Vanguard Group Inc. Lowers Holdings in Navient Corporation $NAVI

Key Points

• Vanguard Group Inc. has reduced its stake in Navient Corporation by 2.9% in the first quarter, now holding approximately 8.74% of the company, valued at $111.6 million.
• Navient reported earnings of $0.21 per share for the last quarter, missing analysts' expectations by $0.06, with a revenue of $156 million, just shy of the forecasted $156.2 million.
• The company announced a quarterly dividend of $0.16 per share, yielding 4.7%, with a payout ratio currently at 206.45%.

Vanguard Group Inc. trimmed its stake in shares of Navient Corporation (NASDAQ:NAVI - Free Report) by 2.9% during the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 8,838,057 shares of the credit services provider's stock after selling 267,974 shares during the quarter. Vanguard Group Inc. owned approximately 8.74% of Navient worth $111,625,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors and hedge funds have also bought and sold shares of the company. Allianz Asset Management GmbH grew its position in Navient by 47.1% during the 1st quarter. Allianz Asset Management GmbH now owns 381,040 shares of the credit services provider's stock worth $4,813,000 after acquiring an additional 122,061 shares during the last quarter. Bank of America Corp DE grew its position in Navient by 69.4% during the 4th quarter. Bank of America Corp DE now owns 667,372 shares of the credit services provider's stock worth $8,869,000 after acquiring an additional 273,483 shares during the last quarter. Two Sigma Investments LP grew its position in Navient by 39.0% during the 4th quarter. Two Sigma Investments LP now owns 130,046 shares of the credit services provider's stock worth $1,728,000 after acquiring an additional 36,498 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in Navient by 19.0% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 192,867 shares of the credit services provider's stock worth $2,563,000 after acquiring an additional 30,798 shares during the last quarter. Finally, Two Sigma Advisers LP grew its position in Navient by 149.5% during the 4th quarter. Two Sigma Advisers LP now owns 51,900 shares of the credit services provider's stock worth $690,000 after acquiring an additional 31,100 shares during the last quarter. 97.14% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

A number of equities research analysts have recently weighed in on the company. TD Cowen lowered Navient from a "hold" rating to a "strong sell" rating in a research report on Thursday, May 1st. TD Securities lifted their price objective on Navient from $11.00 to $12.00 and gave the stock a "sell" rating in a research report on Thursday, May 1st. Morgan Stanley cut their price objective on Navient from $15.00 to $14.00 and set an "equal weight" rating on the stock in a research report on Thursday, July 31st. JPMorgan Chase & Co. lifted their price objective on Navient from $12.50 to $15.50 and gave the stock a "neutral" rating in a research report on Friday, July 11th. Finally, Keefe, Bruyette & Woods cut their price objective on Navient from $16.50 to $15.00 and set a "market perform" rating on the stock in a research report on Thursday, July 31st. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Hold rating and three have issued a Sell rating to the company's stock. According to data from MarketBeat, Navient has a consensus rating of "Reduce" and an average target price of $13.56.

Navient Stock Up 0.5%

NASDAQ:NAVI traded up $0.07 during trading hours on Thursday, reaching $13.66. 472,888 shares of the company traded hands, compared to its average volume of 845,276. The business's 50-day moving average price is $13.80 and its two-hundred day moving average price is $13.28. The stock has a market capitalization of $1.36 billion, a P/E ratio of 44.07 and a beta of 1.37. Navient Corporation has a 1 year low of $10.53 and a 1 year high of $16.97. The company has a current ratio of 9.94, a quick ratio of 9.94 and a debt-to-equity ratio of 16.52.

Navient (NASDAQ:NAVI - Get Free Report) last announced its quarterly earnings data on Wednesday, July 30th. The credit services provider reported $0.21 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.27 by ($0.06). The company had revenue of $156.00 million for the quarter, compared to analysts' expectations of $156.20 million. Navient had a net margin of 0.89% and a return on equity of 4.08%. During the same quarter in the previous year, the firm posted $0.29 EPS. Navient has set its FY 2025 guidance at 0.950-1.050 EPS. Analysts predict that Navient Corporation will post 1.04 earnings per share for the current year.

Navient Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 19th. Shareholders of record on Friday, September 5th will be paid a dividend of $0.16 per share. The ex-dividend date is Friday, September 5th. This represents a $0.64 dividend on an annualized basis and a yield of 4.7%. Navient's payout ratio is presently 206.45%.

Navient Company Profile

Navient Corporation provides technology-enabled education finance and business processing solutions for education, health care, and government clients in the United States. It operates through three segments: Federal Education Loans, Consumer Lending, and Business Processing. The company owns Federal Family Education Loan Program (FFELP) loans that are insured or guaranteed by state or not-for-profit agencies; and performs servicing on its portfolios, as well as federal education loans held by other institutions.