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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 6/10

vs
industry
vs
history
Cash to Debt No Debt
SLM's Cash to Debt is ranked higher than
97% of the 126 Companies
in the Global Credit Services industry.

( Industry Median: 0.17 vs. SLM: No Debt )
SLM' s 10-Year Cash to Debt Range
Min: 0   Max: No Debt
Current: No Debt

Equity to Asset 0.15
SLM's Equity to Asset is ranked higher than
57% of the 138 Companies
in the Global Credit Services industry.

( Industry Median: 0.22 vs. SLM: 0.15 )
SLM' s 10-Year Equity to Asset Range
Min: 0.01   Max: 0.15
Current: 0.15

0.01
0.15
Interest Coverage 0.94
SLM's Interest Coverage is ranked higher than
50% of the 104 Companies
in the Global Credit Services industry.

( Industry Median: 3.43 vs. SLM: 0.94 )
SLM' s 10-Year Interest Coverage Range
Min: 0.23   Max: 2.14
Current: 0.94

0.23
2.14
F-Score: 6
Z-Score: 0.34
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 7/10

vs
industry
vs
history
Operating margin (%) 51.49
SLM's Operating margin (%) is ranked higher than
89% of the 133 Companies
in the Global Credit Services industry.

( Industry Median: 25.65 vs. SLM: 51.49 )
SLM' s 10-Year Operating margin (%) Range
Min: -23.1   Max: 69.56
Current: 51.49

-23.1
69.56
Net-margin (%) 34.99
SLM's Net-margin (%) is ranked higher than
88% of the 139 Companies
in the Global Credit Services industry.

( Industry Median: 16.25 vs. SLM: 34.99 )
SLM' s 10-Year Net-margin (%) Range
Min: -42.99   Max: 73.76
Current: 34.99

-42.99
73.76
ROE (%) 25.16
SLM's ROE (%) is ranked higher than
94% of the 140 Companies
in the Global Credit Services industry.

( Industry Median: 13.17 vs. SLM: 25.16 )
SLM' s 10-Year ROE (%) Range
Min: -17.16   Max: 76.73
Current: 25.16

-17.16
76.73
ROA (%) 0.89
SLM's ROA (%) is ranked higher than
53% of the 141 Companies
in the Global Credit Services industry.

( Industry Median: 2.80 vs. SLM: 0.89 )
SLM' s 10-Year ROA (%) Range
Min: -0.58   Max: 2.37
Current: 0.89

-0.58
2.37
ROC (Joel Greenblatt) (%) 23.60
SLM's ROC (Joel Greenblatt) (%) is ranked higher than
66% of the 132 Companies
in the Global Credit Services industry.

( Industry Median: 31.17 vs. SLM: 23.60 )
SLM' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: -1.68   Max: 219.98
Current: 23.6

-1.68
219.98
Revenue Growth (%) -0.70
SLM's Revenue Growth (%) is ranked higher than
59% of the 124 Companies
in the Global Credit Services industry.

( Industry Median: 7.90 vs. SLM: -0.70 )
SLM' s 10-Year Revenue Growth (%) Range
Min: 0   Max: 35.9
Current: -0.7

0
35.9
EBITDA Growth (%) 8.40
SLM's EBITDA Growth (%) is ranked higher than
93% of the 100 Companies
in the Global Credit Services industry.

( Industry Median: 10.70 vs. SLM: 8.40 )
SLM' s 10-Year EBITDA Growth (%) Range
Min: 0   Max: 62.1
Current: 8.4

0
62.1
EPS Growth (%) 38.80
SLM's EPS Growth (%) is ranked higher than
91% of the 96 Companies
in the Global Credit Services industry.

