5 Undervalued Stocks to Buy According to George Soros’ Hedge Fund

4. OneMain Holdings, Inc. (NYSE:OMF)

Soros Fund Management’s Stake Value: $16,560,000

Percentage of Soros Fund Management’s 13F Portfolio: 0.22%

Number of Hedge Fund Holders: 44

PE ratio: 4.35

By the close of the fourth quarter of 2021, 44 hedge funds held stakes in OneMain Holdings, Inc. (NYSE:OMF) worth $1.02 billion. This is compared to 41 hedge funds in the previous quarter with stakes worth $1.04 billion. Soros Fund Management’s stake in the company was valued at $16.56 million by the end of Q4 2021. The investment covers 0.22% of the fund’s 13F portfolio.

On December 2, 2021, Seaport Global analyst Bill Ryan initiated coverage of OneMain Holdings, Inc. (NYSE:OMF) with a Neutral rating and no price target.

This February, OneMain Holdings, Inc. (NYSE:OMF) declared a quarterly cash dividend of $0.95 per share quarterly up 35.7% from the prior dividend of $0.70 per share. The stock had a forward yield of 7.3% at the time, and as of March 13, 2022, the stock’s dividend yield sits at 8.85%.

On February 2, 2022, OneMain Holdings, Inc. (NYSE:OMF) released earnings for the fiscal fourth quarter of 2021, in which the company beat on EPS by $0.03. The company reported earnings per share of $2.38 and generated revenues amounting to $1.02 billion, up 3.44% year over year from $987 million.

Miller Value Partners, an investment management firm, shared its insights on OneMain Holdings, Inc. (NYSE:OMF) in its fourth-quarter 2021 investor letter. Here’s what the experts at Miller Value had to say:

“OneMain Holdings (OMF) dropped 8.4% over the period. The company reported Q3 EPS of $2.37, +9% Y/Y and ahead of consensus of $2.30 driven by interest income of $1.1Bn and a portfolio yield of 23.77%. Originations of $3.9Bn rose +34% Y/Y, driving end of period receivables to $18.9Bn while net charge-offs of 3.5% improved 167bps. Management maintained FY21 strategic priorities, including managed receivables growth of 8%-10%, a stable yield (>24%), and net charge-offs of 4.2%. Additionally, the company repurchased $100M of stock as part of Apollo Global Management’s 10.01M secondary offering while also increasing their current buyback authorization to $300M (from $200M).”