SLM Corp. (SLM) Rating Reiterated by Barclays PLC
SLM Corp. (NASDAQ:SLM)‘s stock had its “buy” rating restated by investment analysts at Barclays PLC in a report released on Monday. They currently have a $12.00 price objective on the stock. Barclays PLC’s price objective would suggest a potential upside of 23.97% from the stock’s previous close.
The analysts wrote, “We hosted two days of investor meetings with SLM. Overall, we came away with a reinforced view on the long-term growth prospects of the stock. If anything, we are probably more bullish now. Prior to the election, SLM was already a robust growth story, but had some warranted legislative risks. Now those risks, at a minimum, are off the table in our view. And instead, we think the legislative/regulatory landscape has become more supportive to private student lending and could actually create catalysts. SLM could benefit from any one or a combination of potential catalysts that include, lower corporate taxes, reduction in Federal student lending, and a much less likely revival of the FFELP program in some form. While the stock has rallied +34% (vs. +2% SPX) since 11/9, SLM trades at ~14x 2017 EPS, and still at a discount to the broader SMIDcap bank group (~17x) and also a discount to our DCF- driven PT of $12 (up from $11, reflecting a lower discount rate). Ultimately, we think that none of these catalysts are fully priced in, so owning SLM here provides a free call option on EPS upside from these potential catalysts, in our view.””
Other analysts have also recently issued research reports about the company. Goldman Sachs Group Inc. restated a “buy” rating and issued a $9.00 price target on shares of SLM Corp. in a research report on Wednesday, August 10th. TheStreet raised SLM Corp. from a “hold” rating to a “buy” rating in a research note on Monday, August 1st. Finally, Zacks Investment Research raised SLM Corp. from a “hold” rating to a “buy” rating and set a $8.00 price objective for the company in a research note on Monday, July 25th. One investment analyst has rated the stock with a hold rating, seven have given a buy rating and two have issued a strong buy rating to the stock. The company currently has an average rating of “Buy” and an average price target of $9.27.
SLM Corp. (NASDAQ:SLM) opened at 9.68 on Monday. The company’s 50 day moving average price is $7.77 and its 200-day moving average price is $7.14. The stock has a market capitalization of $4.15 billion, a PE ratio of 16.69 and a beta of 1.11. SLM Corp. has a one year low of $5.09 and a one year high of $9.83.
SLM Corp. (NASDAQ:SLM) last issued its quarterly earnings results on Wednesday, October 19th. The company reported $0.12 EPS for the quarter, hitting analysts’ consensus estimates of $0.12. The business earned $223 million during the quarter, compared to analysts’ expectations of $931.19 million. SLM Corp. had a return on equity of 16.80% and a net margin of 23.86%. The business’s quarterly revenue was up 27.4% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.09 earnings per share. Analysts expect that SLM Corp. will post $0.52 earnings per share for the current year.
In related news, Director Marianne M. Keler acquired 10,000 shares of the firm’s stock in a transaction on Friday, October 28th. The shares were acquired at an average cost of $7.12 per share, for a total transaction of $71,200.00. Following the completion of the transaction, the director now directly owns 59,901 shares in the company, valued at approximately $426,495.12. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Corporate insiders own 0.98% of the company’s stock.
A number of large investors have recently modified their holdings of the stock. Bank of New York Mellon Corp increased its stake in shares of SLM Corp. by 11.6% in the second quarter. Bank of New York Mellon Corp now owns 44,688,632 shares of the company’s stock worth $276,176,000 after buying an additional 4,659,355 shares during the period. Boston Partners increased its stake in shares of SLM Corp. by 5.0% in the third quarter. Boston Partners now owns 23,037,299 shares of the company’s stock valued at $172,089,000 after buying an additional 1,086,962 shares during the last quarter. Vanguard Group Inc. increased its stake in shares of SLM Corp. by 2.8% in the second quarter. Vanguard Group Inc. now owns 21,720,168 shares of the company’s stock valued at $134,231,000 after buying an additional 595,368 shares during the last quarter. BlackRock Fund Advisors increased its stake in shares of SLM Corp. by 4.9% in the third quarter. BlackRock Fund Advisors now owns 16,003,993 shares of the company’s stock valued at $119,550,000 after buying an additional 744,508 shares during the last quarter. Finally, BlackRock Advisors LLC increased its stake in shares of SLM Corp. by 1.2% in the third quarter. BlackRock Advisors LLC now owns 15,862,109 shares of the company’s stock valued at $118,490,000 after buying an additional 188,440 shares during the last quarter. Institutional investors and hedge funds own 99.15% of the company’s stock.
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SLM Corp. Company Profile 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.
SLM Corp. Company Profile
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.
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