ONEMAIN HOLDINGS INC (OMF)
US68268W1036 - Common Stock
OMF gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 51 industry peers in the Consumer Finance industry. OMF has only an average score on both its financial health and profitability. OMF scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, OMF could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year OMF was profitable.
OMF had a positive operating cash flow in the past year.
In the past 5 years OMF has always been profitable.
In the past 5 years OMF always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of OMF (2.64%) is better than 64.71% of its industry peers.
OMF's Return On Equity of 20.12% is amongst the best of the industry. OMF outperforms 86.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.64% | ||
| ROE | 20.12% | ||
| 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
1.3 Margins
OMF has a Profit Margin of 12.09%. This is comparable to the rest of the industry: OMF outperforms 54.90% of its industry peers.
In the last couple of years the Profit Margin of OMF has grown nicely.
OMF has a Operating Margin of 15.87%. This is in the better half of the industry: OMF outperforms 64.71% of its industry peers.
In the last couple of years the Operating Margin of OMF has remained more or less at the same level.
OMF has a Gross Margin of 80.75%. This is in the better half of the industry: OMF outperforms 78.43% of its industry peers.
OMF's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.87% | ||
| PM (TTM) | 12.09% | ||
| GM | 80.75% |
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%
2. Health
2.1 Basic Checks
OMF does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, OMF has less shares outstanding
OMF has less shares outstanding than it did 5 years ago.
The debt/assets ratio for OMF is higher compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of OMF is 7.87, which is on the high side as it means it would take OMF, 7.87 years of fcf income to pay off all of its debts.
OMF's Debt to FCF ratio of 7.87 is in line compared to the rest of the industry. OMF outperforms 56.86% of its industry peers.
A Debt/Equity ratio of 6.22 is on the high side and indicates that OMF has dependencies on debt financing.
With a Debt to Equity ratio value of 6.22, OMF is not doing good in the industry: 80.39% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.22 | ||
| Debt/FCF | 7.87 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC6.84%
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 88.24% of its industry peers.
OMF has a Quick Ratio of 5.94. This indicates that OMF is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 5.94, OMF belongs to the best of the industry, outperforming 88.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.94 | ||
| Quick Ratio | 5.94 |
3. Growth
3.1 Past
OMF shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.51%.
The Earnings Per Share has been growing slightly by 1.42% on average over the past years.
The Revenue has been growing slightly by 4.11% in the past 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)-25.51%
EPS 3Y-3.75%
EPS 5Y1.42%
EPS growth Q2Q-10.9%
Revenue 1Y (TTM)4.11%
Revenue growth 3Y2.41%
Revenue growth 5Y4.56%
Revenue growth Q2Q6.42%
3.2 Future
Based on estimates for the next years, OMF will show a very strong growth in Earnings Per Share. The EPS will grow by 20.06% on average per year.
The Revenue is expected to grow by 12.18% on average over the next years. This is quite good.
EPS Next Y8.05%
EPS Next 2Y19.55%
EPS Next 3Y20.06%
EPS Next 5YN/A
Revenue Next Year8.28%
Revenue Next 2Y7.23%
Revenue Next 3Y12.18%
Revenue Next 5YN/A
3.3 Evolution
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.
4. Valuation
4.1 Price/Earnings Ratio
OMF is valuated reasonably with a Price/Earnings ratio of 9.38.
OMF's Price/Earnings is on the same level as the industry average.
OMF's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.20.
Based on the Price/Forward Earnings ratio of 8.68, the valuation of OMF can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of OMF indicates a somewhat cheap valuation: OMF is cheaper than 66.67% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.63. OMF is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.38 | ||
| Fwd PE | 8.68 |
4.2 Price Multiples
62.75% of the companies in the same industry are more expensive than OMF, based on the Enterprise Value to EBITDA ratio.
OMF's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. OMF is cheaper than 72.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.42 | ||
| EV/EBITDA | 22.63 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct 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.
PEG (NY)1.17
PEG (5Y)6.6
EPS Next 2Y19.55%
EPS Next 3Y20.06%
5. Dividend
5.1 Amount
OMF has a Yearly Dividend Yield of 8.35%, which is a nice return.
Compared to an average industry Dividend Yield of 4.29, OMF pays a better dividend. On top of this OMF pays more dividend than 94.12% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, OMF pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.35% |
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.
OMF has decreased its dividend recently.
Dividend Growth(5Y)56.05%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
75.98% of the earnings are spent on dividend by OMF. This is not a sustainable payout ratio.
OMF's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP75.98%
EPS Next 2Y19.55%
EPS Next 3Y20.06%
ONEMAIN HOLDINGS INC
NYSE:OMF (4/26/2024, 11:18:43 AM)
50.94
+0.42 (+0.83%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap6.10B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.35% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.38 | ||
| Fwd PE | 8.68 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.17
PEG (5Y)6.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.64% | ||
| ROE | 20.12% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 15.87% | ||
| PM (TTM) | 12.09% | ||
| GM | 80.75% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.22 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 5.94 | ||
| Quick Ratio | 5.94 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-25.51%
EPS 3Y-3.75%
EPS 5Y
EPS growth Q2Q
EPS Next Y8.05%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)4.11%
Revenue growth 3Y2.41%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y