JPMorgan Chase & Co. Cuts Navient (NASDAQ:NAVI) Price Target to $14.00

Key Points

• JPMorgan Chase & Co. has cut its price target for Navient from $15.00 to $14.00, maintaining a "neutral" rating, which suggests an upside potential of 8.86% from the current stock price.
• Multiple analysts have downgraded Navient's stock, with one analyst assigning a target price as low as $12.00, reflecting a consensus rating of "Reduce" and a target price of $12.81.
• Navient's latest earnings report showed a miss on EPS with $0.21 reported versus a $0.27 estimate, indicating potential challenges for the company moving forward.

Navient (NASDAQ:NAVI - Get Free Report) had its price target cut by equities research analysts at JPMorgan Chase & Co. from $15.00 to $14.00 in a report issued on Tuesday,Benzinga reports. The brokerage presently has a "neutral" rating on the credit services provider's stock. JPMorgan Chase & Co.'s price target suggests a potential upside of 8.86% from the stock's current price.

A number of other equities research analysts have also commented on the stock. Morgan Stanley decreased their price objective on shares of Navient from $15.00 to $14.00 and set an "equal weight" rating on the stock in a report on Thursday, July 31st. Weiss Ratings reissued a "sell (d+)" rating on shares of Navient in a report on Saturday, September 27th. Keefe, Bruyette & Woods reduced their price objective on Navient from $15.00 to $14.50 and set a "market perform" rating on the stock in a report on Wednesday, October 1st. Finally, Bank of America downgraded Navient from a "neutral" rating to an "underperform" rating and set a $12.00 target price for the company. in a research report on Thursday, September 4th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Hold rating and five have assigned a Sell rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Reduce" and a consensus target price of $12.81.

Navient Stock Performance

Shares of NASDAQ:NAVI opened at $12.86 on Tuesday. The company has a debt-to-equity ratio of 16.52, a current ratio of 9.94 and a quick ratio of 9.94. The business's fifty day moving average price is $13.13 and its two-hundred day moving average price is $13.19. Navient has a fifty-two week low of $10.53 and a fifty-two week high of $16.15. The stock has a market capitalization of $1.28 billion, a price-to-earnings ratio of 41.49 and a beta of 1.34.

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

Hedge Funds Weigh In On Navient

Several hedge funds have recently made changes to their positions in NAVI. Orbis Allan Gray Ltd increased its stake in Navient by 23.2% in the 2nd quarter. Orbis Allan Gray Ltd now owns 2,848,718 shares of the credit services provider's stock valued at $40,167,000 after buying an additional 536,933 shares during the last quarter. American Century Companies Inc. lifted its stake in Navient by 3.4% in the second quarter. American Century Companies Inc. now owns 2,021,710 shares of the credit services provider's stock valued at $28,506,000 after acquiring an additional 66,814 shares during the last quarter. Wellington Management Group LLP raised its holdings in shares of Navient by 10.9% in the 1st quarter. Wellington Management Group LLP now owns 1,459,166 shares of the credit services provider's stock valued at $18,429,000 after purchasing an additional 143,325 shares during the period. Charles Schwab Investment Management Inc. grew its holdings in Navient by 32.6% during the first quarter. Charles Schwab Investment Management Inc. now owns 1,439,903 shares of the credit services provider's stock worth $18,186,000 after purchasing an additional 353,898 shares during the period. Finally, Hotchkis & Wiley Capital Management LLC increased its position in Navient by 3.1% during the first quarter. Hotchkis & Wiley Capital Management LLC now owns 907,116 shares of the credit services provider's stock worth $11,457,000 after buying an additional 27,340 shares during the last quarter. 97.14% of the stock is owned by institutional investors.

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.

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