the Historic Trend Line -Fairly Valued range.

0.00

P/OCF

Regional Management Corp. (RM) has a current P/OCF of 0.00. The 5-year average P/OCF is 0.10. The thresholds are as follows: Strongly Undervalued below -0.67, Undervalued between -0.67 and -0.29, Fairly Valued between 0.49 and -0.29, Overvalued between 0.49 and 0.88, and Strongly Overvalued above 0.88. The current Forward P/OCF of 0.00 falls within the Historic Trend Line -Fairly Valued range.

0.00

P/FCF

Regional Management Corp. (RM) has a current P/FCF of 0.00. The 5-year average P/FCF is 0.38. The thresholds are as follows: Strongly Undervalued below -2.55, Undervalued between -2.55 and -1.08, Fairly Valued between 1.85 and -1.08, Overvalued between 1.85 and 3.32, and Strongly Overvalued above 3.32. The current Forward P/FCF of 0.00 falls within the Historic Trend Line -Fairly Valued range.

Regional Management Corp (RM) has a current Price-to-Book (P/B) ratio of 1.12. Compared to its 3-year average P/B ratio of 0.87 , the current P/B ratio is approximately 29.59% higher. Relative to its 5-year average P/B ratio of 1.14, the current P/B ratio is about -1.52% higher. Regional Management Corp (RM) has a Forward Free Cash Flow (FCF) yield of approximately 69.54%. Compared to its 3-year average FCF yield of 83.90%, the current FCF yield is approximately -17.12% lower. Relative to its 5-year average FCF yield of 67.65% , the current FCF yield is about 2.78% lower.

1.12

P/B

Median3y

0.87

Median5y

1.14

69.54

FCF Yield

Median3y

83.90

Median5y

67.65

Competitors Valuation Multiple

The average P/S ratio for RM's competitors is 5.26, providing a benchmark for relative valuation. Regional Management Corp Corp (RM) exhibits a P/S ratio of 0.59, which is -88.80% above the industry average. Given its robust revenue growth of 10.08%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

RM.N

Regional Management Corp

Runway Growth Finance Corp

DeFi Development Corp

Inflection Point Acquisition III Corp

Performance Decomposition

Market capitalization of RM increased by 26.02% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 143.03M to 157.44M.

The secondary factor is the Margin Expansion, contributed 9.15%to the performance.

Overall, the performance of RM in the past 1 year is driven by Revenue Growth. Which is more sustainable.

10.08%

143.03M → 157.44M

Revenue Growth

9.15%

5.90 → 6.44

Margin Expansion

6.79%

11.06 → 11.81

P/E Change

26.02%