( Industry Median: 18.20 vs. SLM: 38.80 )
SLM' s 10-Year EPS Growth (%) Range
Min: -30.1   Max: 74.5
Current: 38.8

-30.1
74.5
» SLM's 10-Y Financials

Financials


Revenue & Net Income
Equity & Asset
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q3 2013

SLM Guru Trades in Q3 2013

Steven Cohen 52,374 sh (+85%)
Joel Greenblatt 15,988 sh (+4.39%)
Mario Gabelli 505,700 sh (+2.64%)
Brian Rogers Sold Out
Leon Cooperman 12,917,228 sh (-1.62%)
James Barrow 42,289,280 sh (-2.69%)
Jeremy Grantham 323,666 sh (-13.88%)
Prem Watsa 15,000 sh (-25%)
Pioneer Investments 1,073,600 sh (-25.05%)
Irving Kahn 1,065,802 sh (-29.8%)
David Abrams 10,165,910 sh (-33.33%)
Paul Tudor Jones 12,400 sh (-40.67%)
» More
Q4 2013

SLM Guru Trades in Q4 2013

David Dreman 4,311 sh (New)
Steven Cohen 104,512 sh (+99.55%)
Paul Tudor Jones 14,800 sh (+19.35%)
Joel Greenblatt 16,221 sh (+1.46%)
Prem Watsa 15,000 sh (unchged)
David Abrams 10,165,910 sh (unchged)
Jeremy Grantham 320,932 sh (-0.84%)
Pioneer Investments 1,060,635 sh (-1.21%)
Mario Gabelli 495,600 sh (-2%)
James Barrow 41,301,537 sh (-2.34%)
Irving Kahn 979,022 sh (-8.14%)
Leon Cooperman 10,600,994 sh (-17.93%)
» More
Q1 2014

SLM Guru Trades in Q1 2014

John Keeley 1,734,700 sh (New)
Louis Moore Bacon 83,120 sh (New)
Paul Tudor Jones 20,000 sh (+35.14%)
Steven Cohen 140,015 sh (+33.97%)
David Dreman 4,375 sh (+1.48%)
Prem Watsa 15,000 sh (unchged)
Joel Greenblatt Sold Out
Leon Cooperman 10,581,096 sh (-0.19%)
Mario Gabelli 488,100 sh (-1.51%)
James Barrow 40,221,702 sh (-2.61%)
Irving Kahn 929,235 sh (-5.09%)
Pioneer Investments 974,891 sh (-8.08%)
David Abrams 8,200,487 sh (-19.33%)
Jeremy Grantham 172,500 sh (-46.25%)
» More
Q2 2014

SLM Guru Trades in Q2 2014

John Keeley 4,546,280 sh (+162.08%)
Paul Tudor Jones 45,254 sh (+126.27%)
Prem Watsa 15,000 sh (unchged)
Jeremy Grantham Sold Out
David Abrams Sold Out
James Barrow 40,069,974 sh (-0.38%)
Irving Kahn 911,685 sh (-1.89%)
Louis Moore Bacon 81,155 sh (-2.36%)
Leon Cooperman 10,266,196 sh (-2.98%)
Mario Gabelli 469,600 sh (-3.79%)
David Dreman 3,629 sh (-17.05%)
Pioneer Investments 210,494 sh (-78.41%)
» More
» Details

Insider Trades

Latest Guru Trades with SLM

(List those with share number changes of more than 20%, or impact to portfolio more than 0.1%)

» Interactive Charts

Peter Lynch Chart ( What is Peter Lynch Charts )

Preferred stocks of SLM Corp

SymbolPriceYieldDescription
SLMBP73.992.67Floating-Rate NonCumulative Preferred Stock, Series B
SLMAP49.507.046.97% Cumulative Redeemable Preferred Stock, Series A

Guru Investment Theses on SLM Corp

KEELEY Small Cap Value Fund Comments on Sallie Mae - Jul 30, 2014

Recently, Sallie Mae (SLM) spun its FFELP (Federal Family Education Loan Program) division Navient (NAVI). In this case we elected to keep Sallie Mae Bank (SLM, the parent) and we sold Navient. Our rationale for selling NAVI was that it’s strictly a US government backed loan originator/servicer and will not likely grow as fast as SLM who dominates the private student lending market. SLM offered better downside risk given its loans generate substantially wider spreads and virtually all of its loans are co-signed by the students’ parents. Further, by electing to remain invested in SLM, we should also benefit from the company’s efforts to sell additional products into its customer base like deposits, credit cards, etc. We believe this combination of upside opportunity derived from interacting early and often with students and downside protection via cosigned loans made SLM an attractive long-term investment.

From John Keeley (Trades, Portfolio)’s KEELEY Small Cap Value Fund Second Quarter 2014 Commentary.

