Skip to main content

SLM Corporation (SLM) Stock Analysis

Recovery setup

SellVALUE-TRAP 1/5Moderate Confidence

Financial Services · Credit Services

Sell if holding. At $23.05, A.R:R 0.9:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Product: Private Education Loans (71.0%); Concentration risk — Product: online deposit products.

SLM Corporation (Sallie Mae) is the largest private student loan lender in the U.S., originating $7.4 billion in Private Education Loans in 2025 with $20.3 billion held for investment. Revenue is earned through net interest income on student loans and deposit products held at... Read more

$23.05+9.0% A.UpsideScore 5.6/10#19 of 28 Credit Services
Stop $21.46Target $25.15(analyst − 13%)A.R:R 0.9:1
Analyst target$28.91+25.4%11 analysts
$25.15our TP
$23.05price
$28.91mean
$35

Sell if holding. At $23.05, A.R:R 0.9:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Product: Private Education Loans (71.0%); Concentration risk — Product: online deposit products. Chart setup: Death cross but MACD improving, RSI 65. Score 5.6/10, moderate confidence.

Passes 6/9 gates (clean insider activity, no SEC red flags, news boost earnings 0.80, news boost analyst 0.70, earnings proximity 84d clear, semi cycle peak clear). Fails on weak momentum and favorable risk/reward ratio and death cross (50MA < 200MA). Suitability: aggressive.

Thesis

Rewards
High-quality business
Attractive valuation
Margin of safety: 57%
Risks
Concentration risk — Product: Private Education Loans (71.0%)
Concentration risk — Product: online deposit products
Thin upside margin: 9.0%

Key Metrics

P/E (TTM)6.4
P/E (Fwd)6.9
Mkt Cap$4.3B
EV/EBITDA
Profit Mgn44.9%
ROE30.9%
Rev Growth2.5%
Beta1.05
Dividend2.26%
Rating analysts15

Quality Signals

Piotroski F4/9

Options Flow

P/C1.23bearish
IV53%elevated
Max Pain$15-34.9% vs spot

Concentration Risks(10-K Item 1A)

  • HIGHProductPrivate Education Loans71%
    10-K Item 1A: 'approximately 71 percent of our total assets ... were comprised of Private Education Loans'
  • HIGHProductonline deposit products
    10-K Item 1A: 'Our deposit funding base is primarily concentrated in online deposit products, including high-yield savings accounts, money market accounts, and certificates of deposit'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

3 floor-breakers·1 ceiling hit

Growth below the gate floor. Component breakdown shows what dragged the score down.static

Revenue Growth
3.1
Earnings Growth
4.0

Technicals below the gate floor. Component breakdown shows what dragged the score down.static

Bollinger
3.1
52w Position
3.4
Support Resistance
4.0

Momentum below the gate floor. Component breakdown shows what dragged the score down.static

Volume
0.0
Obv
1.0
Rsi
3.5
Ma Position
6.0
Macd
7.8
Volume distribution (falling OBV)Below 200-MA, MA slope -5.5%/30d — confirmed downtrend
GatesMomentum 3.7<4.5A.R:R 0.9 < 1.5@spotDeath cross (50MA < 200MA)Insider activity: OKNo SEC red flagsNEWS BOOST EARNINGS 0.80NEWS BOOST ANALYST 0.70EARNINGS PROXIMITY 84d clearSEMI CYCLE PEAK CLEARRecoverySuitability: Aggressive
RSI
65 · Neutral
20D MA 50D MA 200D MADEATH CROSSSupport $20.72Resistance $24.62

Price Targets

$21
$25
A.Upside+9.1%
A.R:R0.9:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeCautious

Risk Alerts

! Momentum score 3.7/10 — below 4.5 minimum
! Reward/Risk 0.9:1 at current price — below 1.5:1 minimum
! Death cross — 50-day MA below 200-day MA

Earnings

B
B
M
M
2/4 beats
Next Earnings2026-07-23 (84d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is SLM stock a buy right now?

Sell if holding. At $23.05, A.R:R 0.9:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Product: Private Education Loans (71.0%); Concentration risk — Product: online deposit products. Chart setup: Death cross but MACD improving, RSI 65. Prior stop was $21.46. Score 5.6/10, moderate confidence.

What is the SLM stock price target?

Take-profit target: $25.15 (+9.0% upside). Prior stop was $21.46. Stop-loss: $21.46.

What are the risks of investing in SLM?

Concentration risk — Product: Private Education Loans (71.0%); Concentration risk — Product: online deposit products; Thin upside margin: 9.0%.

Is SLM overvalued or undervalued?

SLM Corporation trades at a P/E of 6.4 (forward 6.9). TrendMatrix value score: 8.6/10. Verdict: Sell.

What do analysts say about SLM?

15 analysts cover SLM with a consensus score of 3.8/5. Average price target: $29.

What does SLM Corporation do?SLM Corporation (Sallie Mae) is the largest private student loan lender in the U.S., originating $7.4 billion in...

SLM Corporation (Sallie Mae) is the largest private student loan lender in the U.S., originating $7.4 billion in Private Education Loans in 2025 with $20.3 billion held for investment. Revenue is earned through net interest income on student loans and deposit products held at its subsidiary, Sallie Mae Bank.

Related stocks: JCAP (Jefferson Capital, Inc.) · SEZL (Sezzle Inc.) · SLMBP (SLM Corporation - Floating Rate) · ECPG (Encore Capital Group Inc) · ENVA (Enova International, Inc.)