OneMain (NYSE:OMF) Shares Down 10.1% – Here’s What Happened

OneMain Holdings, Inc. (NYSE:OMF)’s share price dropped 10.1% during mid-day trading on Monday . The company traded as low as $47.57 and last traded at $46.8250. Approximately 2,630,839 shares changed 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.

Analysts Set New Price Targets

A number of equities analysts recently commented on OMF shares. Stephens decreased their price target on OneMain to $76.00 and set an “overweight” rating for the company in a research note on Friday, February 6th. TD Cowen reaffirmed a “buy” rating on shares of OneMain in a report on Thursday, January 8th. Citigroup reiterated a “market outperform” rating on shares of OneMain in a report on Monday, November 24th. Royal Bank Of Canada upped their price target on OneMain from $70.00 to $73.00 and gave the company an “outperform” rating in a research report on Friday, February 6th. Finally, Evercore set a $75.00 price objective on OneMain in a research note on Tuesday, January 6th. Eight analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $72.11.

OneMain Trading Down 4.7%

The firm has a market cap of $5.81 billion, a price-to-earnings ratio of 7.55, a price-to-earnings-growth ratio of 0.38 and a beta of 1.34. The stock has a 50-day moving average of $60.99 and a 200-day moving average of $61.01.

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

OneMain Dividend Announcement

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

Insiders Place Their Bets

In other OneMain news, CEO Douglas H. Shulman sold 57,500 shares of the firm’s stock in a transaction dated Friday, January 2nd. The shares were sold at an average price of $68.41, for a total transaction of $3,933,575.00. Following the transaction, the chief executive officer owned 174,100 shares of the company’s stock, valued at approximately $11,910,181. This trade represents a 24.83% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, COO Micah R. Conrad sold 5,000 shares of the business’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 sale, the chief operating officer owned 106,250 shares in the company, valued at $6,162,500. This trade represents a 4.49% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 0.40% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. CIBC Private Wealth Group LLC boosted its stake in OneMain by 117.4% during the 4th quarter. CIBC Private Wealth Group LLC now owns 374 shares of the financial services provider’s stock valued at $25,000 after purchasing an additional 202 shares in the last quarter. Root Financial Partners LLC bought a new stake in shares of OneMain in the 3rd quarter worth $26,000. Core Wealth Advisors LLC acquired a new stake in shares of OneMain in the fourth quarter valued at $31,000. Atlantic Union Bankshares Corp bought a new position in OneMain during the fourth quarter valued at about $36,000. Finally, Activest Wealth Management grew its holdings in OneMain by 1,102.1% during the third quarter. Activest Wealth Management now owns 577 shares of the financial services provider’s stock worth $33,000 after acquiring an additional 529 shares during the period. Institutional investors and hedge funds 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.