SLM Corporation (NASDAQ: SLM) and JG Wentworth (NYSE:JGW) are both finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, dividends, valuation, profitability, risk, earnings and institutional ownership.

Profitability

This table compares SLM Corporation and JG Wentworth’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
SLM Corporation 22.81% 16.31% 1.58%
JG Wentworth -12.80% N/A -0.78%

Earnings and Valuation

This table compares SLM Corporation and JG Wentworth’s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
SLM Corporation $891.46 million 4.94 $267.56 million $0.62 16.47
JG Wentworth N/A N/A N/A N/A N/A

SLM Corporation has higher revenue and earnings than JG Wentworth.

Insider & Institutional Ownership

99.2% of SLM Corporation shares are held by institutional investors. 0.6% of SLM Corporation shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent recommendations and price targets for SLM Corporation and JG Wentworth, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
SLM Corporation 1 1 5 0 2.57
JG Wentworth 0 0 0 0 N/A

SLM Corporation presently has a consensus target price of $12.93, suggesting a potential upside of 26.63%. Given SLM Corporation’s higher possible upside, research analysts clearly believe SLM Corporation is more favorable than JG Wentworth.

Summary

SLM Corporation beats JG Wentworth on 8 of the 8 factors compared between the two stocks.

About SLM Corporation

SLM Corporation (Sallie Mae) is the nation’s saving, planning, and paying for college company. Sallie Mae offers products, which promote personal finance including private education loans, Upromise rewards, scholarship search, college financial planning tools, insurance, and online retail banking.

About JG Wentworth

The J.G. Wentworth Company is a diversified financial services company. The Company focuses on providing solutions to consumers in need of cash. The Company conducts its operations through two segments: Structured Settlements and Annuity Purchasing (Structured Settlements), and Home Lending. The Structured Settlements segment provides liquidity to individuals with various financial assets, such as structured settlements, annuities, and lottery winnings, by either purchasing these financial assets for a lump-sum payment, issuing installment obligations payable over time, or serving as a broker to other purchasers of those financial assets. The Home Lending segment is primarily engaged in retail lending, originating primarily Federal Housing Administration (FHA), Veterans Administration (VA) and conventional loans. The Structured Settlements segment operates with various brands, including J.G. Wentworth and Peachtree.

Receive News & Ratings for SLM Corporation Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for SLM Corporation and related companies with MarketBeat.com's FREE daily email newsletter.