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ONEMAIN HOLDINGS INC (OMF) Stock Fundamental Analysis

NYSE:OMF - New York Stock Exchange, Inc. - US68268W1036 - Common Stock

55.67  +0.92 (+1.68%)

After market: 55.67 0 (0%)

Fundamental Rating

5

Taking everything into account, OMF scores 5 out of 10 in our fundamental rating. OMF was compared to 53 industry peers in the Consumer Finance industry. OMF has only an average score on both its financial health and profitability. OMF is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

In the past year OMF was profitable.
In the past year OMF had a positive cash flow from operations.
OMF had positive earnings in each of the past 5 years.
Each year in the past 5 years OMF had a positive operating cash flow.
OMF Yearly Net Income VS EBIT VS OCF VS FCFOMF Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 500M 1B 1.5B 2B 2.5B

1.2 Ratios

With a Return On Assets value of 2.14%, OMF perfoms like the industry average, outperforming 55.77% of the companies in the same industry.
OMF has a better Return On Equity (17.08%) than 73.08% of its industry peers.
Industry RankSector Rank
ROA 2.14%
ROE 17.08%
ROIC N/A
ROA(3y)4.16%
ROA(5y)3.9%
ROE(3y)30.53%
ROE(5y)26.51%
ROIC(3y)N/A
ROIC(5y)N/A
OMF Yearly ROA, ROE, ROICOMF Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 10 20 30 40

1.3 Margins

Looking at the Profit Margin, with a value of 9.79%, OMF is in line with its industry, outperforming 59.62% of the companies in the same industry.
In the last couple of years the Profit Margin of OMF has grown nicely.
With a decent Operating Margin value of 13.18%, OMF is doing good in the industry, outperforming 63.46% of the companies in the same industry.
OMF's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 79.55%, OMF is in the better half of the industry, outperforming 76.92% of the companies in the same industry.
In the last couple of years the Gross Margin of OMF has remained more or less at the same level.
Industry RankSector Rank
OM 13.18%
PM (TTM) 9.79%
GM 79.55%
OM growth 3Y-8.36%
OM growth 5Y-0.43%
PM growth 3Y-6.5%
PM growth 5Y2.79%
GM growth 3Y0.66%
GM growth 5Y0.35%
OMF Yearly Profit, Operating, Gross MarginsOMF Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 20 40 60 80

5

2. Health

2.1 Basic Checks

OMF does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for OMF has been reduced compared to 1 year ago.
The number of shares outstanding for OMF has been reduced compared to 5 years ago.
The debt/assets ratio for OMF is higher compared to a year ago.
OMF Yearly Shares OutstandingOMF Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 20M 40M 60M 80M 100M
OMF Yearly Total Debt VS Total AssetsOMF Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 5B 10B 15B 20B

2.2 Solvency

OMF has a debt to FCF ratio of 8.05. This is a slightly negative value and a sign of low solvency as OMF would need 8.05 years to pay back of all of its debts.
OMF has a Debt to FCF ratio (8.05) which is in line with its industry peers.
A Debt/Equity ratio of 6.59 is on the high side and indicates that OMF has dependencies on debt financing.
OMF has a worse Debt to Equity ratio (6.59) than 82.69% of its industry peers.
Industry RankSector Rank
Debt/Equity 6.59
Debt/FCF 8.05
Altman-Z N/A
ROIC/WACCN/A
WACC7.03%
OMF Yearly LT Debt VS Equity VS FCFOMF Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 5B 10B 15B

2.3 Liquidity

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.
The Current ratio of OMF (5.94) is better than 86.54% of its industry peers.
A Quick Ratio of 5.94 indicates that OMF has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 5.94, OMF belongs to the top of the industry, outperforming 86.54% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 5.94
Quick Ratio 5.94
OMF Yearly Current Assets VS Current LiabilitesOMF Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 500M 1B 1.5B 2B

