SLM (SLM) Stock Price, News & Analysis

Company Overview

SLM Corporation, through its subsidiaries, originates and services private education loans to students and their families to finance the cost of their education in the United States. It is also involved in the provision of retail deposit accounts, including certificates of deposit, money market accounts, and high-yield savings accounts; and interest-bearing omnibus accounts. The company was formerly known as New BLC Corporation and changed its name to SLM Corporation in December 2013. SLM Corporation was founded in 1972 and is headquartered in Newark, Delaware.

Key Stats

• Today's Range: $21.85 to $22.13
• 50-Day Range: $19.93 to $23.70
• 52-Week Range: $12.26 to $23.95
• Volume: 3.23 million shs
• Average Volume: 1.83 million shs
• Market Capitalization: $4.80 billion
• P/E Ratio: 6.90
• Dividend Yield: 1.99%
• Price Target: $24.00
• Consensus Rating: Moderate Buy

SLM Stock Analysis - MarketRank™

SLM scored higher than 95% of companies evaluated by MarketBeat, and ranked 47th out of 904 stocks in the finance sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 2.4 / 5
• Analyst Rating: Moderate Buy

Consensus Rating

SLM has received a consensus rating of Moderate Buy. The company's average rating score is 2.82, and is based on 9 buy ratings, 2 hold ratings, and no sell ratings.

Amount of Analyst Coverage

SLM has been the subject of 6 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 3.1 / 5
• Proj. Earnings Growth: 6.01%

Earnings Growth

Earnings for SLM are expected to grow by 6.01% in the coming year, from $2.83 to $3.00 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of SLM is 6.90, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 135.55.

Price to Earnings Ratio vs. Sector

The P/E ratio of SLM is 6.90, which means that it is trading at a less expensive P/E ratio than the Finance sector average P/E ratio of about 45.58.

Price to Earnings Growth Ratio

SLM has a PEG Ratio of 0.41. PEG Ratios below 1 indicate that a company could be undervalued.

Price to Book Value per Share Ratio

SLM has a P/B Ratio of 3.07. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 2.0 / 5
• Short Interest Level: Bearish

Percentage of Shares Shorted

3.30% of the float of SLM has been sold short.

Short Interest Ratio / Days to Cover

SLM has a short interest ratio ("days to cover") of 4.4.

Change versus previous month

Short interest in SLM has recently increased by 11.02%, indicating that investor sentiment is decreasing significantly.

Dividend

• Score: 2.5 / 5
• Dividend Strength: Moderate

Dividend Yield

SLM pays a meaningful dividend of 2.07%, higher than the bottom 25% of all stocks that pay dividends.

Dividend Growth

SLM does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of SLM is 13.75%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, SLM will have a dividend payout ratio of 14.67% next year. This indicates that SLM will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: 4.6 / 5
• Environmental Score: -0.15

Percentage of Shares Shorted

3.30% of the float of SLM has been sold short.

Short Interest Ratio / Days to Cover

SLM has a short interest ratio ("days to cover") of 4.4.

Change versus previous month

Short interest in SLM has recently increased by 11.02%, indicating that investor sentiment is decreasing significantly.

News and Social Media

• Score: 2.0 / 5
• News Sentiment: 0.62

News Sentiment

SLM has a news sentiment score of 0.62. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This news sentiment score is similar to the average news sentiment of Finance companies.

News Coverage This Week

MarketBeat has tracked 9 news articles for SLM this week, compared to 7 articles on an average week.

Search Interest

Only 4 people have searched for SLM on MarketBeat in the last 30 days. This is a decrease of 0% compared to the previous 30 days.

MarketBeat Follows

Only 1 people have added SLM to their MarketBeat watchlist in the last 30 days. This is a decrease of 0% compared to the previous 30 days.

Company Ownership

• Score: 2.5 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, SLM insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $102,150.00 in company stock.

Percentage Held by Insiders

Only 1.20% of the stock of SLM is held by insiders.

Percentage Held by Institutions

98.94% of the stock of SLM is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

SLM Stock Analysis - Frequently Asked Questions

How have SLM shares performed this year?

SLM's stock was trading at $19.12 at the beginning of 2024. Since then, SLM stock has increased by 15.4% and is now trading at $22.07.
View the best growth stocks for 2024 here.

How were SLM's earnings last quarter?

SLM Co. (NASDAQ:SLM) posted its quarterly earnings results on Wednesday, July, 24th. The credit services provider reported $1.11 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.79 by $0.32. The credit services provider had revenue of $783.28 million for the quarter, compared to analysts' expectations of $368.97 million. SLM had a trailing twelve-month return on equity of 41.84% and a net margin of 24.67%.

How will SLM's stock buyback program work?

SLM's Board of Directors initiated a stock repurchase plan on Wednesday, January 24th 2024, which allows the company to repurchase $650,000,000 in outstanding shares, according to EventVestor. This means that the company could repurchase up to 14.5% of its stock through open market purchases. Stock buyback plans are generally an indication that the company's leadership believes its shares are undervalued.

Who are SLM's major shareholders?

Top institutional shareholders of SLM include Massachusetts Financial Services Co. MA (4.99%), Dimensional Fund Advisors LP (2.62%), American Century Companies Inc. (2.03%) and Millennium Management LLC (1.09%). Insiders that own company stock include Nicolas Jafarieh, Donna F Vieira, Robert S Strong, Jonathan Boyles and Steven Mcgarry.
View institutional ownership trends.

How do I buy shares of SLM?

Shares of SLM stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of SLM own?

Based on aggregate information from My MarketBeat watchlists, some other companies that SLM investors own include Xtrackers California Municipal Bond ETF (CA), BlackRock (BLK), Endologix (ELGX), Chipotle Mexican Grill (CMG), Athabasca Oil (ATH), NIC (EGOV) and Aegean Marine Petroleum Network (ANW).

Company Calendar

• Last Earnings: 7/24/2024
• Ex-Dividend for 9/16 Dividend: 9/05/2024
• Dividend Payable: 9/16/2024
• Today: 9/20/2024
• Next Earnings (Estimated): 10/23/2024
• Fiscal Year End: 12/31/2024

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Finance
• Industry: Personal credit institutions
• Sub-Industry: Consumer Finance
• Current Symbol: NASDAQ:SLM
• CUSIP: 78442P10
• CIK: 1032033
• Web: www.salliemae.com
• Phone: (302) 451-0200
• Fax: 800-848-1949
• Employees: 1,740
• Year Founded: N/A

Price Target and Rating

• Average Stock Price Target: $24.00
• High Stock Price Target: $29.00
• Low Stock Price Target: $16.00
• Potential Upside/Downside: +8.7%
• Consensus Rating: Moderate Buy
• Rating Score (0-4): 2.82
• Research Coverage: 11 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $3.20
• Trailing P/E Ratio: 6.90
• Forward P/E Ratio: 7.80
• P/E Growth: 0.41
• Net Income: $581.39 million
• Net Margins: 24.67%
• Pretax Margin: 33.08%
• Return on Equity: 41.84%
• Return on Assets: 2.56%

Debt

• Debt-to-Equity Ratio: 2.66
• Current Ratio: 1.26
• Quick Ratio: 1.26

Sales & Book Value

• Annual Sales: $2.84 billion
• Price / Sales: 1.69
• Cash Flow: $3.17 per share
• Price / Cash Flow: 6.96
• Book Value: $7.20 per share
• Price / Book: 3.07

Miscellaneous

• Outstanding Shares: 217,460,000
• Free Float: 217,079,000
• Market Cap: $4.80 billion
• Optionable: Optionable
• Beta: 1.15