NYSE:OMF is probably undervalued for the fundamentals it is displaying.

Last update: Mar 18, 2024

Uncover the hidden value in ONEMAIN HOLDINGS INC (NYSE:OMF) as our stock screening tool recommends it as an undervalued choice. NYSE:OMF maintains a robust financial position and offers an attractive pricing perspective. Let's dig deeper into the analysis.

A Closer Look at Valuation for NYSE:OMF

An integral part of ChartMill's stock analysis is the Valuation Rating, which spans from 0 to 10. This rating evaluates diverse valuation factors, including price to earnings and cash flows, while considering the stock's profitability and growth. NYSE:OMF has received a 7 out of 10:

A Price/Earnings ratio of 8.88 indicates a reasonable valuation of OMF.
OMF's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.59.
The Price/Forward Earnings ratio is 8.10, which indicates a very decent valuation of OMF.
63.46% of the companies in the same industry are more expensive than OMF, based on the Price/Forward Earnings ratio.
OMF's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.07.
73.08% of the companies in the same industry are more expensive than OMF, based on the Price/Free Cash Flow ratio.
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
OMF has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as OMF's earnings are expected to grow with 20.06% in the coming years.

A Closer Look at Profitability for NYSE:OMF

ChartMill employs its own Profitability Rating system for stock evaluation. This score, ranging from 0 to 10, is derived from an analysis of diverse profitability metrics and margins. In the case of NYSE:OMF, the assigned 6 is noteworthy for profitability:

OMF has a Return On Assets of 2.64%. This is in the better half of the industry: OMF outperforms 63.46% of its industry peers.
OMF has a better Return On Equity (20.12%) than 82.69% of its industry peers.
OMF's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 15.87%, OMF is doing good in the industry, outperforming 65.38% of the companies in the same industry.
With a decent Gross Margin value of 80.75%, OMF is doing good in the industry, outperforming 75.00% of the companies in the same industry.

Health Assessment of NYSE:OMF

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:OMF has achieved a 5 out of 10:

OMF has a Current Ratio of 5.94. This indicates that OMF is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 5.94, OMF belongs to the top of the industry, outperforming 90.38% of the companies in the same industry.
A Quick Ratio of 5.94 indicates that OMF has no problem at all paying its short term obligations.
OMF has a Quick ratio of 5.94. This is amongst the best in the industry. OMF outperforms 90.38% of its industry peers.

Growth Examination for NYSE:OMF

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NYSE:OMF boasts a 5 out of 10:

OMF is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.06% yearly.
OMF is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.18% yearly.
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

More Decent Value stocks can be found in our Decent Value screener.

Our latest full fundamental report of OMF contains the most current fundamental analsysis.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.