SLM (NASDAQ:SLM) Updates FY 2025 Earnings Guidance

Key Points

• SLM has updated its FY 2025 earnings guidance, projecting earnings per share between $3.000 and $3.100, slightly below the consensus estimate of $3.100.
• The company announced a quarterly dividend of $0.13 per share, representing an annual yield of 1.8%, with the ex-dividend date set for September 4th.
• Several analysts have raised their price targets for SLM, with Morgan Stanley setting a new objective of $40.00, indicating strong market support for the stock.

SLM (NASDAQ:SLM - Get Free Report) issued an update on its FY 2025 earnings guidance on Friday morning. The company provided earnings per share guidance of 3.000-3.100 for the period, compared to the consensus earnings per share estimate of 3.100. The company issued revenue guidance of -.

SLM Stock Up 0.8%

SLM opened at $29.03 on Friday. The firm's 50-day simple moving average is $31.92 and its 200-day simple moving average is $30.86. The company has a debt-to-equity ratio of 3.02, a quick ratio of 1.35 and a current ratio of 1.35. SLM has a twelve month low of $20.09 and a twelve month high of $34.97. The firm has a market cap of $6.05 billion, a price-to-earnings ratio of 14.59, a PEG ratio of 0.82 and a beta of 1.11.

SLM (NASDAQ:SLM - Get Free Report) last issued its quarterly earnings data on Thursday, July 24th. The credit services provider reported $0.32 EPS for the quarter, missing analysts' consensus estimates of $0.49 by ($0.17). The company had revenue of $403.60 million for the quarter, compared to the consensus estimate of $370.26 million. SLM had a return on equity of 21.93% and a net margin of 15.46%.The firm's revenue was down 21.4% compared to the same quarter last year. During the same period in the prior year, the company earned $1.11 EPS. SLM has set its FY 2025 guidance at 3.000-3.100 EPS. Equities research analysts anticipate that SLM will post 3.07 EPS for the current fiscal year.

SLM Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 15th. Shareholders of record on Thursday, September 4th will be given a $0.13 dividend. This represents a $0.52 annualized dividend and a yield of 1.8%. The ex-dividend date is Thursday, September 4th. SLM's dividend payout ratio (DPR) is presently 26.13%.

Analysts Set New Price Targets

Several equities research analysts have weighed in on SLM shares. Morgan Stanley restated an "overweight" rating and issued a $40.00 price objective (up previously from $33.00) on shares of SLM in a research report on Wednesday, May 21st. Royal Bank Of Canada reiterated an "outperform" rating on shares of SLM in a research report on Monday, July 14th. JPMorgan Chase & Co. upgraded shares of SLM from a "neutral" rating to an "overweight" rating and lifted their price target for the stock from $29.00 to $38.00 in a research report on Friday, July 11th. Jefferies Financial Group lifted their price target on shares of SLM from $33.00 to $40.00 and gave the stock a "buy" rating in a research report on Wednesday, July 23rd. Finally, Wells Fargo & Company began coverage on shares of SLM in a research report on Monday, August 25th. They set an "overweight" rating and a $38.00 price target for the company. Nine analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $35.00.

Insider Buying and Selling at SLM

In other news, EVP Kerri A. Palmer sold 55,000 shares of SLM stock in a transaction on Tuesday, July 29th. The shares were sold at an average price of $32.21, for a total transaction of $1,771,550.00. Following the transaction, the executive vice president directly owned 119,253 shares of the company's stock, valued at $3,841,139.13. This trade represents a 31.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 1.30% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On SLM

Hedge funds and other institutional investors have recently made changes to their positions in the company. EverSource Wealth Advisors LLC boosted its position in shares of 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. Dynamic Technology Lab Private Ltd bought a new position in shares of SLM during the first quarter worth $263,000. NewEdge Advisors LLC boosted its position in shares of SLM by 6.6% during the first quarter. NewEdge Advisors LLC now owns 21,350 shares of the credit services provider's stock worth $627,000 after purchasing an additional 1,319 shares in the last quarter. Captrust Financial Advisors boosted its position in shares of SLM by 6.1% during the second quarter. Captrust Financial Advisors now owns 36,889 shares of the credit services provider's stock worth $1,210,000 after purchasing an additional 2,109 shares in the last quarter. Finally, Goldman Sachs Group Inc. boosted its position in shares of SLM by 33.4% during the first quarter. Goldman Sachs Group Inc. now owns 547,724 shares of the credit services provider's stock worth $16,087,000 after purchasing an additional 137,285 shares in the last quarter. 98.94% of the stock is owned by institutional investors.

SLM Company Profile

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.

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