Navient Corporation (NASDAQ:NAVI) Given Average Recommendation of "Reduce" by Brokerages

Key Points

• Navient Corporation has received a consensus rating of "Reduce" from nine research firms, with three analysts issuing sell ratings and five holding ratings.
• The average 12-month price target for Navient stock is $13.56, reflecting a decrease from earlier targets set by various analysts.
• Navient recently reported quarterly earnings of $0.21 per share, missing the expected $0.27, and announced a quarterly dividend of $0.16 per share.

Shares of Navient Corporation (NASDAQ:NAVI - Get Free Report) have received an average rating of "Reduce" from the nine research firms that are covering the company, MarketBeat Ratings reports. Four investment analysts have rated the stock with a sell rating, four have assigned a hold rating and one has assigned a strong buy rating to the company. The average 1-year price target among brokerages that have updated their coverage on the stock in the last year is $13.0625.

NAVI has been the topic of a number of research reports. Morgan Stanley cut their target price on shares of Navient from $15.00 to $14.00 and set an "equal weight" rating on the stock in a research report on Thursday, July 31st. Bank of America downgraded shares of Navient from a "neutral" rating to an "underperform" rating and set a $12.00 target price on the stock. in a research report on Thursday. JPMorgan Chase & Co. upped their target price on shares of Navient from $12.50 to $15.50 and gave the company a "neutral" rating in a research report on Friday, July 11th. Finally, Keefe, Bruyette & Woods cut their target price on shares of Navient from $16.50 to $15.00 and set a "market perform" rating on the stock in a research report on Thursday, July 31st.

Navient Price Performance

NAVI traded down $0.05 during midday trading on Monday, hitting $13.59. The company had a trading volume of 803,447 shares, compared to its average volume of 807,580. The company has a debt-to-equity ratio of 16.52, a quick ratio of 9.94 and a current ratio of 9.94. The company has a market capitalization of $1.35 billion, a PE ratio of 43.79 and a beta of 1.35. Navient has a twelve month low of $10.53 and a twelve month high of $16.44. The firm's 50-day simple moving average is $13.79 and its 200-day simple moving average is $13.29.

Navient (NASDAQ:NAVI - Get Free Report) last posted its quarterly earnings data 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 net margin of 0.89% and a return on equity of 4.08%. The company had revenue of $156.00 million during the quarter, compared to analyst estimates of $156.20 million. During the same quarter in the previous year, the business posted $0.29 EPS. Navient has set its FY 2025 guidance at 0.950-1.050 EPS. Equities research analysts predict that Navient will post 1.04 EPS for the current fiscal year.

Navient Announces Dividend

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

Hedge Funds Weigh In On Navient

Several institutional investors have recently modified their holdings of NAVI. Quantbot Technologies LP acquired a new position in shares of Navient during the 1st quarter worth about $40,000. New Age Alpha Advisors LLC acquired a new position in shares of Navient during the 1st quarter worth about $71,000. Covestor Ltd grew its position in shares of Navient by 15.7% during the 1st quarter. Covestor Ltd now owns 7,303 shares of the credit services provider's stock worth $92,000 after buying an additional 993 shares during the period. GAMMA Investing LLC grew its position in shares of Navient by 2,663.1% during the 1st quarter. GAMMA Investing LLC now owns 8,096 shares of the credit services provider's stock worth $102,000 after buying an additional 7,803 shares during the period. Finally, Russell Investments Group Ltd. grew its position in shares of Navient by 77.0% during the 2nd quarter. Russell Investments Group Ltd. now owns 7,766 shares of the credit services provider's stock worth $109,000 after buying an additional 3,378 shares during the period. 97.14% of the stock is currently owned by institutional investors and hedge funds.

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.