Check out John Keeley latest stock trades

Top Ranked Articles about SLM Corp

KEELEY Small Cap Value Fund Comments on Sallie Mae
Recently, Sallie Mae (SLM) spun its FFELP (Federal Family Education Loan Program) division Navient (NAVI). In this case we elected to keep Sallie Mae Bank (SLM, the parent) and we sold Navient. Our rationale for selling NAVI was that it’s strictly a US government backed loan originator/servicer and will not likely grow as fast as SLM who dominates the private student lending market. SLM offered better downside risk given its loans generate substantially wider spreads and virtually all of its loans are co-signed by the students’ parents. Further, by electing to remain invested in SLM, we should also benefit from the company’s efforts to sell additional products into its customer base like deposits, credit cards, etc. We believe this combination of upside opportunity derived from interacting early and often with students and downside protection via cosigned loans made SLM an attractive long-term investment. Read more...
Irving Kahn’s High-Impact Sells in Third Quarter
The third quarter portfolio of Irving Kahn of Kahn Brothers Group lists 43 stocks, two of them new, with a total value of $687 million and a 4% quarter over quarter turnover. As of Sept. 30, 2013, centenarian Irving Kahn made these four high-impact reductions. Here are Guru Kahn’s trade details and the latest company financials. Read more...
Brian Rogers Update - T. Rowe Price High-Impact Sells
The third quarter portfolio update of Brian Rogers, portfolio manager of the T. Rowe Price Equity Income Fund, shows 118 stocks, four of them new. The fund’s total value is $25.9 billion, with a quarter-over-quarter turnover of 2%. The portfolio is currently weighted with top three sectors: financial services at 19.9%, industrials at 15.2% and energy at 15.1%. Guru Brian Rogers has averaged a return of 10.62% over 12 months. Read more...
Kahn Brothers Reduce BMY, SLM, TRV, USG, PFE, LARK in Second Quarter
Thomas Kahn once explained The Kahn Brothers’ investment approach: “We study companies and try to find undervalued securities... We're absolute value investors focusing on asset values, book value discounts and low price to earnings ratios to normalized earnings. And we aren't interested in so-called relative values -- you know, something selling at 20 times earnings in an industry group with a 35 multiple.” Read more...

Ratios

vs
industry
vs
history
P/E(ttm) 5.10
SLM's P/E(ttm) is ranked higher than
98% of the 147 Companies
in the Global Credit Services industry.

( Industry Median: 14.10 vs. SLM: 5.10 )
SLM' s 10-Year P/E(ttm) Range
Min: 1.98   Max: 54.17
Current: 5.1

1.98
54.17
P/B 3.17
SLM's P/B is ranked lower than
62% of the 147 Companies
in the Global Credit Services industry.

( Industry Median: 1.60 vs. SLM: 3.17 )
SLM' s 10-Year P/B Range
Min: 0.17   Max: 3.23
Current: 3.17

0.17
3.23
P/S 0.97
SLM's P/S is ranked higher than
85% of the 147 Companies
in the Global Credit Services industry.

( Industry Median: 2.59 vs. SLM: 0.97 )
SLM' s 10-Year P/S Range
Min: 0.26   Max: 5.8
Current: 0.97

0.26
5.8
PFCF 2.16
SLM's PFCF is ranked higher than
83% of the 147 Companies
in the Global Credit Services industry.

( Industry Median: 37.08 vs. SLM: 2.16 )
SLM' s 10-Year PFCF Range
Min: 0.54   Max: 844.3
Current: 2.16

0.54
844.3
EV-to-EBIT 2.38
SLM's EV-to-EBIT is ranked higher than
98% of the 147 Companies
in the Global Credit Services industry.

( Industry Median: 17.66 vs. SLM: 2.38 )
SLM' s 10-Year EV-to-EBIT Range
Min: 2.2   Max: 3727.6
Current: 2.38

2.2
3727.6
PEG 0.28
SLM's PEG is ranked higher than
98% of the 147 Companies
in the Global Credit Services industry.

( Industry Median: 9999.00 vs. SLM: 0.28 )
SLM' s 10-Year PEG Range
Min: 0.1   Max: 1.71
Current: 0.28

0.1
1.71
Shiller P/E 8.35
SLM's Shiller P/E is ranked higher than
94% of the 147 Companies
in the Global Credit Services industry.

