Trading a RM straddle lets you take a pure volatility position on Regional Management Corp without committing to a direction. Regional Management Corp's straddle involves buying (or selling) a call and a put at the same strike and expiration, profiting when the stock moves more (or less) than the combined premium implies. Use our scanner to evaluate RM straddle pricing in real time and find the moments when expected moves are mispriced.
A long straddle on RM profits from large moves in either direction and is a classic play into binary events like earnings, product announcements, or macro releases. A short straddle profits when Regional Management Corp stays range-bound and implied volatility contracts. The breakeven points are simple: strike plus total premium on the upside, strike minus total premium on the downside. Comparing the RM straddle price to historical realized moves helps you judge whether the market is overpaying or underpaying for volatility.
Regional Management Corp., a diversified consumer finance company, provides various installment loan products primarily to customers with limited access to consumer credit from banks, thrifts, credit card companies, and other lenders in the United States. It offers small and large installment loans; and retail loans to finance the purchase of furniture, appliances, and other retail products. The company also provides insurance products, including credit life, credit accident and health, credit property, vehicle single interest, and credit involuntary unemployment insurance; collateral protection insurance; and property insurance, as well as reinsurance products.
In addition, its loans are sourced through branches, centrally managed direct mail campaigns, digital partners, and retailers, as well as its consumer website. As of February 24, 2022, the company operated through a network of approximately 350 branches in 14 states. Regional Management Corp. was incorporated in 1987 and is headquartered in Greer, South Carolina.
Earnings, product cycles, macro prints — any time volatility itself is the trade, the RM straddle is the cleanest expression of that view. Our scanner prices every RM straddle against historical realized moves, flags expirations where the market is overpaying or underpaying for vol, and ranks setups by breakeven width and IV rank. Whether you're long a RM straddle into a catalyst or short a RM straddle to harvest decay, the options straddle setups that matter are all in one place.
