OneMain (NYSE:OMF) Posts Quarterly Earnings Results

OneMain (NYSE:OMF) issued its earnings results on Friday. The financial services provider reported $1.95 EPS for the quarter, beating the consensus estimate of $1.86 by $0.09, Briefing.com reports. The company had revenue of $1.58 billion during the quarter, compared to analysts’ expectations of $1.28 billion. OneMain had a net margin of 14.35% and a return on equity of 23.76%. The business’s revenue for the quarter was up 6.7% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.72 EPS.

Here are the key takeaways from OneMain’s conference call:

• OneMain reported solid first-quarter results with C&I adjusted EPS $1.95 (+13% YoY), GAAP EPS $1.93 (+8% YoY), revenue and receivables each up ~6% YoY, capital generation $194M, and management reiterated full?year 2026 targets (managed receivables +6–9%, C&I net charge?offs 7.4%–7.9%, OPEX ratio ?6.6%).
• Credit is mixed — early delinquencies improved but a small “back book” (~5% of portfolio) now represents ~14% of 30+ delinquencies and is running roughly 2x expected delinquency, a headwind management expects to fade as vintages burn off.
• Newer businesses are scaling — auto receivables +14% YoY to $2.8B and credit card receivables +45% YoY to ~ $1B with cards now profitable and yielding ~33.9%, which management says will drive future revenue but will add loss/reserve pressure as the portfolio grows.
• Funding and capital position remain strong — executed an $850M 3?year ABS at 4.63%, maintain $7.5B in bank lines, net leverage 5.4x (inside 4–6x target), paid $105M in buybacks in Q1 and continue a $4.20 annual dividend, signaling continued shareholder returns.

OneMain Trading Down 3.6%

Shares of NYSE OMF opened at $56.64 on Friday. The firm has a market cap of $6.64 billion, a PE ratio of 8.62, a PEG ratio of 0.43 and a beta of 1.30. OneMain has a 1-year low of $45.78 and a 1-year high of $71.93. The company has a fifty day moving average price of $55.12 and a 200 day moving average price of $60.06.

OneMain Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, May 15th. Investors of record on Monday, May 11th will be paid a $1.05 dividend. The ex-dividend date of this dividend is Monday, May 11th. This represents a $4.20 dividend on an annualized basis and a yield of 7.4%. OneMain’s dividend payout ratio is presently 63.93%.

Insiders Place Their Bets

In related news, COO Micah R. Conrad sold 5,000 shares of the company’s stock in a transaction on Friday, April 17th. The shares were sold at an average price of $60.00, for a total value of $300,000.00. Following the completion of the transaction, the chief operating officer directly owned 101,250 shares of the company’s stock, valued at approximately $6,075,000. This represents a 4.71% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.40% of the company’s stock.

Hedge Funds Weigh In On OneMain

A number of large investors have recently modified their holdings of OMF. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. acquired a new position in shares of OneMain during the 1st quarter worth about $2,037,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its holdings in shares of OneMain by 2.1% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 442,598 shares of the financial services provider’s stock valued at $21,634,000 after purchasing an additional 9,067 shares during the period. Focus Partners Wealth raised its holdings in OneMain by 101.8% in the 1st quarter. Focus Partners Wealth now owns 8,737 shares of the financial services provider’s stock valued at $427,000 after acquiring an additional 4,407 shares during the period. Prudential Financial Inc. raised its holdings in OneMain by 32.9% in the 2nd quarter. Prudential Financial Inc. now owns 9,492 shares of the financial services provider’s stock valued at $541,000 after acquiring an additional 2,350 shares during the period. Finally, Russell Investments Group Ltd. raised its holdings in OneMain by 26.2% in the 2nd quarter. Russell Investments Group Ltd. now owns 19,644 shares of the financial services provider’s stock valued at $1,119,000 after acquiring an additional 4,084 shares during the period. 85.82% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several brokerages have commented on OMF. Evercore set a $55.00 target price on shares of OneMain in a research report on Tuesday, March 17th. Truist Financial decreased their price target on shares of OneMain from $75.00 to $73.00 and set a “buy” rating for the company in a report on Friday, February 6th. Stephens decreased their price target on shares of OneMain to $76.00 and set an “overweight” rating for the company in a report on Friday, February 6th. TD Cowen reissued a “buy” rating on shares of OneMain in a report on Thursday, January 8th. Finally, Barclays decreased their price target on shares of OneMain from $71.00 to $62.00 and set an “equal weight” rating for the company in a report on Monday, April 6th. Seven investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $67.44.

OneMain News Roundup

Here are the key news stories impacting OneMain this week:

• Positive Sentiment: EPS and revenue beat consensus — Q1 adjusted EPS ~$1.95 beat estimates and revenue came in above expectations, signaling continued profitability and margin strength. Press Release — Q1 Results
• Positive Sentiment: Board declared a $1.05 quarterly dividend (ex-dividend May 11; yield ~7.4%), which supports income investors and can underpin the share price for yield?oriented holders. PR Newswire — Dividend & Results
• Neutral Sentiment: Market writeups and the earnings snapshot provide varied framing — some outlets describe sales as “in line” with estimates, which may temper enthusiasm despite the beat. Yahoo Finance — Q1 Sales In Line
• Neutral Sentiment: Full earnings call transcript and slide deck are available for detail on loan portfolio trends, credit performance and capital deployment; investors should review management commentary for forward signals. Seeking Alpha — Earnings Call Transcript
• Negative Sentiment: Some analysts and commentary emphasized modest top?line growth (revenue up ~6.7% Y/Y) or framed results as mixed, and technicals may be pressuring the stock — the shares are trading below the 200?day moving average, which can prompt short?term selling by technical traders. Zacks — Key Metrics vs Estimates

About OneMain

OneMain Financial (NYSE: OMF) is a leading consumer finance company specializing in unsecured personal loans for middle-income customers. The company offers tailored loan products designed to address a variety of needs, including debt consolidation, home improvement financing, large purchases and emergency expenses. Through a combination of branch-based service and digital channels, OneMain aims to deliver a personalized borrowing experience with flexible repayment options and transparent terms.

Tracing its roots back to the Commercial Credit Company founded in 1912, OneMain has evolved through a series of mergers and corporate transformations.