SLM (NASDAQ:SLM) Downgraded to Sell Rating by Wall Street Zen

SLM (NASDAQ:SLM) was downgraded by research analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a research report issued to clients and investors on Saturday.

Several other equities analysts have also weighed in on SLM. Royal Bank Of Canada raised their price objective on shares of SLM from $28.00 to $29.00 and gave the company an “outperform” rating in a research report on Friday, July 10th. Barclays reissued an “equal weight” rating and issued a $26.00 target price (down from $30.00) on shares of SLM in a research report on Tuesday, July 7th. Zacks Research lowered shares of SLM from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, May 26th. Morgan Stanley raised their price target on shares of SLM from $27.00 to $28.00 and gave the company an “equal weight” rating in a report on Monday. Finally, Weiss Ratings raised shares of SLM from a “hold (c)” rating to a “hold (c+)” rating in a research note on Thursday, June 18th. Five investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $29.80.

SLM Stock Performance

Shares of SLM stock opened at $24.29 on Friday. The company has a debt-to-equity ratio of 2.59, a current ratio of 1.30 and a quick ratio of 1.29. SLM has a fifty-two week low of $17.77 and a fifty-two week high of $33.49. The stock’s 50-day moving average is $23.57 and its two-hundred day moving average is $23.32. The firm has a market cap of $4.58 billion, a P/E ratio of 6.78, a PEG ratio of 2.21 and a beta of 0.94.

SLM (NASDAQ:SLM) last posted its quarterly earnings results on Thursday, July 23rd. The credit services provider reported $0.29 earnings per share for the quarter, missing analysts’ consensus estimates of $0.46 by ($0.17). The firm had revenue of $401.11 million for the quarter, compared to analysts’ expectations of $409.22 million. SLM had a return on equity of 34.07% and a net margin of 26.09%.The firm’s revenue for the quarter was down .7% on a year-over-year basis. During the same period last year, the business earned $0.32 earnings per share. SLM has set its FY 2026 guidance at 3.100-3.200 EPS. Analysts predict that SLM will post 3.16 earnings per share for the current fiscal year.

Institutional Investors Weigh In On SLM

A number of large investors have recently added to or reduced their stakes in SLM. Handelsbanken Fonder AB boosted its position in SLM by 16.1% during the second quarter. Handelsbanken Fonder AB now owns 56,179 shares of the credit services provider’s stock worth $1,457,000 after purchasing an additional 7,800 shares during the period. GAMMA Investing LLC raised its position in shares of SLM by 26.4% in the second quarter. GAMMA Investing LLC now owns 11,579 shares of the credit services provider’s stock valued at $300,000 after purchasing an additional 2,417 shares during the period. EverSource Wealth Advisors LLC lifted its stake in shares of SLM by 19.4% in the first quarter. EverSource Wealth Advisors LLC now owns 3,081 shares of the credit services provider’s stock worth $66,000 after buying an additional 501 shares during the last quarter. Entropy Technologies LP boosted its holdings in shares of SLM by 146.1% during the 1st quarter. Entropy Technologies LP now owns 44,570 shares of the credit services provider’s stock worth $954,000 after buying an additional 26,460 shares during the period. Finally, SG Americas Securities LLC boosted its holdings in shares of SLM by 63.1% during the 1st quarter. SG Americas Securities LLC now owns 261,392 shares of the credit services provider’s stock worth $5,596,000 after buying an additional 101,120 shares during the period. Institutional investors own 98.94% of the company’s stock.

Trending Headlines about SLM

Here are the key news stories impacting SLM this week:

• Positive Sentiment: SLM reaffirmed/issued FY 2026 EPS guidance of 3.10 to 3.20, which is roughly in line with consensus and may help limit downside if investors focus on the full-year outlook rather than the quarter. Sallie Mae Reports Second Quarter 2026 Financial Results
• Positive Sentiment: The company also highlighted loan origination growth, showing the underlying lending franchise is still expanding even as earnings were weak. Sallie Mae Q2 Earnings Miss Estimates, NII Dips, Expenses Rise Y/Y
• Neutral Sentiment: Investor focus remains split between the “student loan reform” narrative and valuation arguments, which may be supporting some longer-term interest in the stock despite the weak quarter. SLM (SLM) Heads Into Earnings On Student Loan Reform Narrative and Undervalued Debate
• Negative Sentiment: SLM reported Q2 EPS of $0.29 versus estimates of $0.46, while revenue of $401.1 million also missed expectations, reinforcing concerns about near-term earnings momentum. SLM earnings report and conference call
• Negative Sentiment: Management cited lower net interest income, rising expenses, and margin pressure, all of which weigh on profitability and help explain why the stock is moving lower. Sallie Mae (SLM) Misses Q2 Earnings and Revenue Estimates

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.