SLM Stock Analysis: SLM | NASDAQ
Credit Services | NASDAQ, USA | Market Cap: 4.777m USD | 12M Return: -20.8% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 79.7M
EPS Trend: 59.4%
Qual. Beats: 0
Rev. Trend: 78.8%
Qual. Beats: 3
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
SLM Corporation, widely known as Sallie Mae, is a U.S. consumer finance company that originates and services private education loans used by students and their families to pay for higher education. The company complements its lending business by funding operations through retail deposits, offering high-yield savings accounts, money market accounts, certificates of deposit, and interest-bearing omnibus accounts. SLM Corporation was founded in 1972, is headquartered in Newark, Delaware, and has been listed on NASDAQ since 1985 under the ticker SLM.
Private student lending is a distinct niche within the broader Consumer Finance sector, separated from federally guaranteed student loan programs. Companies in this space typically fund loan portfolios through retail deposit gathering and capital markets activities rather than relying on government loan originations.
- Deposit funding costs decline, boosting net interest margin
- Private education loan originations grow with rising tuition and enrollment
- SoFi competition intensifies, pressuring private student loan market share
| Net Income: 748.3m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA 3.58 > 1.0 |
| NWC/Revenue: -474.0% < 20% (prev -484.7%; Δ 10.63% < -1%) |
| CFO/TA 0.02 > 3% & CFO 645.6m > Net Income 748.3m |
| Net Debt (422.0m) to EBITDA (1.01b): 0.42 < 3 |
| Current Ratio: 0.32 > 1.5 & < 3 |
| Outstanding Shares: last quarter (197.9m) vs 12m ago -7.96% < -2% |
| Gross Margin: 54.04% > 18% (prev 48.12%; Δ 5.93% > 0.5%) |
| Asset Turnover: 10.57% > 50% (prev 10.42%; Δ 0.15% > 0%) |
| Interest Coverage Ratio: 1.08 > 6 (EBIT TTM 989.8m / Interest Expense TTM 918.3m) |
| A: -0.50 (Total Current Assets 6.95b - Total Current Liabilities 21.6b) / Total Assets 29.4b |
| B: 0.17 (Retained Earnings 5.01b / Total Assets 29.4b) |
| C: 0.03 (EBIT TTM 989.8m / Avg Total Assets 29.2b) |
| D: 0.09 (Book Value of Equity 2.44b / Total Liabilities 27.0b) |
| Altman-Z'' = -2.38 = D |
| DSRI: 0.96 (Receivables 1.53b/1.55b, Revenue 3.08b/3.01b) |
| GMI: 0.89 (GM 48.12% / 54.04%) |
| AQI: 0.94 (AQ_t 0.76 / AQ_t-1 0.81) |
| SGI: 1.02 (Revenue 3.08b / 3.01b) |
| TATA: 0.00 (NI 748.3m - CFO 645.6m) / TA 29.4b) |
| Beneish M = -3.17 (Cap -4..+1) = AA |
As of July 28, 2026, the stock is trading at USD 25.42 with a total of 3,203,553 shares traded. Over the past week, the price has changed by +0.36%, over one month by -2.64%, over three months by +9.15% and over the past year by -20.81%.
Current recommended Stop Loss: 24.30 (which is 4.4% or 1.4 ATR below the current price).
SLM has received a consensus analysts rating of 4.36. Therefore, it is recommended to buy SLM.
- StrongBuy: 6
- Buy: 3
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 28.7 | 13% |
P/E Trailing = 7.0087
P/E Forward = 8.0064
P/S = 2.6548
P/B = 2.1757
P/EG = 0.5827
Revenue TTM = 3.08b USD
EBIT TTM = 989.8m USD
EBITDA TTM = 1.01b USD
Long Term Debt = 5.67b USD (from longTermDebt, last quarter)
Short Term Debt = 498.9m USD (from shortTermDebt, last quarter)
Debt = 6.17b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 422.0m USD (calculated: Debt 6.17b - CCE 5.75b)
Enterprise Value = 5.20b USD (4.78b + Debt 6.17b - CCE 5.75b)
Interest Coverage Ratio = 1.08 (Ebit TTM 989.8m / Interest Expense TTM 918.3m)
EV/FCF = 8.05x (Enterprise Value 5.20b / FCF TTM 645.6m)
FCF Yield = 12.42% (FCF TTM 645.6m / Enterprise Value 5.20b)
FCF Margin = 20.95% (FCF TTM 645.6m / Revenue TTM 3.08b)
Net Margin = 24.28% (Net Income TTM 748.3m / Revenue TTM 3.08b)
Gross Margin = 54.04% ((Revenue TTM 3.08b - Cost of Revenue TTM 1.42b) / Revenue TTM)
Gross Margin QoQ = 68.53% (prev 64.44%)
Tobins Q-Ratio = 0.18 (Enterprise Value 5.20b / Total Assets 29.4b)
Interest Expense / Debt = 14.89% (Interest Expense 918.3m / Debt 6.17b)
Taxrate = 24.40% (241.5m / 989.8m)
NOPAT = 748.3m (EBIT 989.8m * (1 - 24.40%))
Current Ratio = 0.32 (Total Current Assets 6.95b / Total Current Liabilities 21.6b)
Debt / Equity = 2.53 (Debt 6.17b / totalStockholderEquity, last quarter 2.44b)
Debt / EBITDA = 0.42 (Net Debt 422.0m / EBITDA 1.01b)
Debt / FCF = 0.65 (Net Debt 422.0m / FCF TTM 645.6m)
Total Stockholder Equity = 2.40b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.57% (Net Income 748.3m / Total Assets 29.4b)
RoE = 31.16% (Net Income TTM 748.3m / Total Stockholder Equity 2.40b)
RoCE = 12.26% (EBIT 989.8m / Capital Employed (Equity 2.40b + L.T.Debt 5.67b))
RoIC = 2.56% (NOPAT 748.3m / Invested Capital 29.3b)
WACC = 10.65% (E(4.78b)/V(10.9b) * Re(9.86%) + D(6.17b)/V(10.9b) * Rd(14.89%) * (1-Tc(0.24)))
Discount Rate = 9.86% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -97.08 | Cagr: -5.84%
[DCF] Terminal Value 67.83% ; FCFF base≈645.6m ; Y1≈648.3m ; Y5≈686.7m
[DCF] Fair Price = 38.50 (EV 7.68b - Net Debt 422.0m = Equity 7.26b / Shares 188.6m; r=10.65% [WACC]; 5y FCF grow 0.0% → 2.50% )
EPS Correlation: 59.44 | EPS CAGR: 20.48% | SUE: -0.64 | # QB: 0
Revenue Correlation: 78.79 | Revenue CAGR: 5.22% | SUE: 0.89 | # QB: 3
EPS current Quarter (2026-09-30): EPS=0.37 | Chg30d=-6.39% | Revisions=-36% | Analysts=10
EPS current Year (2026-12-31): EPS=3.14 | Chg30d=-0.34% | Revisions=+75% | GrowthEPS=-9.3% | GrowthRev=-3.4%
EPS next Year (2027-12-31): EPS=3.38 | Chg30d=-0.71% | Revisions=+58% | GrowthEPS=+7.7% | GrowthRev=+1.0%
[Analyst] Revisions Ratio: +41% (up=19, down=7)