In the latest trading session, Regional Management (RM) closed at $14.66, marking a +0.69% move from the previous day. This move outpaced the S&P 500's daily loss of 0.52%. At the same time, the Dow lost 0.13%, and the tech-heavy Nasdaq lost 1.4%.
Prior to today's trading, shares of the financial services company had gained 4.15% over the past month. This has lagged the Finance sector's gain of 5.19% and the S&P 500's gain of 13.35% in that time.
Wall Street will be looking for positivity from RM as it approaches its next earnings report date. This is expected to be May 6, 2020. The company is expected to report EPS of $0.75, up 11.94% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $94.01 million, up 15% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.02 per share and revenue of $411.80 million, which would represent changes of +5.79% and +15.77%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for RM. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.73% higher. RM is holding a Zacks Rank of #2 (Buy) right now.
Looking at its valuation, RM is holding a Forward P/E ratio of 3.62. Its industry sports an average Forward P/E of 5.38, so we one might conclude that RM is trading at a discount comparatively.
The Financial - Consumer Loans industry is part of the Finance sector. This group has a Zacks Industry Rank of 136, putting it in the bottom 47% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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