SLM Corporation (NASDAQ:SLM) Given Consensus Recommendation of "Hold" by Brokerages

Key Points

• Brokerages give SLM a consensus "Hold" rating—1 sell, 5 hold and 6 buy—with an average 12‑month price target of $29.40.
• SLM posted a strong quarter (EPS $1.12 vs $0.95 expected; revenue $1.31B vs $383M expected), set FY2026 guidance of $2.70–$2.80 EPS, and trades at a low P/E of 6.66 with a 2.3% dividend yield, suggesting solid profitability amid mixed analyst views.

SLM Corporation (NASDAQ:SLM - Get Free Report) has been assigned a consensus recommendation of "Hold" from the twelve brokerages that are presently covering the company, Marketbeat Ratings reports. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating and six have given a buy rating to the company. The average 12-month price objective among brokerages that have updated their coverage on the stock in the last year is $29.40.

A number of equities research analysts have recently commented on the stock. Royal Bank Of Canada set a $28.00 target price on shares of SLM in a report on Friday, April 10th. Barclays reduced their target price on shares of SLM from $35.00 to $27.00 and set an "overweight" rating for the company in a report on Monday, April 6th. Weiss Ratings cut shares of SLM from a "buy (b-)" rating to a "hold (c+)" rating in a report on Friday, February 20th. Morgan Stanley reduced their target price on shares of SLM from $29.00 to $26.00 and set an "equal weight" rating for the company in a report on Thursday. Finally, Compass Point raised shares of SLM from a "sell" rating to a "neutral" rating and reduced their target price for the company from $23.00 to $22.00 in a report on Monday, March 30th.

SLM Price Performance

Shares of NASDAQ:SLM opened at $23.11 on Tuesday. The company has a 50-day simple moving average of $21.33 and a 200-day simple moving average of $25.24. SLM has a one year low of $17.77 and a one year high of $34.97. The company has a debt-to-equity ratio of 2.44, a quick ratio of 1.24 and a current ratio of 1.28. The stock has a market capitalization of $4.58 billion, a price-to-earnings ratio of 6.66, a PEG ratio of 3.06 and a beta of 1.04.

SLM (NASDAQ:SLM - Get Free Report) last announced its earnings results on Thursday, January 22nd. The credit services provider reported $1.12 EPS for the quarter, beating analysts' consensus estimates of $0.95 by $0.17. SLM had a net margin of 26.04% and a return on equity of 34.79%. The business had revenue of $1.31 billion during the quarter, compared to analysts' expectations of $383.43 million. During the same period in the prior year, the company earned $0.50 earnings per share. SLM has set its FY 2026 guidance at 2.700-2.800 EPS. On average, analysts predict that SLM will post 2.78 EPS for the current year.

SLM Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, March 16th. Investors of record on Thursday, March 5th were issued a dividend of $0.13 per share. This represents a $0.52 annualized dividend and a yield of 2.3%. The ex-dividend date of this dividend was Thursday, March 5th. SLM's dividend payout ratio is currently 14.99%.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the company. Triumph Capital Management purchased a new position in SLM during the third quarter worth about $69,000. Quent Capital LLC purchased a new position in SLM during the third quarter worth about $118,000. EverSource Wealth Advisors LLC raised its holdings in SLM by 118.2% during the second quarter. EverSource Wealth Advisors LLC now owns 3,995 shares of the credit services provider's stock worth $131,000 after purchasing an additional 2,164 shares in the last quarter. GAMMA Investing LLC raised its holdings in SLM by 9.6% during the fourth quarter. GAMMA Investing LLC now owns 7,649 shares of the credit services provider's stock worth $207,000 after purchasing an additional 669 shares in the last quarter. Finally, Arkadios Wealth Advisors raised its holdings in SLM by 11.4% during the third quarter. Arkadios Wealth Advisors now owns 8,315 shares of the credit services provider's stock worth $230,000 after purchasing an additional 853 shares in the last quarter. 98.94% of the stock is owned by hedge funds and other institutional investors.

About SLM

SLM Corporation, operating as Sallie Mae Bank, is a leading U.S.-based consumer banking company specializing in education financing and related banking products. The company provides a range of private student loans for undergraduate and graduate studies, Parent PLUS loans, and specialized financing for career and certificate programs. In addition to its core lending services, Sallie Mae offers deposit products including savings accounts, checking accounts, money market accounts, certificates of deposit, and credit cards tailored to students and young adults.

Founded in 1972 as the Student Loan Marketing Association—a government-sponsored enterprise—Sallie Mae was privatized in 2004 and has since focused on expanding its private education loan offerings and digital banking solutions.

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