SLM (NASDAQ:SLM) Reaches New 1-Year Low – Should You Sell?

SLM Corporation (NASDAQ:SLM)’s stock price hit a new 52-week low during mid-day trading on Wednesday . The company traded as low as $19.55 and last traded at $19.84, with a volume of 5755184 shares trading hands. The stock had previously closed at $19.86.

Analyst Ratings Changes

Several research firms recently commented on SLM. Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating and set a $40.00 target price on shares of SLM in a research note on Friday, January 23rd. TD Cowen reaffirmed a “buy” rating on shares of SLM in a research report on Friday, December 5th. Zacks Research upgraded shares of SLM from a “strong sell” rating to a “hold” rating in a research report on Monday, February 9th. Compass Point lowered shares of SLM from a “buy” rating to a “sell” rating and cut their target price for the stock from $35.00 to $23.00 in a research note on Tuesday, December 9th. Finally, Keefe, Bruyette & Woods decreased their price target on shares of SLM from $31.00 to $29.00 and set a “market perform” rating for the company in a research note on Wednesday, December 10th. Six analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $31.60.

SLM Trading Down 0.1%

The firm has a market cap of $3.93 billion, a price-to-earnings ratio of 5.72, a P/E/G ratio of 2.98 and a beta of 1.14. The firm’s 50-day moving average is $26.41 and its 200-day moving average is $27.77. The company has a current ratio of 1.28, a quick ratio of 1.24 and a debt-to-equity ratio of 2.44.

SLM (NASDAQ:SLM) last released its quarterly earnings data on Thursday, January 22nd. The credit services provider reported $1.12 earnings per share for the quarter, beating analysts’ consensus estimates of $0.95 by $0.17. The firm had revenue of $1.31 billion for the quarter, compared to analyst estimates of $383.43 million. SLM had a net margin of 26.04% and a return on equity of 34.79%. During the same period last year, the firm earned $0.50 earnings per share. SLM has set its FY 2026 guidance at 2.700-2.800 EPS. As a group, sell-side analysts anticipate that SLM Corporation will post 3.07 EPS for the current fiscal year.

SLM Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, March 16th. Investors of record on Thursday, March 5th will be given a $0.13 dividend. This represents a $0.52 dividend on an annualized basis and a yield of 2.6%. The ex-dividend date of this dividend is Thursday, March 5th. SLM’s dividend payout ratio is presently 14.99%.

Institutional Trading of SLM

Large investors have recently added to or reduced their stakes in the stock. Captrust Financial Advisors raised its position in SLM by 31.3% in the fourth quarter. Captrust Financial Advisors now owns 53,673 shares of the credit services provider’s stock worth $1,452,000 after acquiring an additional 12,793 shares during the period. SG Americas Securities LLC raised its holdings in shares of SLM by 139.5% in the 4th quarter. SG Americas Securities LLC now owns 160,272 shares of the credit services provider’s stock worth $4,337,000 after purchasing an additional 93,364 shares during the period. GAMMA Investing LLC lifted its stake in SLM by 9.6% in the fourth quarter. GAMMA Investing LLC now owns 7,649 shares of the credit services provider’s stock valued at $207,000 after purchasing an additional 669 shares during the last quarter. Triumph Capital Management bought a new position in SLM during the third quarter valued at $69,000. Finally, Entropy Technologies LP increased its position in SLM by 616.6% in the third quarter. Entropy Technologies LP now owns 109,485 shares of the credit services provider’s stock worth $3,031,000 after buying an additional 94,207 shares during the last quarter. Hedge funds and other institutional investors own 98.94% of the company’s stock.

SLM Company Profile

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.