5

3. Growth

3.1 Past

The earnings per share for OMF have decreased by -8.57% in the last year.
OMF shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 1.42% yearly.
Looking at the last year, OMF shows a small growth in Revenue. The Revenue has grown by 7.30% in the last year.
Measured over the past years, OMF shows a small growth in Revenue. The Revenue has been growing by 4.56% on average per year.
EPS 1Y (TTM)-8.57%
EPS 3Y-3.75%
EPS 5Y1.42%
EPS Q2Q%-19.75%
Revenue 1Y (TTM)7.3%
Revenue growth 3Y2.41%
Revenue growth 5Y4.56%
Sales Q2Q%8.88%

3.2 Future

OMF is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.43% yearly.
The Revenue is expected to grow by 8.25% on average over the next years. This is quite good.
EPS Next Y-8.57%
EPS Next 2Y13.47%
EPS Next 3Y16.43%
EPS Next 5YN/A
Revenue Next Year14.97%
Revenue Next 2Y13.3%
Revenue Next 3Y8.25%
Revenue Next 5YN/A

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
OMF Yearly Revenue VS EstimatesOMF Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1B 2B 3B 4B 5B
OMF Yearly EPS VS EstimatesOMF Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2 4 6 8 10

6

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 10.87 indicates a reasonable valuation of OMF.
OMF's Price/Earnings ratio is a bit cheaper when compared to the industry. OMF is cheaper than 65.38% of the companies in the same industry.
OMF is valuated cheaply when we compare the Price/Earnings ratio to 28.29, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 7.96 indicates a rather cheap valuation of OMF.
Compared to the rest of the industry, the Price/Forward Earnings ratio of OMF indicates a somewhat cheap valuation: OMF is cheaper than 76.92% of the companies listed in the same industry.
OMF's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.44.
Industry RankSector Rank
PE 10.87
Fwd PE 7.96
OMF Price Earnings VS Forward Price EarningsOMF Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

OMF's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, OMF is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 2.53
EV/EBITDA 26.91
OMF Per share dataOMF EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40

4.3 Compensation for Growth

OMF's earnings are expected to grow with 16.43% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)7.65
EPS Next 2Y13.47%
EPS Next 3Y16.43%

5

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 7.60%, OMF is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.39, OMF pays a better dividend. On top of this OMF pays more dividend than 92.31% of the companies listed in the same industry.
OMF's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
Industry RankSector Rank
Dividend Yield 7.6%

5.2 History

On average, the dividend of OMF grows each year by 56.05%, which is quite nice.
OMF has been paying a dividend for over 5 years, so it has already some track record.
The dividend of OMF decreased in the last 3 years.
Dividend Growth(5Y)56.05%
Div Incr Years2
Div Non Decr Years2
OMF Yearly Dividends per shareOMF Yearly Dividends per shareYearly Dividends per share 2019 2020 2021 2022 2023 2024 2 4 6 8

5.3 Sustainability

OMF pays out 90.15% of its income as dividend. This is not a sustainable payout ratio.
The dividend of OMF is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP90.15%
EPS Next 2Y13.47%
EPS Next 3Y16.43%
OMF Yearly Income VS Free CF VS DividendOMF Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 500M 1B 1.5B 2B 2.5B
OMF Dividend Payout.OMF Dividend Payout, showing the Payout Ratio.OMF Dividend Payout.PayoutRetained Earnings

ONEMAIN HOLDINGS INC

NYSE:OMF (1/21/2025, 8:18:35 PM)

After market: 55.67 0 (0%)

