OneMain Holdings (OMF.N): Pre-3Q26 Catchup & Model Update

We caught up with OneMain ahead of 3Q26 earnings to discuss any recent trends in their business intra-quarter. The biggest change to our model is stronger growth following positive intra-quarter commentary from management, which is positive for long-term value but a modest near-term headwind from CECL reserving. As a result, we lower our 3Q26 EPS estimate by $0.25 to $1.72 vs. consensus of $1.82 and we also lower our 2027 estimate by $0.10 to $8.55 vs. consensus of $8.52. Heading into the quarter, we are expecting adjusted EPS of $1.72 vs. $1.82. The divergence is primarily driven by a higher growth than previously expected and a higher NCO rate this quarter before stepping down below street next quarter. Rating: Buy; Price target: USD 80.00; Price at 24 Sep 26: 56.67; 52-week range: 71.37 – 49.26.