OneMain Holdings, Inc. (NYSE:OMF) Declares $1.04 Quarterly Dividend

Key Points

• OneMain Holdings, Inc. declared a quarterly dividend of $1.04 per share, benefiting stockholders of record on August 4th.
• The company's annualized dividend totals $4.16, with a current dividend yield of 7.18%.
• OneMain reported an earnings per share (EPS) of $1.45, exceeding expectations and showing a 7.1% revenue increase year-over-year.
• Analysts maintain a "Moderate Buy" rating on the stock, with an average target price of $60.78.

OneMain Holdings, Inc. (NYSE:OMF - Get Free Report) declared a quarterly dividend on Friday, July 25th, RTT News reports. Shareholders of record on Monday, August 4th will be given a dividend of 1.04 per share by the financial services provider on Wednesday, August 13th. This represents a $4.16 dividend on an annualized basis and a yield of 7.08%. The ex-dividend date is Monday, August 4th.

OneMain has a payout ratio of 51.9% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect OneMain to earn $8.22 per share next year, which means the company should continue to be able to cover its $4.16 annual dividend with an expected future payout ratio of 50.6%.

OneMain Stock Performance

Shares of OneMain stock traded down $0.45 during mid-day trading on Tuesday, hitting $58.75. 404,706 shares of the stock were exchanged, compared to its average volume of 1,116,233. The company has a market capitalization of $6.99 billion, a P/E ratio of 10.61, a P/E/G ratio of 0.47 and a beta of 1.32. The company has a 50-day simple moving average of $55.20 and a 200 day simple moving average of $52.29. OneMain has a 12 month low of $38.00 and a 12 month high of $60.33.

OneMain (NYSE:OMF - Get Free Report) last posted its quarterly earnings results on Friday, July 25th. The financial services provider reported $1.45 EPS for the quarter, topping analysts' consensus estimates of $1.25 by $0.20. OneMain had a net margin of 12.63% and a return on equity of 20.77%. The company had revenue of $1.20 billion for the quarter, compared to analysts' expectations of $1.19 billion. During the same quarter in the previous year, the firm posted $1.02 EPS. OneMain's revenue was up 7.1% on a year-over-year basis. Analysts predict that OneMain will post 6.46 EPS for the current year.

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on OMF shares. Barclays boosted their price target on shares of OneMain from $48.00 to $56.00 and gave the company an "equal weight" rating in a research report on Tuesday, July 8th. Northland Capmk upgraded shares of OneMain from a "hold" rating to a "strong-buy" rating in a research report on Tuesday, April 8th. Wells Fargo & Company boosted their price target on shares of OneMain from $53.00 to $60.00 and gave the stock an "equal weight" rating in a research note on Tuesday, July 15th. JMP Securities reaffirmed a "market outperform" rating and set a $65.00 price objective on shares of OneMain in a research note on Wednesday, April 30th. Finally, JPMorgan Chase & Co. increased their price target on shares of OneMain from $50.00 to $63.00 and gave the stock an "overweight" rating in a research note on Friday, July 11th. Three investment analysts have rated the stock with a hold rating, seven have assigned a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, OneMain has an average rating of "Moderate Buy" and an average price target of $60.78.

Insider Activity at OneMain

In other OneMain news, COO Micah R. Conrad sold 5,000 shares of the stock in a transaction that occurred on Wednesday, May 28th. The shares were sold at an average price of $52.21, for a total value of $261,050.00. Following the transaction, the chief operating officer directly owned 108,007 shares in the company, valued at approximately $5,639,045.47. This trade represents a 4.42% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Douglas H. Shulman sold 25,000 shares of the stock in a transaction that occurred on Thursday, May 1st. The stock was sold at an average price of $47.49, for a total transaction of $1,187,250.00. Following the completion of the transaction, the chief executive officer owned 343,925 shares in the company, valued at $16,332,998.25. The trade was a 6.78% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 60,000 shares of company stock worth $3,082,190 over the last quarter. Insiders own 0.40% of the company's stock.

Institutional Trading of OneMain

Institutional investors and hedge funds have recently modified their holdings of the company. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in 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 acquiring an additional 9,067 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. purchased a new position in shares of OneMain during the 1st quarter worth about $2,037,000. Finally, Focus Partners Wealth boosted its stake in shares of OneMain by 101.8% during the 1st quarter. Focus Partners Wealth now owns 8,737 shares of the financial services provider's stock worth $427,000 after purchasing an additional 4,407 shares during the period. 85.82% of the stock is currently owned by institutional investors.

OneMain Company Profile

OneMain Holdings, Inc, a financial service holding company, engages in the consumer finance and insurance businesses in the United States. It originates, underwrites, and services personal loans secured by automobiles, other titled collateral, or unsecured. The company also offers credit cards; optional credit insurance products, including life, disability, and involuntary unemployment insurance; optional non-credit insurance; guaranteed asset protection coverage as a waiver product or insurance; and membership plans.