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Michael A. Hedlund, an executive at OneMain Holdings, Inc. (NYSE:OMF), recently sold shares of the company stock. The sale, which took place on February 21, involved 2,808 shares at a price of $56.09 per share, totaling approximately $157,500. This transaction was conducted under a pre-established Rule 10b5-1 trading plan. According to InvestingPro data, the stock is currently trading below this transaction price at $53.04, with analysis suggesting the company is undervalued based on its Fair Value assessment.
In addition to the sale, Hedlund disposed of several blocks of shares on February 20, at a consistent price of $57.09 per share, as part of other transactions. These transactions, however, were not sales but were instead related to other equity adjustments. Following these activities, Hedlund’s direct ownership stands at 15,831 shares. The company, with a market capitalization of $6.3 billion, offers a notable dividend yield of 7.84% and maintains strong liquidity with current assets exceeding short-term obligations.
In other recent news, OneMain Holdings Inc. reported its fourth-quarter 2024 earnings, narrowly missing analysts’ expectations. The company posted an earnings per share (EPS) of $1.16, just below the forecasted $1.17, while revenue reached $1.17 billion, falling short of the anticipated $1.18 billion. Despite these misses, OneMain demonstrated strong growth in managed receivables, which rose by 11% to $2.47 billion. Looking ahead, the company projects managed receivables growth of 5-8% and revenue growth of 6-8% for 2025.
Additionally, JMP Securities maintained a positive outlook on OneMain, reiterating its Market Outperform rating and a price target of $65.00. The firm noted the company’s improving credit situation and management’s optimistic outlook, suggesting potential adjustments to lending practices if favorable economic trends continue. OneMain’s management has been focused on navigating economic factors that could influence operations, with a strategic emphasis on maintaining a competitive edge and ensuring long-term growth. Investors continue to monitor the company’s progress closely, reflecting confidence in its strategic direction and financial performance.
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