Barclays Has Lowered Expectations for OneMain (NYSE:OMF) Stock Price

Key Points

• Barclays lowered its OneMain price target from $60 to $59 while maintaining an “equal weight” rating, implying about 3.1% upside from the prior close.
• Analyst sentiment remains broadly positive: OneMain has a consensus “Moderate Buy” rating and an average price target of $67.18, with nine Buy, three Hold, and one Sell rating.
• OneMain reported quarterly EPS of $1.51, below the $1.56 consensus estimate, despite revenue of $1.70 billion exceeding forecasts. Shares traded near $57.22, while the company’s $1.05 quarterly dividend represents an annualized yield of roughly 7.4%.

OneMain (NYSE:OMF - Get Free Report) had its price target reduced by Barclays from $60.00 to $59.00 in a research report issued to clients and investors on Monday, Benzinga reports. The firm currently has an "equal weight" rating on the financial services provider's stock. Barclays's price target suggests a potential upside of 3.11% from the company's previous close.

A number of other equities research analysts have also weighed in on OMF. Royal Bank Of Canada lowered their target price on shares of OneMain from $71.00 to $70.00 and set an "outperform" rating on the stock in a report on Monday. JPMorgan Chase & Co. lifted their price target on OneMain from $52.00 to $56.00 and gave the company an "underweight" rating in a research note on Monday. Deutsche Bank Aktiengesellschaft reissued a "buy" rating on shares of OneMain in a report on Friday, July 10th. Evercore set a $60.00 price objective on OneMain in a research note on Thursday, October 1st. Finally, Citizens Jmp raised their target price on OneMain from $68.00 to $70.00 and gave the company a "market outperform" rating in a report on Thursday, July 30th. Nine 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. Based on data from MarketBeat.com, OneMain presently has a consensus rating of "Moderate Buy" and an average price target of $67.18.

OneMain Price Performance

Shares of NYSE:OMF traded up $0.67 during trading on Monday, reaching $57.22. 1,388,162 shares of the stock were exchanged, compared to its average volume of 1,211,605. OneMain has a 1-year low of $45.78 and a 1-year high of $71.93. The stock has a fifty day moving average of $59.02 and a two-hundred day moving average of $58.46. The firm has a market cap of $6.58 billion, a price-to-earnings ratio of 8.71, a price-to-earnings-growth ratio of 0.64 and a beta of 1.24.

OneMain (NYSE:OMF - Get Free Report) last released its quarterly earnings data on Friday, October 30th. The financial services provider reported $1.51 earnings per share for the quarter, missing the consensus estimate of $1.56 by ($0.05). OneMain had a return on equity of 21.91% and a net margin of 13.43%. The business had revenue of $1.70 billion for the quarter, compared to analyst estimates of $1.34 billion. During the same quarter in the previous year, the company posted $1.90 EPS. Sell-side analysts forecast that OneMain will post 6.73 EPS for the current year.

Insider Buying and Selling at OneMain

In related news, COO Micah Conrad sold 5,000 shares of the firm's stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $65.40, for a total transaction of $327,000.00. Following the transaction, the chief operating officer directly owned 91,250 shares of the company's stock, valued at $5,967,750. This trade represents a 5.19% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.29% of the stock is owned by insiders.

Institutional Investors Weigh In On OneMain

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. BlackRock Inc. bought a new position in shares of OneMain in the second quarter valued at approximately $633,893,000. Dimensional Fund Advisors LP increased its position in shares of OneMain by 7.6% during the first quarter. Dimensional Fund Advisors LP now owns 4,342,241 shares of the financial services provider's stock valued at $232,258,000 after acquiring an additional 308,370 shares during the last quarter. Janus Henderson Group PLC lifted its holdings in OneMain by 7.7% during the first quarter. Janus Henderson Group PLC now owns 2,729,862 shares of the financial services provider's stock worth $146,030,000 after acquiring an additional 195,591 shares during the period. Jupiter Topco LLC bought a new stake in OneMain during the second quarter worth $166,060,000. Finally, State Street Corp boosted its position in OneMain by 1.8% in the second quarter. State Street Corp now owns 2,451,937 shares of the financial services provider's stock worth $149,495,000 after purchasing an additional 42,917 shares during the last quarter. Hedge funds and other institutional investors own 85.82% of the company's stock.

Trending Headlines about OneMain

Here are the key news stories impacting OneMain this week:

• Positive Sentiment: Royal Bank of Canada maintained an “outperform” rating and still sees a $70 price target, implying approximately 21.8% upside. However, RBC trimmed the target from $71, suggesting slightly more cautious expectations. Royal Bank of Canada OneMain rating
• Positive Sentiment: OneMain declared a quarterly dividend of $1.05 per share, or $4.20 annualized, representing a roughly 7.4% yield. Investors of record on November 9 will receive the payment on November 13, supporting the stock’s appeal to income-focused investors.

OneMain Company Profile

OneMain Holdings, Inc, operating under the OneMain Financial brand, is a consumer finance company that provides personal lending and related financial services primarily to non-prime consumers in the United States. The company serves customers through a combination of branch locations, online and mobile channels, and centralized customer service operations.

OneMain's principal products include secured and unsecured personal loans, which customers may use for debt consolidation, home improvements, major purchases, and other personal expenses.

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