SLM (NASDAQ:SLM) Hits New 12-Month High – Here’s Why

SLM Co. (NASDAQ:SLM) shares hit a new 52-week high on Thursday . The company traded as high as $28.34 and last traded at $28.34, with a volume of 216 shares trading hands. The stock had previously closed at $27.58.

Analysts Set New Price Targets

A number of analysts have recently issued reports on the company. Barclays decreased their target price on SLM from $27.00 to $26.00 and set an “overweight” rating for the company in a report on Thursday, October 24th. Royal Bank of Canada reissued an “outperform” rating and issued a $26.00 price objective on shares of SLM in a research report on Thursday, October 24th. Wedbush restated an “outperform” rating and set a $26.00 target price on shares of SLM in a report on Thursday, October 24th. Bank of America assumed coverage on SLM in a research report on Wednesday, September 25th. They issued a “buy” rating and a $27.00 price objective on the stock. Finally, JPMorgan Chase & Co. upped their target price on SLM from $24.00 to $27.00 and gave the stock a “neutral” rating in a research report on Monday, December 9th. Two research analysts have rated the stock with a hold rating and nine have given a buy rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $27.27.

SLM Price Performance

The stock has a market capitalization of $5.98 billion, a price-to-earnings ratio of 9.82, a price-to-earnings-growth ratio of 0.85 and a beta of 1.21. The company has a debt-to-equity ratio of 3.21, a current ratio of 1.29 and a quick ratio of 1.27. The company has a 50-day simple moving average of $25.76 and a two-hundred day simple moving average of $23.12.

SLM (NASDAQ:SLM) last announced its quarterly earnings results on Wednesday, October 23rd. The credit services provider reported ($0.23) EPS for the quarter, missing the consensus estimate of $0.07 by ($0.30). SLM had a net margin of 22.18% and a return on equity of 35.92%. The firm had revenue of $652.64 million during the quarter, compared to analyst estimates of $363.40 million. During the same quarter in the previous year, the business posted $0.11 EPS. On average, equities research analysts predict that SLM Co. will post 2.73 earnings per share for the current year.

SLM Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, December 16th. Stockholders of record on Thursday, December 5th were paid a $0.13 dividend. This is a positive change from SLM’s previous quarterly dividend of $0.11. This represents a $0.52 dividend on an annualized basis and a dividend yield of 1.85%. The ex-dividend date was Thursday, December 5th. SLM’s dividend payout ratio is currently 18.12%.

Insider Buying and Selling

In other SLM news, Director Robert S. Strong sold 4,500 shares of the business’s stock in a transaction dated Monday, December 2nd. The shares were sold at an average price of $27.25, for a total value of $122,625.00. Following the sale, the director now directly owns 83,130 shares in the company, valued at approximately $2,265,292.50. The trade was a 5.14 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 1.20% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On SLM

Institutional investors and hedge funds have recently modified their holdings of the stock. True Wealth Design LLC purchased a new stake in shares of SLM in the 3rd quarter valued at approximately $31,000. Waldron Private Wealth LLC purchased a new stake in shares of SLM in the third quarter valued at $31,000. Blue Trust Inc. boosted its position in shares of SLM by 358.7% in the third quarter. Blue Trust Inc. now owns 1,399 shares of the credit services provider’s stock worth $32,000 after buying an additional 1,094 shares during the period. Capital Performance Advisors LLP purchased a new position in shares of SLM during the third quarter valued at $35,000. Finally, Covestor Ltd lifted its stake in SLM by 110.3% in the 3rd quarter. Covestor Ltd now owns 4,404 shares of the credit services provider’s stock worth $101,000 after acquiring an additional 2,310 shares in the last quarter. 98.94% of the stock is owned by institutional investors and hedge funds.

SLM Company Profile

SLM Corporation, through its subsidiaries, originates and services private education loans to students and their families to finance the cost of their education in the United States. It is also involved in the provision of retail deposit accounts, including certificates of deposit, money market accounts, and high-yield savings accounts; and interest-bearing omnibus accounts.