RM Regional Management PE ratio, current and historical analysis
- Stocks
- Financial Services
- NYSE: RM
- PE Ratio
The PE ratio for Regional Management stock stands at 7.8 as of May 29, 2025. This is calculated based on the TTM EPS of $3.43 and the stock price of $26.75 per share. A decrease of 24% has been observed in the PE ratio compared to its average of 10.3 of the last four quarters.
RM PE ratio history
Over the last ten years, the average PE ratio of Regional Management has been 8.97. The current 7.8 P/E ratio is 13% lower than the historical average. Looking back at the last ten years, RM's PE ratio peaked in the Jun 2015 quarter at 15.95, with a price of $17.86 and an EPS of $1.12. The Sep 2022 quarter marked the lowest point at 3.8, with a price of $28.04 and an EPS of $7.37.
Regional Management PE ratio history chart
Regional Management PE ratio by year
Maximum annual increase: 189.22% in 2023
Maximum annual decrease: -46.68% in 2021
| Year | PE ratio | PE change | Price | EPS |
|---|---|---|---|---|
| 2024 | 7.94 | -46.17% | $33.98 | $4.28 |
| 2023 | 14.75 | 189.22% | $25.08 | $1.7 |
| 2022 | 5.1 | -21.54% | $28.08 | $5.51 |
| 2021 | 6.5 | -46.68% | $57.46 | $8.84 |
| 2020 | 12.19 | 59.14% | $29.86 | $2.45 |
| 2019 | 7.66 | -3.53% | $30.03 | $3.92 |
| 2018 | 7.94 | -21.85% | $24.05 | $3.03 |
| 2017 | 10.16 | -21.54% | $26.31 | $2.59 |
| 2016 | 12.95 | 52.35% | $26.28 | $2.03 |
| 2015 | 8.5 | -37.08% | $15.47 | $1.82 |
| 2014 | 13.51 | -8.84% | $15.81 | $1.17 |
| 2013 | 14.82 | 89.76% | $33.93 | $2.29 |
| 2012 | 7.81 | N/A | $16.55 | $2.12 |
| 2011 | N/A | N/A | N/A | $2.25 |
| 2010 | N/A | N/A | N/A | $1.76 |
Regional Management PE ratio by quarter (TTM)
| Year | PE ratio | PE change | Price | EPS |
|---|---|---|---|---|
| Mar 2025 | 8.78 | 10.58% | $30.11 | $3.43 |
| Dec 2024 | 7.94 | -40.52% | $33.98 | $4.28 |
| Sep 2024 | 13.35 | 20.81% | $32.71 | $2.45 |
| Jun 2024 | 11.05 | 7.7% | $28.74 | $2.6 |
| Mar 2024 | 10.26 | -30.44% | $24.21 | $2.36 |
| Dec 2023 | 14.75 | 48.69% | $25.08 | $1.7 |
| Sep 2023 | 9.92 | -4.34% | $27.68 | $2.79 |
| Jun 2023 | 10.37 | 42.64% | $30.5 | $2.94 |
| Mar 2023 | 7.27 | 42.55% | $26.09 | $3.59 |
| Dec 2022 | 5.1 | 34.21% | $28.08 | $5.51 |
| Sep 2022 | 3.8 | -13.24% | $28.04 | $7.37 |
| Jun 2022 | 4.38 | -16.89% | $37.37 | $8.53 |
| Mar 2022 | 5.27 | -18.92% | $48.57 | $9.22 |
| Dec 2021 | 6.5 | -10.96% | $57.46 | $8.84 |
| Sep 2021 | 7.3 | 5.64% | $58.18 | $7.97 |
RM Price vs fair value
You can ether set your own Fair P/E multiple or use one of the automatically calculated Fair P/E multiples.
Fair P/E calculation
PE Ratio is an attempt to estimate a fair PE ratio of a stock based on its earnings and growth rate.
This formula is a modified version of the classic Graham-Dodd Formula (V= EPS x (8.5+2g)), originally developed by Benjamin Graham, to calculate the fair price of a stock based on its earnings and growth rate.
The formula we have created is an adaptation of this approach, designed to maintain a balance between simplicity and growth sensitivity.
It is calculated using the following formula:
IF g < 5: Fair PE = b
IF g >= 5: Fair PE = m × g
Here’s what each part of the formula means:
g: Growth is calculated as the average of the three-year average EPS growth rate and the one-year EPS growth rate (annually). This approach provides a balanced measure of growth by factoring in both the long-term growth trend and the most recent annual growth performance. If one of the growth metrics is not available, the remaining metric is used to determine growth. The fair P/E value is capped at 100 to prevent distortions caused by extreme EPS growth rates, such as those resulting from large percentage increases from a low base.
m: This is the long term historical median PEG (Price/Earnings to Growth) ratio of the overall market. It serves as a benchmark, adjusting the Fair PE based on typical market conditions.
b: Base PE (static value set to 8). If the company's growth rate is less than 5, the Fair PE is set at a conservative baseline of 8. This is because declining companies generally deserve a lower PE ratio.
Fixed vs Dynamic
Fixed: The Fair PE ratio for all data points is calculated using a single, constant average EPS growth rate, determined based on the most recent period. This means that the same growth rate is applied to all historical data points. Dynamic: The Fair PE ratio for each historical data point is calculated using the trailing average EPS growth rate specific to that point in time. This means that for each data point, the corresponding trailing EPS growth rate is used, ensuring that the Fair PE ratio reflects the growth conditions that were relevant at that specific point in history.
RM average PE ratio chart
Currently, RM's PE ratio is lower than its 3, 5 and 10-year averages.
PE vs average
RM PE vs peers
In comparison to its peer stocks ALLY and CACC, RM's PE ratio is lower.
| Stock name | PE ratio | Market cap |
|---|---|---|
| RM Regional Management Corp | 7.8 | $265.38M |
| CPSS Consumer Portfolio Services Inc | 10.1 | $195.98M |
| CACC Credit Acceptance Corp | 20.36 | $5.6B |
| ALLY Ally Financial Inc | 61.89 | $10.84B |
| FMCC Federal Home Loan Mortgage Corp | N/A | $5.09B |
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Frequently asked questions
What is Regional Management's PE ratio?
RM's price to earnings ratio is 7.8 as of May 29, 2025.
What is the 3-year average PE ratio for Regional Management (RM)?
The average PE ratio for RM stock over the past 3 years is 8.91.
What is the 5-year average PE ratio for Regional Management (RM)?
The average PE ratio for RM stock over the past 5 years is 8.24.
What is the highest PE ratio for RM?
Over the last ten years, the Jun 2015 quarter recorded the highest quarterly PE ratio at 15.95.
How does the current PE ratio for RM compare to its historical average?
The current PE ratio of RM is 13% lower than the 10-year historical average.
Why is Regional Management's PE ratio so low?
RM's PE ratio is low because the stock price is relatively cheap compared to the earnings generated by the company.
How is RM's PE ratio calculated (Regional Management PE ratio formula)?
The P/E ratio is obtained by dividing the latest price of a stock by its trailing twelve months EPS. As of today (May 29, 2025), Regional Management's share price is $26.75. The company's earnings per share for the trailing twelve months (TTM) ending Mar 2025 is $3.43. Therefore, Regional Management's PE ratio for today is 7.8. PE RATIO(7.8) = STOCK PRICE($26.75) / TTM EPS($3.43)
All PE ratio stats are based on quarterly TTM periods, unless otherwise specified.