OneMain Holdings Inc. [NYSE: OMF] traded at a low on 04/29/21, posting a -5.22 loss after which it closed the day’ session at $54.10. The company report on April 30, 2021 that OneMain Holdings, Inc. Announces Pricing of Secondary Offering of Common Stock.
OneMain Holdings, Inc. (NYSE: OMF) (the “Company”) announced the pricing of its previously-announced proposed secondary public offering of 8,000,000 shares of the Company’s common stock by certain entities managed by affiliates of Apollo Global Management, Inc. and Värde Partners, Inc. (together, the “selling stockholders”) at a price to the public of $53.50 per share. The 8,000,000 shares of common stock to be sold in this offering represents approximately 5.9% of the Company’s outstanding common stock as of April 19, 2021. The Company is not selling any shares and will not receive any proceeds from the proposed offering. The offering is expected to close on May 4, 2021, subject to satisfaction of customary closing conditions.
The underwriters will have a 30-day option to purchase up to an additional 1,200,000 shares of common stock from the selling stockholders. As part of this offering, the selling stockholders have agreed to a 75-day lock-up of their common stock.
The results of the trading session contributed to over 3959274 shares changing hands. Over the past one week, the price volatility of OneMain Holdings Inc. stands at 4.35% while the volatility over the past one month is 3.01%.
The market cap for OMF stock reached $7.05 billion, with 134.32 million shares outstanding and 129.87 million shares in the current float. Compared to the average trading volume of 1.35M shares, OMF reached a trading volume of 3959274 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about OneMain Holdings Inc. [OMF]?
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for OMF shares is $64.69 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on OMF stock is a recommendation set at 1.70. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
BMO Capital Markets have made an estimate for OneMain Holdings Inc. shares, keeping their opinion on the stock as Market Perform, with their previous recommendation back on April 19, 2021. While these analysts kept the previous recommendation, Barclays raised their target price from $42 to $63. The new note on the price target was released on December 10, 2020, representing the official price target for OneMain Holdings Inc. stock. Previously, the target price had yet another raise to $35, while RBC Capital Mkts analysts kept a Outperform rating on OMF stock. On July 30, 2019, analysts increased their price target for OMF shares from 35 to 45.
The Average True Range (ATR) for OneMain Holdings Inc. is set at 1.96, with the Price to Sales ratio for OMF stock in the period of the last 12 months amounting to 1.43. The Price to Book ratio for the last quarter was 2.11, with the Price to Cash per share for the same quarter was set at 17.42. Price to Free Cash Flow for OMF in the course of the last twelve months was 5.02.
How has OMF stock performed recently?
OneMain Holdings Inc. [OMF] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 2.23. With this latest performance, OMF shares dropped by -0.07% in over the last four-week period, additionally plugging by 57.33% over the last 6 months – not to mention a rise of 134.75% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for OMF stock in for the last two-week period is set at 49.11, with the RSI for the last a single of trading hit 46.40, and the three-weeks RSI is set at 50.50 for OneMain Holdings Inc. [OMF]. The present Moving Average for the last 50 days of trading for this stock 53.27, while it was recorded at 55.40 for the last single week of trading, and 41.90 for the last 200 days.
OneMain Holdings Inc. [OMF]: Deeper insight into the fundamentals
Operating Margin for any stock indicates how profitable investing would be, and OneMain Holdings Inc. [OMF] shares currently have an operating margin of +68.50 and a Gross Margin at +85.40. OneMain Holdings Inc.’s Net Margin is presently recorded at +14.80.
Return on Total Capital for OMF is now 15.67, given the latest momentum, and Return on Invested Capital for the company is 3.53. Return on Equity for this stock inclined to 18.79, with Return on Assets sitting at 3.22. When it comes to the capital structure of this company, OneMain Holdings Inc. [OMF] has a Total Debt to Total Equity ratio set at 522.09. Additionally, OMF Total Debt to Total Capital is recorded at 83.93, with Total Debt to Total Assets ending up at 79.95. Long-Term Debt to Equity for the company is recorded at 501.92, with the Long-Term Debt to Total Capital now at 80.68.
Reflecting on the efficiency of the workforce at the company, OneMain Holdings Inc. [OMF] managed to generate an average of $87,952 per employee. Receivables Turnover for the company is 0.31 with a Total Asset Turnover recorded at a value of 0.22.
Earnings analysis for OneMain Holdings Inc. [OMF]
With the latest financial reports released by the company, OneMain Holdings Inc. posted 0.8/share EPS, while the average EPS was predicted by analysts to be reported at 0.21/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 281.00%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for OMF. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for OneMain Holdings Inc. go to 4.86%.
Insider trade positions for OneMain Holdings Inc. [OMF]
There are presently around $6,514 million, or 95.40% of OMF stock, in the hands of institutional investors. The top three institutional holders of OMF stocks are: APOLLO MANAGEMENT HOLDINGS, L.P. with ownership of 43,581,932, which is approximately 0% of the company’s market cap and around 1.80% of the total institutional ownership; FMR LLC, holding 12,021,218 shares of the stock with an approximate value of $650.35 million in OMF stocks shares; and VANGUARD GROUP INC, currently with $374.46 million in OMF stock with ownership of nearly 4.542% of the company’s market capitalization.
Positions in OneMain Holdings Inc. stocks held by institutional investors increased at the end of April and at the time of the April reporting period, where 157 institutional holders increased their position in OneMain Holdings Inc. [NYSE:OMF] by around 8,676,692 shares. Additionally, 121 investors decreased positions by around 10,211,774 shares, while 29 investors held positions by with 95,228,483 shares. The mentioned changes placed institutional holdings at 114,116,949 shares, according to the latest SEC report filing. OMF stock had 72 new institutional investments in for a total of 4,052,941 shares, while 24 institutional investors sold positions of 2,468,077 shares during the same period.