OneMain (NYSE:OMF) Announces Earnings Results

OneMain (NYSE:OMF) released its quarterly earnings results on Wednesday. The financial services provider reported $1.31 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.26 by $0.05, FiscalAI reports. The company had revenue of $1.62 billion during the quarter, compared to analysts’ expectations of $1.28 billion. OneMain had a net margin of 14.38% and a return on equity of 24.24%. The business’s quarterly revenue was up 6.7% compared to the same quarter last year. During the same period in the prior year, the company earned $1.45 earnings per share.

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

• Receivables and originations grew strongly: Managed receivables increased 7% year over year to $26.9 billion, while second-quarter originations rose 10% to $4.3 billion, supported by growth across personal loans, auto finance, and credit cards.
• Credit trends improved: Early-stage 30–89 day delinquency declined seven basis points year over year, and management expects losses to improve significantly in the second half of 2026 and into 2027. Credit card net charge-offs also fell 186 basis points year over year to 17.7%.
• Auto and credit card expansion continued: Auto originations increased 19% year over year, while credit card accounts grew 44% and purchase volume rose 57%; marginal operating costs per card account declined about 25% year over year.
• Profitability faced higher provision pressure: Adjusted EPS fell to $1.31 from $1.45 a year earlier as higher revenue was offset by increased loss provisions and reserve building. The overall reserve ratio is expected to rise modestly to about 11.7% as the higher-reserve credit card portfolio grows.
• Funding and capital returns remained supportive: OneMain raised $1.1 billion in three-year secured financing at approximately 5.1% pricing and repurchased $137 million of stock year to date, while reiterating its 2026 guidance for 6%–9% receivables growth, 7.4%–7.9% C&I net charge-offs, and an operating-expense ratio near 6.6%.

OneMain Stock Up 2.3%

Shares of OMF stock traded up $1.43 during trading on Wednesday, reaching $63.67. The company’s stock had a trading volume of 783,615 shares, compared to its average volume of 1,344,072. OneMain has a one year low of $45.78 and a one year high of $71.93. The business has a fifty day moving average price of $57.78 and a 200-day moving average price of $57.77. The company has a market cap of $7.36 billion, a price-to-earnings ratio of 9.53, a price-to-earnings-growth ratio of 0.47 and a beta of 1.22.

OneMain Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Monday, May 11th were paid a $1.05 dividend. The ex-dividend date of this dividend was Monday, May 11th. This represents a $4.20 annualized dividend and a dividend yield of 6.6%. OneMain’s dividend payout ratio (DPR) is currently 62.50%.

Analysts Set New Price Targets

Several analysts have issued reports on the stock. Evercore set a $66.00 price target on shares of OneMain in a research report on Monday, July 6th. BTIG Research restated a “neutral” rating on shares of OneMain in a research note on Thursday, April 16th. Royal Bank Of Canada decreased their target price on OneMain from $73.00 to $70.00 and set an “outperform” rating on the stock in a report on Monday, May 4th. Truist Financial dropped their price target on shares of OneMain from $73.00 to $70.00 and set a “buy” rating for the company in a research note on Thursday, July 2nd. Finally, Weiss Ratings reaffirmed a “buy (b-)” rating on shares of OneMain in a research note on Tuesday, July 7th. Eight research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, OneMain has an average rating of “Moderate Buy” and an average price target of $67.80.

Insider Transactions at OneMain

In other OneMain news, SVP Michael A. Hedlund sold 1,848 shares of the firm’s stock in a transaction that occurred on Monday, June 29th. The stock was sold at an average price of $62.00, for a total value of $114,576.00. Following the completion of the transaction, the senior vice president directly owned 13,127 shares in the company, valued at $813,874. This trade represents a 12.34% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Micah R. Conrad sold 5,000 shares of the business’s stock in a transaction that occurred on Monday, June 29th. The stock was sold at an average price of $62.00, for a total value of $310,000.00. Following the transaction, the chief operating officer directly owned 96,250 shares in the company, valued at $5,967,500. This trade represents a 4.94% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 0.29% of the company’s stock.

Hedge Funds Weigh In On OneMain

A number of hedge funds have recently added to or reduced their stakes in OMF. Dimensional Fund Advisors LP grew its stake in OneMain by 1.4% during the fourth quarter. Dimensional Fund Advisors LP now owns 4,033,871 shares of the financial services provider’s stock worth $272,490,000 after buying an additional 53,840 shares in the last quarter. Janus Henderson Group PLC increased its position in OneMain by 70.4% during 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 purchasing an additional 1,047,263 shares in the last quarter. State Street Corp lifted its stake in shares of OneMain by 2.3% in the 4th quarter. State Street Corp now owns 2,305,246 shares of the financial services provider’s stock valued at $155,719,000 after acquiring an additional 51,592 shares during the last quarter. Arrowstreet Capital Limited Partnership boosted its holdings in shares of OneMain by 57.0% during the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 1,965,244 shares of the financial services provider’s stock valued at $110,958,000 after acquiring an additional 713,670 shares in the last quarter. Finally, AQR Capital Management LLC increased its holdings in OneMain by 23.0% in the 4th quarter. AQR Capital Management LLC now owns 1,612,101 shares of the financial services provider’s stock worth $108,897,000 after purchasing an additional 301,666 shares in the last quarter. Institutional investors own 85.82% of the company’s stock.

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.