OneMain (NYSE:OMF) Hits New 12-Month High Following Strong Earnings

OneMain Holdings, Inc. (NYSE:OMF) reached a new 52-week high during mid-day trading on Wednesday after the company announced better than expected quarterly earnings. The stock traded as high as $54.90 and last traded at $52.31, with a volume of 122697 shares. The stock had previously closed at $53.14.

The financial services provider reported $1.02 earnings per share for the quarter, topping the consensus estimate of $0.90 by $0.12. The business had revenue of $1.22 billion for the quarter, compared to analyst estimates of $918.74 million. OneMain had a return on equity of 20.60% and a net margin of 12.33%. During the same period last year, the company posted $1.01 EPS.

OneMain Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, August 16th. Investors of record on Monday, August 12th will be issued a dividend of $1.04 per share. The ex-dividend date is Monday, August 12th. This represents a $4.16 annualized dividend and a dividend yield of 8.57%. OneMain’s payout ratio is currently 81.09%.

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on OMF shares. BTIG Research started coverage on shares of OneMain in a research note on Friday, June 7th. They set a “neutral” rating on the stock. Deutsche Bank Aktiengesellschaft cut their price target on OneMain from $64.00 to $61.00 and set a “buy” rating on the stock in a research note on Tuesday, July 9th. Northland Securities raised their price target on shares of OneMain from $53.00 to $55.00 and gave the stock a “market perform” rating in a research report on Thursday. TD Cowen upped their target price on shares of OneMain from $58.00 to $60.00 and gave the company a “buy” rating in a research note on Wednesday, May 1st. Finally, BMO Capital Markets lifted their target price on OneMain from $48.00 to $50.00 and gave the stock a “market perform” rating in a research report on Thursday, May 2nd. Five equities research analysts have rated the stock with a hold rating and nine have issued a buy rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $54.83.

Insiders Place Their Bets

In other news, SVP Michael A. Hedlund sold 3,000 shares of the company’s stock in a transaction on Tuesday, June 11th. The stock was sold at an average price of $48.10, for a total value of $144,300.00. Following the completion of the sale, the senior vice president now owns 28,147 shares in the company, valued at $1,353,870.70. The sale was disclosed in a legal filing with the SEC, which is available at this link. In other news, COO Micah R. Conrad sold 7,500 shares of the firm’s stock in a transaction on Tuesday, May 14th. The stock was sold at an average price of $50.63, for a total transaction of $379,725.00. Following the completion of the sale, the chief operating officer now directly owns 119,525 shares of the company’s stock, valued at approximately $6,051,550.75. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, SVP Michael A. Hedlund sold 3,000 shares of the company’s stock in a transaction on Tuesday, June 11th. The shares were sold at an average price of $48.10, for a total value of $144,300.00. Following the sale, the senior vice president now directly owns 28,147 shares of the company’s stock, valued at $1,353,870.70. The disclosure for this sale can be found here. In the last three months, insiders have sold 29,500 shares of company stock worth $1,500,055. 0.45% of the stock is owned by corporate insiders.

Institutional Trading of OneMain

Hedge funds have recently modified their holdings of the business. SG Americas Securities LLC acquired a new stake in shares of OneMain during the fourth quarter worth approximately $112,000. Blue Trust Inc. boosted its stake in shares of OneMain by 49.9% during the 4th quarter. Blue Trust Inc. now owns 730 shares of the financial services provider’s stock valued at $36,000 after buying an additional 243 shares during the period. Asset Management One Co. Ltd. purchased a new position in shares of OneMain during the 4th quarter valued at $175,000. Avitas Wealth Management LLC raised its holdings in shares of OneMain by 3.0% during the fourth quarter. Avitas Wealth Management LLC now owns 43,988 shares of the financial services provider’s stock worth $2,164,000 after acquiring an additional 1,262 shares in the last quarter. Finally, International Assets Investment Management LLC raised its holdings in shares of OneMain by 4,329.3% during the fourth quarter. International Assets Investment Management LLC now owns 34,194 shares of the financial services provider’s stock worth $1,682,000 after acquiring an additional 33,422 shares in the last quarter. Hedge funds and other institutional investors own 85.82% of the company’s stock.

OneMain Price Performance

The stock has a market cap of $5.82 billion, a PE ratio of 9.47, a P/E/G ratio of 0.78 and a beta of 1.58. The business has a 50 day simple moving average of $49.28 and a 200 day simple moving average of $48.75.

OneMain Company Profile

OneMain Holdings, Inc, a financial service holding company, engages in the consumer finance and insurance businesses in the United States. It originates, underwrites, and services personal loans secured by automobiles, other titled collateral, or unsecured. The company also offers credit cards; optional credit insurance products, including life, disability, and involuntary unemployment insurance; optional non-credit insurance; guaranteed asset protection coverage as a waiver product or insurance; and membership plans.