SLM (NASDAQ:SLM) Announces Earnings Results

SLM (NASDAQ:SLM) released its earnings results on Thursday. The credit services provider reported $1.54 EPS for the quarter, topping analysts’ consensus estimates of $0.84 by $0.70, FiscalAI reports. The firm had revenue of $1.30 billion during the quarter, compared to analyst estimates of $486.05 million. SLM had a net margin of 26.04% and a return on equity of 34.79%. SLM updated its FY 2026 guidance to 3.100-3.200 EPS.

SLM Trading Up 1.4%

SLM stock traded up $0.32 during mid-day trading on Thursday, hitting $23.42. 8,529,760 shares of the company’s stock were exchanged, compared to its average volume of 3,777,490. The company’s 50 day simple moving average is $21.20 and its 200-day simple moving average is $25.19. The company has a quick ratio of 1.24, a current ratio of 1.28 and a debt-to-equity ratio of 2.44. The firm has a market capitalization of $4.64 billion, a P/E ratio of 6.75, a PEG ratio of 2.67 and a beta of 1.04. SLM has a fifty-two week low of $17.77 and a fifty-two week high of $34.97.

SLM Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Monday, June 15th. Investors of record on Thursday, June 4th will be given a $0.13 dividend. The ex-dividend date is Thursday, June 4th. This represents a $0.52 dividend on an annualized basis and a dividend yield of 2.2%. SLM’s dividend payout ratio is currently 14.99%.

Key Headlines Impacting SLM

Here are the key news stories impacting SLM this week:

• Positive Sentiment: Q1 results materially beat expectations — EPS $1.54 vs. $0.84 consensus and revenue $1.30B vs. $486M consensus; strong net margin (26%) and ROE (34.8%) support near‑term profitability. View Press Release
• Positive Sentiment: Raised FY‑2026 EPS guidance to $3.10–$3.20 versus sell‑side consensus ~$2.78 — the higher outlook likely drove renewed investor confidence about loan book performance and margins. View Press Release
• Positive Sentiment: Company declared dividends — common $0.13/share and Preferred Series B $1.4269028 (both payable June 15) — a signal of cash return and capital allocation discipline. BusinessWire: Dividends Announced
• Neutral Sentiment: Analyst/press coverage is framing Q1 as a test of Grad PLUS opportunities ahead of a July change — helpful context but introduces timing/operational uncertainty. Investing.com: Grad Plus Coverage
• Neutral Sentiment: Pre‑earnings previews and explainers (Zacks, MSN/CNN coverage) have circulated, increasing awareness but adding little new fundamental information. Zacks: Earnings Preview MSN: Dividend Note
• Neutral Sentiment: Non‑market items (case study/industry mentions) appear in feed but are unlikely to move the stock materially. OGJ: Case Study
• Negative Sentiment: Risks remain — SLM carries elevated leverage (debt/equity ~2.44) and the stock still sits below its 200‑day moving average, which could limit upside if credit conditions or loan demand weaken.

Institutional Investors Weigh In On SLM

A number of hedge funds have recently modified their holdings of SLM. Triumph Capital Management bought a new position in shares of SLM during the 3rd quarter valued at about $69,000. EverSource Wealth Advisors LLC increased its stake in SLM by 118.2% during the 2nd 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 acquired a new stake in SLM during the 1st quarter worth approximately $263,000. NewEdge Advisors LLC raised its holdings in SLM by 6.6% during the 1st 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 period. Finally, Captrust Financial Advisors lifted its stake in SLM by 6.1% in the second quarter. Captrust Financial Advisors now owns 36,889 shares of the credit services provider’s stock valued at $1,210,000 after buying an additional 2,109 shares in the last quarter. Institutional investors and hedge funds own 98.94% of the company’s stock.

Analyst Ratings Changes

Several research firms have recently issued reports on SLM. Wells Fargo & Company reduced their price target on SLM from $32.00 to $29.00 and set an “overweight” rating on the stock in a research report on Thursday, April 9th. Barclays dropped their price objective on SLM from $35.00 to $27.00 and set an “overweight” rating for the company in a report on Monday, April 6th. Zacks Research upgraded SLM from a “strong sell” rating to a “hold” rating in a report on Monday, February 9th. Compass Point upgraded SLM from a “sell” rating to a “neutral” rating and decreased their target price for the stock from $23.00 to $22.00 in a research report on Monday, March 30th. Finally, Morgan Stanley lowered their price target on SLM from $29.00 to $26.00 and set an “equal weight” rating for the company in a research note on Thursday, April 16th. Six research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $29.40.

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.