55.67

+0.92 (+1.68%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)10-30 2024-10-30/bmo
Earnings (Next)01-31 2025-01-31/amc
Inst Owners87.31%
Inst Owner Change-0.4%
Ins Owners0.36%
Ins Owner Change-0.75%
Market Cap6.64B
Analysts80
Price Target60.18 (8.1%)
Short Float %4.71%
Short Ratio5.78
Dividend
Industry RankSector Rank
Dividend Yield 7.6%
Yearly Dividend4.05
Dividend Growth(5Y)56.05%
DP90.15%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.99%
Min EPS beat(2)8.62%
Max EPS beat(2)9.37%
EPS beat(4)4
Avg EPS beat(4)5.41%
Min EPS beat(4)0.61%
Max EPS beat(4)9.37%
EPS beat(8)6
Avg EPS beat(8)-0.68%
EPS beat(12)9
Avg EPS beat(12)0.31%
EPS beat(16)13
Avg EPS beat(16)7.41%
Revenue beat(2)1
Avg Revenue beat(2)0.56%
Min Revenue beat(2)-2.78%
Max Revenue beat(2)3.9%
Revenue beat(4)1
Avg Revenue beat(4)-1.96%
Min Revenue beat(4)-7.99%
Max Revenue beat(4)3.9%
Revenue beat(8)3
Avg Revenue beat(8)7.76%
Revenue beat(12)7
Avg Revenue beat(12)17.84%
Revenue beat(16)11
Avg Revenue beat(16)23.92%
PT rev (1m)1.19%
PT rev (3m)2.53%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-24.49%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.64%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.55%
Revenue NY rev (1m)0.19%
Revenue NY rev (3m)0.1%
Valuation
Industry RankSector Rank
PE 10.87
Fwd PE 7.96
P/S 1.19
P/FCF 2.53
P/OCF 2.53
P/B 2.07
P/tB 4.59
EV/EBITDA 26.91
EPS(TTM)5.12
EY9.2%
EPS(NY)6.99
Fwd EY12.56%
FCF(TTM)21.99
FCFY39.51%
OCF(TTM)21.99
OCFY39.51%
SpS46.9
BVpS26.88
TBVpS12.12
PEG (NY)N/A
PEG (5Y)7.65
Profitability
Industry RankSector Rank
ROA 2.14%
ROE 17.08%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM 13.18%
PM (TTM) 9.79%
GM 79.55%
FCFM 46.89%
ROA(3y)4.16%
ROA(5y)3.9%
ROE(3y)30.53%
ROE(5y)26.51%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)5.7%
ROCE(5y)5.33%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-8.36%
OM growth 5Y-0.43%
PM growth 3Y-6.5%
PM growth 5Y2.79%
GM growth 3Y0.66%
GM growth 5Y0.35%
F-Score5
Asset Turnover0.22
Health
Industry RankSector Rank
Debt/Equity 6.59
Debt/FCF 8.05
Debt/EBITDA 20.91
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage 250
Cash Conversion 259.64%
Profit Quality 479.02%
Current Ratio 5.94
Quick Ratio 5.94
Altman-Z N/A
F-Score5
WACC7.03%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)278.62%
Profit Quality(5y)283.02%
High Growth Momentum
Growth
EPS 1Y (TTM)-8.57%
EPS 3Y-3.75%
EPS 5Y1.42%
EPS Q2Q%-19.75%
EPS Next Y-8.57%
EPS Next 2Y13.47%
EPS Next 3Y16.43%
EPS Next 5YN/A
Revenue 1Y (TTM)7.3%
Revenue growth 3Y2.41%
Revenue growth 5Y4.56%
Sales Q2Q%8.88%
Revenue Next Year14.97%
Revenue Next 2Y13.3%
Revenue Next 3Y8.25%
Revenue Next 5YN/A
EBIT growth 1Y-13.89%
EBIT growth 3Y-6.14%
EBIT growth 5Y4.1%
EBIT Next Year70.26%
EBIT Next 3Y30.09%
EBIT Next 5YN/A
FCF growth 1Y12.61%
FCF growth 3Y4.43%
FCF growth 5Y4.25%
OCF growth 1Y12.61%
OCF growth 3Y4.43%
OCF growth 5Y4.25%