Providing a diverse range of perspectives from bullish to bearish, 5 analysts have published ratings on SLM (NASDAQ:SLM) in the last three months.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 1 | 3 | 1 | 0 | 0 |
| Last 30D | 0 | 2 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 1 | 0 | 0 | 0 | 0 |
| 3M Ago | 0 | 1 | 0 | 0 | 0 |
The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $27.2, a high estimate of $29.00, and a low estimate of $25.00. This current average has increased by 7.94% from the previous average price target of $25.20.
Breaking Down Analyst Ratings: A Detailed Examination
An in-depth analysis of recent analyst actions unveils how financial experts perceive SLM. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Richard Shane | JP Morgan | Raises | Neutral | $25.00 | $23.00 |
| Sanjay Sakhrani | Keefe, Bruyette & Woods | Raises | Outperform | $27.00 | $25.00 |
| David Chiaverini | Wedbush | Raises | Outperform | $29.00 | $25.00 |
| Moshe Orenbuch | TD Cowen | Raises | Buy | $27.00 | $25.00 |
| David Chiaverini | Wedbush | Maintains | Outperform | $28.00 | $28.00 |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to SLM. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of SLM compared to the broader market.
- Price Targets: Analysts predict movements in price targets, offering estimates for SLM's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.
Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of SLM's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.
Stay up to date on SLM analyst ratings.
About SLM
SLM Corp is the largest student lender in the country. It makes and holds student loans through the guaranteed Federal Family Education Loan Program as well as through private channels. It also engages in debt-management operations, including accounts receivable and collections services, and runs college savings programs.
SLM's Financial Performance
Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.
Positive Revenue Trend: Examining SLM's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 31.49% as of 31 March, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Financials sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 50.84%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): SLM's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 16.34% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): SLM's ROA stands out, surpassing industry averages. With an impressive ROA of 0.99%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: SLM's debt-to-equity ratio is notably higher than the industry average. With a ratio of 2.67, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.
The Significance of Analyst Ratings Explained
Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
This article was generated by Benzinga's automated content engine and reviewed by an editor.