OneMain Holdings, Inc. $OMF Shares Sold by Capital International Investors

Key Points

• Capital International Investors reduced its OneMain stake by 13.5% in the fourth quarter, selling 1.40 million shares and leaving it with about 8.98 million shares valued at roughly $606.6 million.
• OneMain reported stronger-than-expected quarterly results, posting EPS of $1.95 versus the $1.86 estimate and revenue of $1.58 billion versus $1.27 billion expected. Revenue rose 6.7% year over year.
• The company continues to pay a large dividend, issuing a quarterly payout of $1.05 per share, or $4.20 annualized, which implies a 7.6% yield.

Capital International Investors lessened its holdings in OneMain Holdings, Inc. (NYSE:OMF - Free Report) by 13.5% during the 4th quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 8,979,838 shares of the financial services provider's stock after selling 1,396,752 shares during the period. Capital International Investors owned approximately 7.67% of OneMain worth $606,592,000 as of its most recent filing with the Securities & Exchange Commission.

Several other large investors have also modified their holdings of the business. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. purchased a new stake in shares of OneMain in the 1st quarter valued at $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 buying an additional 9,067 shares during the period. Focus Partners Wealth raised its holdings in shares of 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 buying an additional 4,407 shares during the period. Prudential Financial Inc. raised its holdings in shares of 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 buying an additional 2,350 shares during the period. Finally, Russell Investments Group Ltd. raised its holdings in shares of 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 buying an additional 4,084 shares during the period. Institutional investors and hedge funds own 85.82% of the company's stock.

Insider Activity at OneMain

In other news, COO Micah R. Conrad sold 5,000 shares of the stock in a transaction dated Friday, April 17th. The stock was sold at an average price of $60.00, for a total value of $300,000.00. Following the transaction, the chief operating officer owned 101,250 shares in the company, valued at approximately $6,075,000. This represents a 4.71% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.29% of the company's stock.

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on OMF shares. BTIG Research reiterated a "neutral" rating on shares of OneMain in a report on Thursday, April 16th. Evercore set a $55.00 price objective on OneMain in a report on Tuesday, March 17th. Wells Fargo & Company cut their price objective on OneMain from $70.00 to $65.00 and set an "equal weight" rating on the stock in a report on Thursday, April 9th. TD Cowen restated a "buy" rating on shares of OneMain in a report on Monday, May 4th. Finally, JPMorgan Chase & Co. cut their price target on OneMain from $63.00 to $55.00 and set an "underweight" rating on the stock in a report on Thursday, April 9th. Eight equities 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 company's stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $68.30.

OneMain Price Performance

Shares of NYSE OMF opened at $55.41 on Monday. The stock's 50-day moving average is $55.42 and its two-hundred day moving average is $59.51. OneMain Holdings, Inc. has a 1-year low of $45.78 and a 1-year high of $71.93. The company has a market cap of $6.40 billion, a price-to-earnings ratio of 8.25, a price-to-earnings-growth ratio of 0.41 and a beta of 1.24.

OneMain (NYSE:OMF - Get Free Report) last issued its quarterly earnings results on Friday, May 1st. The financial services provider reported $1.95 earnings per share for the quarter, topping the consensus estimate of $1.86 by $0.09. OneMain had a return on equity of 24.24% and a net margin of 14.38%.The company had revenue of $1.58 billion for the quarter, compared to the consensus estimate of $1.27 billion. During the same quarter in the prior year, the business earned $1.72 EPS. OneMain's revenue was up 6.7% on a year-over-year basis. Equities research analysts anticipate that OneMain Holdings, Inc. will post 7.38 earnings per share for the current fiscal year.

OneMain Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, May 15th. Stockholders of record on Monday, May 11th were issued a $1.05 dividend. The ex-dividend date was Monday, May 11th. This represents a $4.20 dividend on an annualized basis and a dividend yield of 7.6%. OneMain's dividend payout ratio is presently 62.50%.

OneMain Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.