SLM Corporation, through its subsidiaries, operates as a saving, planning, and paying for college company in the United States.
Proven track record and fair value.
Share Price & News
How has SLM's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SLM's share price has been volatile over the past 3 months.
7 Day Return
US Consumer Finance
1 Year Return
US Consumer Finance
Return vs Industry: SLM underperformed the US Consumer Finance industry which returned 12.8% over the past year.
Return vs Market: SLM underperformed the US Market which returned 17.9% over the past year.
Price Volatility Vs. Market
How volatile is SLM's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StHow Does SLM's (NASDAQ:SLM) P/E Compare To Its Industry, After Its Big Share Price Gain?
3 weeks ago | Simply Wall StI Ran A Stock Scan For Earnings Growth And SLM (NASDAQ:SLM) Passed With Ease
1 month ago | Simply Wall StSome SLM (NASDAQ:SLM) Shareholders Are Down 23%
Is SLM undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SLM ($12.04) is trading below our estimate of fair value ($28.88)
Significantly Below Fair Value: SLM is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SLM is poor value based on its PE Ratio (9.2x) compared to the Consumer Finance industry average (8.7x).
PE vs Market: SLM is good value based on its PE Ratio (9.2x) compared to the US market (18.2x).
Price to Earnings Growth Ratio
PEG Ratio: SLM is poor value based on its PEG Ratio (1.1x)
Price to Book Ratio
PB vs Industry: SLM is overvalued based on its PB Ratio (1.7x) compared to the US Consumer Finance industry average (1.1x).
How is SLM forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SLM's forecast earnings growth (8.1% per year) is above the savings rate (1.7%).
Earnings vs Market: SLM's earnings (8.1% per year) are forecast to grow slower than the US market (14.1% per year).
High Growth Earnings: SLM's earnings are forecast to grow, but not significantly.
Revenue vs Market: SLM's revenue (8% per year) is forecast to grow faster than the US market (7.6% per year).
High Growth Revenue: SLM's revenue (8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SLM's Return on Equity is forecast to be high in 3 years time (29.6%)
How has SLM performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SLM has high quality earnings.
Growing Profit Margin: SLM's current net profit margins (42.6%) are higher than last year (42.3%).
Past Earnings Growth Analysis
Earnings Trend: SLM's earnings have grown significantly by 23.6% per year over the past 5 years.
Accelerating Growth: SLM's earnings growth over the past year (19%) is below its 5-year average (23.6% per year).
Earnings vs Industry: SLM earnings growth over the past year (19%) exceeded the Consumer Finance industry 8.6%.
Return on Equity
High ROE: SLM's Return on Equity (17.5%) is considered low.
Return on Assets
Return on Capital Employed
How is SLM's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Inventory Level: SLM has a low level of unsold assets or inventory.
Debt Coverage by Assets: SLM's debt is covered by short term assets (assets are 6.9x debt).
Financial Institutions Analysis
Asset Level: SLM's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if SLM has a sufficient allowance for bad loans.
Low Risk Liabilities: SLM reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if SLM has an acceptable proportion of non-loan assets held.
Low Risk Deposits: SLM has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if SLM has an appropriate level of bad loans.
What is SLM's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: SLM's dividend (1%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.45%).
High Dividend: SLM's dividend (1%) is low compared to the top 25% of dividend payers in the US market (3.73%).
Stability and Growth of Payments
Stable Dividend: SLM has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: SLM has only been paying a dividend for 6 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (9.1%), SLM's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SLM's dividends in 3 years are forecast to be thoroughly covered by earnings (8.1% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Ray Quinlan (67yo)
Mr. Raymond J. Quinlan, also known as Ray, has been the Executive Chairman and Chief Executive Officer of SLM Corporation since April 29, 2014. Mr. Quinlan has 40+ years of tradition with the challenge, mo ...
CEO Compensation Analysis
Compensation vs Market: Ray's total compensation ($USD6.19M) is about average for companies of similar size in the US market ($USD6.39M).
Compensation vs Earnings: Ray's compensation has been consistent with company performance over the past year.
|Executive Chairman & CEO||5.8yrs||US$6.19m||0.25% $12.5m|
|Executive VP & CFO||5.8yrs||US$2.13m||0.052% $2.6m|
|Executive VP & Chief Administrative Officer||4yrs||US$1.66m||0.032% $1.6m|
|Senior VP & General Counsel||1.9yrs||US$1.38m||0.021% $1.1m|
|Chief Risk Officer & Senior VP||5.6yrs||US$1.38m||0.0082% $414.7k|
|Senior Director of Investor Relations||0yrs||no data||no data|
|Chief Compliance Officer and Senior Vice President||11.6yrs||no data||no data|
|Senior Vice President of Corporate Marketing & Communications||0yrs||no data||no data|
|Executive VP & Chief Marketing Officer||1.1yrs||no data||0.0023% $117.1k|
|Senior Vice President of Government Relations||0yrs||no data||no data|
Experienced Management: SLM's management team is seasoned and experienced (5.6 years average tenure).
|Executive Chairman & CEO||5.8yrs||US$6.19m||0.25% $12.5m|
|Independent Director||5.8yrs||US$195.00k||0.016% $786.9k|
|Independent Director||19.6yrs||US$190.00k||0.030% $1.5m|
|Independent Director||5.8yrs||US$190.01k||0.021% $1.1m|
|Independent Director||4.9yrs||US$185.01k||0.011% $538.4k|
|Independent Director||11.9yrs||US$195.01k||0.033% $1.7m|
|Lead Independent Director||6.1yrs||US$205.01k||0.013% $634.3k|
|Independent Director||5.8yrs||US$185.01k||0.012% $611.4k|
|Independent Director||5.8yrs||US$180.01k||0.016% $815.8k|
|Independent Director||4.9yrs||US$180.01k||0.011% $539.5k|
Experienced Board: SLM's board of directors are considered experienced (5.8 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
SLM Corporation's company bio, employee growth, exchange listings and data sources
- Name: SLM Corporation
- Ticker: SLM
- Exchange: NasdaqGS
- Founded: 1972
- Industry: Consumer Finance
- Sector: Diversified Financials
- Market Cap: US$5.070b
- Shares outstanding: 421.10m
- Website: https://www.salliemae.com
Number of Employees
- SLM Corporation
- 300 Continental Drive
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|SLM||NasdaqGS (Nasdaq Global Select)||Yes||Common Stock||US||USD||May 2014|
|SLMB.P||NasdaqGS (Nasdaq Global Select)||PFD SER B||US||USD||May 2014|
|SM1||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||May 2014|
|SLM *||BMV (Bolsa Mexicana de Valores)||Yes||Common Stock||MX||MXN||May 2014|
SLM Corporation, through its subsidiaries, operates as a saving, planning, and paying for college company in the United States. The company originates and services private education loans to students or their families. It also offers retail deposit accounts, including certificates of deposit, money market deposit accounts, and high yield savings accounts; omnibus accounts; and a consumer savings network that provides financial rewards on everyday purchases to help families save for college. The company was formerly known as New BLC Corporation and changed its name to SLM Corporation in December 2013. SLM Corporation was founded in 1972 and is headquartered in Newark, Delaware.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/23 01:54|
|End of Day Share Price||2020/02/21 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.