OneMain (NYSE:OMF) Shares Down 10.1% – What’s Next?

OneMain Holdings, Inc. (NYSE:OMF) was down 10.1% on Monday . The company traded as low as $47.57 and last traded at $46.8250. Approximately 2,630,839 shares traded hands during mid-day trading, an increase of 70% from the average daily volume of 1,549,233 shares. The stock had previously closed at $52.06.

Analyst Ratings Changes

Several brokerages have recently issued reports on OMF. Evercore set a $75.00 price objective on shares of OneMain in a research note on Tuesday, January 6th. Barclays set a $71.00 target price on shares of OneMain in a report on Friday, February 6th. Wall Street Zen lowered shares of OneMain from a “buy” rating to a “hold” rating in a research report on Sunday, January 18th. Royal Bank Of Canada increased their price objective on OneMain from $70.00 to $73.00 and gave the company an “outperform” rating in a research report on Friday, February 6th. Finally, Wells Fargo & Company reduced their price objective on OneMain from $75.00 to $70.00 and set an “equal weight” rating for the company in a research note on Friday, February 6th. Eight research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $72.11.

OneMain Price Performance

The firm’s fifty day simple moving average is $60.99 and its 200 day simple moving average is $61.01. The company has a market capitalization of $5.81 billion, a price-to-earnings ratio of 7.55, a PEG ratio of 0.38 and a beta of 1.34.

OneMain (NYSE:OMF) last issued its quarterly earnings results on Thursday, February 5th. The financial services provider reported $1.59 EPS for the quarter, beating the consensus estimate of $1.55 by $0.04. OneMain had a net margin of 14.35% and a return on equity of 23.76%. The business had revenue of $1.61 billion during the quarter, compared to the consensus estimate of $1.28 billion. During the same quarter in the prior year, the firm earned $1.16 EPS. Equities research analysts forecast that OneMain Holdings, Inc. will post 6.46 earnings per share for the current fiscal year.

OneMain Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Monday, February 23rd. Stockholders of record on Tuesday, February 17th were issued a $1.05 dividend. The ex-dividend date was Tuesday, February 17th. This represents a $4.20 dividend on an annualized basis and a dividend yield of 8.5%. OneMain’s dividend payout ratio is presently 63.93%.

Insiders Place Their Bets

In other OneMain news, COO Micah R. Conrad sold 5,000 shares of the firm’s stock in a transaction dated Thursday, February 26th. The stock was sold at an average price of $58.00, for a total transaction of $290,000.00. Following the completion of the sale, the chief operating officer directly owned 106,250 shares in the company, valued at approximately $6,162,500. This trade represents a 4.49% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Douglas H. Shulman sold 57,500 shares of OneMain stock in a transaction dated Friday, January 2nd. The shares were sold at an average price of $68.41, for a total value of $3,933,575.00. Following the transaction, the chief executive officer directly owned 174,100 shares in the company, valued at approximately $11,910,181. This trade represents a 24.83% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 0.40% of the company’s stock.

Institutional Trading of OneMain

Several institutional investors have recently made changes to their positions in OMF. Norges Bank purchased a new position in OneMain during the second quarter valued at approximately $85,541,000. Janus Henderson Group PLC lifted its position in OneMain by 70.4% in the 4th quarter. Janus Henderson Group PLC now owns 2,534,271 shares of the financial services provider’s stock worth $171,210,000 after buying an additional 1,047,263 shares in the last quarter. Certuity LLC boosted its stake in shares of OneMain by 107.6% during the 3rd quarter. Certuity LLC now owns 1,930,792 shares of the financial services provider’s stock valued at $109,013,000 after buying an additional 1,000,654 shares during the period. Azora Capital LP grew its holdings in shares of OneMain by 210.7% during the 4th quarter. Azora Capital LP now owns 1,362,934 shares of the financial services provider’s stock valued at $92,066,000 after acquiring an additional 924,302 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership increased its stake in shares of OneMain by 57.0% in the third quarter. Arrowstreet Capital Limited Partnership now owns 1,965,244 shares of the financial services provider’s stock worth $110,958,000 after acquiring an additional 713,670 shares during the last quarter. 85.82% of the stock is currently owned by institutional investors and hedge funds.

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.