SLM (NASDAQ:SLM) Upgraded to "Strong-Buy" at Zacks Research

Key Points

• Zacks upgraded SLM from a "hold" to a "strong-buy", while the Street consensus is a "Moderate Buy" (1 Strong Buy, 6 Buy, 4 Hold, 1 Sell) with a consensus target price of $29.80.
• EPS beat: SLM reported $1.54 EPS versus $1.14 expected and revenue of $559.99M (vs. $486.05M), and set FY2026 guidance of $3.10–$3.20 EPS (sell-side average 3.15).
• SLM trades at a PE of 6.49 with a $4.42B market cap and is highly institutionally owned (98.94%), reflecting significant investor interest despite recent share-price volatility.

SLM (NASDAQ:SLM - Get Free Report) was upgraded by Zacks Research from a "hold" rating to a "strong-buy" rating in a research report issued on Monday,Zacks.com reports.

Several other analysts have also issued reports on the stock. Compass Point upgraded shares of SLM from a "sell" rating to a "neutral" rating and decreased their price target for the stock from $23.00 to $22.00 in a research report on Monday, March 30th. Barclays lifted their target price on shares of SLM from $27.00 to $30.00 and gave the company an "overweight" rating in a research report on Friday. Deutsche Bank Aktiengesellschaft reissued a "buy" rating and set a $40.00 price target on shares of SLM in a report on Friday, January 23rd. Royal Bank Of Canada set a $28.00 price target on shares of SLM in a report on Friday, April 10th. Finally, Wells Fargo & Company cut their price target on shares of SLM from $32.00 to $29.00 and set an "overweight" rating for the company in a report on Thursday, April 9th. One research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, SLM currently has an average rating of "Moderate Buy" and a consensus target price of $29.80.

SLM Stock Performance

NASDAQ:SLM opened at $23.43 on Monday. SLM has a 1 year low of $17.77 and a 1 year high of $34.97. The firm's fifty day simple moving average is $21.14 and its 200 day simple moving average is $25.10. The company has a current ratio of 1.30, a quick ratio of 1.29 and a debt-to-equity ratio of 2.59. The firm has a market capitalization of $4.42 billion, a PE ratio of 6.49, a PEG ratio of 2.15 and a beta of 1.04.

SLM (NASDAQ:SLM - Get Free Report) last posted its earnings results on Thursday, April 23rd. The credit services provider reported $1.54 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.14 by $0.40. SLM had a net margin of 26.42% and a return on equity of 34.80%. The business had revenue of $559.99 million for the quarter, compared to analyst estimates of $486.05 million. During the same period last year, the business posted $1.40 EPS. SLM's revenue was down 3.6% compared to the same quarter last year. SLM has set its FY 2026 guidance at 3.100-3.200 EPS. On average, sell-side analysts anticipate that SLM will post 3.15 EPS for the current year.

Institutional Investors Weigh In On SLM

A number of institutional investors and hedge funds have recently modified their holdings of SLM. NewEdge Advisors LLC raised its stake 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 buying an additional 1,319 shares during the last quarter. Dynamic Technology Lab Private Ltd bought a new stake in shares of SLM during the first quarter worth approximately $263,000. Goldman Sachs Group Inc. raised its stake 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 buying an additional 137,285 shares during the last quarter. EverSource Wealth Advisors LLC raised its stake 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 buying an additional 2,164 shares during the last quarter. Finally, Captrust Financial Advisors raised its stake 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 buying an additional 2,109 shares during the last quarter. 98.94% of the stock is owned by 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.