Wells Fargo & Company Forecasts Strong Price Appreciation for OneMain (NYSE:OMF) Stock

OneMain (NYSE:OMF) had its price target increased by Wells Fargo & Company from $49.00 to $52.00 in a research report sent to investors on Thursday, Benzinga reports. Wells Fargo & Company currently has an equal weight rating on the financial services provider’s stock.

A number of other research firms also recently commented on OMF. JMP Securities boosted their target price on OneMain from $60.00 to $62.00 and gave the stock a “market outperform” rating in a research report on Thursday. Northland Securities increased their target price on OneMain from $53.00 to $55.00 and gave the company a “market perform” rating in a research report on Thursday, August 1st. Barclays cut shares of OneMain from an “overweight” rating to an “equal weight” rating and reduced their price target for the stock from $52.00 to $46.00 in a research report on Tuesday, October 8th. Royal Bank of Canada restated an “outperform” rating and set a $58.00 target price on shares of OneMain in a research report on Wednesday, October 16th. Finally, StockNews.com lowered OneMain from a “buy” rating to a “hold” rating in a research report on Saturday, October 26th. Seven research analysts have rated the stock with a hold rating and eight have given a buy rating to the stock. According to MarketBeat.com, OneMain presently has an average rating of “Moderate Buy” and a consensus price target of $55.08.

OneMain Price Performance

Shares of OMF opened at $49.78 on Thursday. The firm has a market cap of $5.94 billion, a P/E ratio of 10.89, a price-to-earnings-growth ratio of 0.61 and a beta of 1.54. OneMain has a 1 year low of $36.52 and a 1 year high of $54.94. The company has a 50 day simple moving average of $47.15 and a two-hundred day simple moving average of $48.35.

OneMain (NYSE:OMF) last posted its earnings results on Wednesday, July 31st. The financial services provider reported $1.02 earnings per share for the quarter, beating the consensus estimate of $0.90 by $0.12. The company had revenue of $1.22 billion during the quarter, compared to analysts’ expectations of $918.74 million. OneMain had a net margin of 11.27% and a return on equity of 19.28%. During the same period last year, the company posted $1.01 earnings per share. On average, sell-side analysts anticipate that OneMain will post 4.91 earnings per share for the current year.

OneMain Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, November 18th. Investors of record on Tuesday, November 12th will be issued a $1.04 dividend. The ex-dividend date of this dividend is Tuesday, November 12th. This represents a $4.16 dividend on an annualized basis and a dividend yield of 8.36%. OneMain’s payout ratio is 91.03%.

Insiders Place Their Bets

In other news, SVP Michael A. Hedlund sold 2,400 shares of the stock in a transaction on Monday, September 16th. The stock was sold at an average price of $46.00, for a total transaction of $110,400.00. Following the transaction, the senior vice president now owns 25,747 shares of the company’s stock, valued at approximately $1,184,362. This represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. In related news, COO Micah R. Conrad sold 2,500 shares of the business’s stock in a transaction that occurred on Wednesday, August 14th. The shares were sold at an average price of $45.75, for a total value of $114,375.00. Following the completion of the transaction, the chief operating officer now owns 117,025 shares of the company’s stock, valued at $5,353,893.75. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, SVP Michael A. Hedlund sold 2,400 shares of the company’s stock in a transaction on Monday, September 16th. The stock was sold at an average price of $46.00, for a total value of $110,400.00. Following the sale, the senior vice president now owns 25,747 shares of the company’s stock, valued at approximately $1,184,362. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 41,792 shares of company stock worth $2,032,859 in the last ninety days. 0.45% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Vanguard Group Inc. boosted its position in OneMain by 3.1% during the first quarter. Vanguard Group Inc. now owns 12,317,755 shares of the financial services provider’s stock valued at $629,314,000 after purchasing an additional 373,900 shares in the last quarter. Capital International Investors lifted its position in shares of OneMain by 10.2% during the first quarter. Capital International Investors now owns 9,570,103 shares of the financial services provider’s stock valued at $488,937,000 after buying an additional 889,387 shares during the last quarter. Dimensional Fund Advisors LP boosted its holdings in shares of OneMain by 9.0% in the 2nd quarter. Dimensional Fund Advisors LP now owns 3,288,643 shares of the financial services provider’s stock valued at $159,465,000 after buying an additional 270,207 shares in the last quarter. Clearbridge Investments LLC grew its position in shares of OneMain by 1.3% in the 2nd quarter. Clearbridge Investments LLC now owns 1,914,355 shares of the financial services provider’s stock worth $92,827,000 after buying an additional 24,338 shares during the last quarter. Finally, Bank of New York Mellon Corp raised its stake in shares of OneMain by 1.1% during the 2nd quarter. Bank of New York Mellon Corp now owns 1,169,590 shares of the financial services provider’s stock worth $56,713,000 after acquiring an additional 12,938 shares in the last quarter. 85.82% of the stock is currently owned by hedge funds and other institutional investors.

About OneMain

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.