Shares of OneMain (OMF) plunged 5.02% in Wednesday's trading session following the company's first quarter 2025 earnings call. Despite reporting solid financial results, management's cautious commentary on macroeconomic uncertainties appears to have spooked investors.

During the earnings call, OneMain executives highlighted strong Q1 performance, including 12% year-over-year receivables growth and a 25% increase in capital generation. However, they also emphasized the potential impact of ongoing economic volatility, particularly related to inflation and trade policy uncertainties. CEO Doug Shulman noted, "We are operating in an uncertain and rapidly evolving macroeconomic environment."

While OneMain maintains a positive outlook on its credit performance and business model resilience, the company is taking a conservative approach to growth and risk management. CFO Jenny Osterhout indicated that the company is maintaining its "conservative macroeconomic overlay" in loan loss reserves, despite improving credit metrics. This cautious stance, combined with broader market concerns about consumer lending in a potentially weakening economy, likely contributed to the sharp stock decline.