SLM (NASDAQ:SLM) Hits New 1-Year High - Time to Buy?

SLM Co. (NASDAQ:SLM - Get Free Report) shares hit a new 52-week high during trading on Wednesday . The company traded as high as $28.99 and last traded at $28.79, with a volume of 157370 shares changing hands. The stock had previously closed at $28.57.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on SLM shares. Wedbush reissued an "outperform" rating and issued a $26.00 price objective on shares of SLM in a research report on Thursday, October 24th. JPMorgan Chase & Co. lifted their target price on SLM from $27.00 to $29.00 and gave the stock a "neutral" rating in a report on Tuesday, January 14th. Bank of America began coverage on SLM in a report on Wednesday, September 25th. They set a "buy" rating and a $27.00 price target on the stock. Keefe, Bruyette & Woods reiterated a "market perform" rating and issued a $30.00 price objective (up previously from $27.00) on shares of SLM in a research note on Monday, December 9th. Finally, Morgan Stanley increased their target price on shares of SLM from $26.00 to $32.00 and gave the stock an "overweight" rating in a research note on Thursday, December 19th. Two research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $27.90.

SLM Price Performance

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 business's fifty day moving average price is $27.07 and its 200-day moving average price is $23.79. The stock has a market capitalization of $6.17 billion, a price-to-earnings ratio of 10.13, a PEG ratio of 0.76 and a beta of 1.21.

SLM (NASDAQ:SLM - Get Free Report) last released its quarterly earnings results on Wednesday, October 23rd. The credit services provider reported ($0.23) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.07 by ($0.30). The company had revenue of $652.64 million for the quarter, compared to analyst estimates of $363.40 million. SLM had a net margin of 22.18% and a return on equity of 35.92%. During the same quarter last year, the firm posted $0.11 EPS. On average, research analysts forecast that SLM Co. will post 2.72 EPS for the current year.

SLM Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, March 17th. Investors of record on Wednesday, March 5th will be given a dividend of $0.13 per share. This represents a $0.52 annualized dividend and a dividend yield of 1.79%. SLM's payout ratio is 18.12%.

Insider Activity at SLM

In related 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 transaction of $122,625.00. Following the transaction, 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 transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 1.20% of the stock is currently owned by insiders.

Hedge Funds Weigh In On SLM

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

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.