( Industry Median: 27.42 vs. SLM: 8.35 )
SLM' s 10-Year Shiller P/E Range
Min: 0.8   Max: 212.05
Current: 8.35

0.8
212.05

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 5.12
SLM's Dividend Yield is ranked higher than
87% of the 100 Companies
in the Global Credit Services industry.

( Industry Median: 2.24 vs. SLM: 5.12 )
SLM' s 10-Year Dividend Yield Range
Min: 1.65   Max: 9.23
Current: 5.12

1.65
9.23
Dividend Payout 0.16
SLM's Dividend Payout is ranked higher than
92% of the 147 Companies
in the Global Credit Services industry.

( Industry Median: 0.76 vs. SLM: 0.16 )
SLM' s 10-Year Dividend Payout Range
Min: 0.08   Max: 12.5
Current: 0.16

0.08
12.5
Yield on cost (5-Year) 5.00
SLM's Yield on cost (5-Year) is ranked higher than
72% of the 102 Companies
in the Global Credit Services industry.

( Industry Median: 3.34 vs. SLM: 5.00 )
SLM' s 10-Year Yield on cost (5-Year) Range
Min: 1.65   Max: 9.23
Current: 5

1.65
9.23
Share Buyback Rate 2.70
SLM's Share Buyback Rate is ranked higher than
92% of the 108 Companies
in the Global Credit Services industry.

( Industry Median: -1.50 vs. SLM: 2.70 )
SLM' s 10-Year Share Buyback Rate Range
Min: 10.3   Max: -5.8
Current: 2.7

Valuation & Return

vs
industry
vs
history
Price/Tangible Book 3.17
SLM's Price/Tangible Book is ranked lower than
58% of the 147 Companies
in the Global Credit Services industry.

( Industry Median: 1.90 vs. SLM: 3.17 )
SLM' s 10-Year Price/Tangible Book Range
Min: 0.41   Max: 4.74
Current: 3.17

0.41
4.74
Price/Median PS Value 1.20
SLM's Price/Median PS Value is ranked higher than
72% of the 147 Companies
in the Global Credit Services industry.

( Industry Median: 1.30 vs. SLM: 1.20 )
SLM' s 10-Year Price/Median PS Value Range
Min: 0.25   Max: 4.09
Current: 1.2

0.25
4.09
Price/Graham Number 0.70
SLM's Price/Graham Number is ranked higher than
84% of the 147 Companies
in the Global Credit Services industry.

( Industry Median: 1.20 vs. SLM: 0.70 )
SLM' s 10-Year Price/Graham Number Range
Min: 0.17   Max: 1.7
Current: 0.7

0.17
1.7
Earnings Yield (Greenblatt) 42.00
SLM's Earnings Yield (Greenblatt) is ranked higher than
97% of the 135 Companies
in the Global Credit Services industry.

( Industry Median: 6.20 vs. SLM: 42.00 )
SLM' s 10-Year Earnings Yield (Greenblatt) Range
Min: 0.2   Max: 44.9
Current: 42

0.2
44.9
Forward Rate of Return (Yacktman) -103.92
SLM's Forward Rate of Return (Yacktman) is ranked lower than
54% of the 120 Companies
in the Global Credit Services industry.

( Industry Median: 12.43 vs. SLM: -103.92 )
SLM' s 10-Year Forward Rate of Return (Yacktman) Range
Min: -229.5   Max: 51.4
Current: -103.92

-229.5
51.4

Business Description

Industry: Credit Services » Credit Services
Compare:V, MA, TCAP, DFS, COF » details
Traded in other countries:SM1.Germany
SLM Corp was formed in 1972. SLM Corporation. It is a holding company that operates through a number of subsidiaries. The Company was formed as the Student Loan Marketing Association, a federally chartered government-sponsored enterprise, with the services of furthering access to higher education by providing a secondary market for student loans. The Company's main business is to originate, service and collect loans made to students or their parents to finance the cost of their education. It provides funding, delivery and servicing support for education loans in the United States through its participation in the Federal Family Education Loan Program, as a servicer of loans for the Department of Education and through its non-federally guaranteed Private Education Loan programs. The Company has three main operating business segments - Consumer Lending, Business Services and FFELP Loans. A fourth segment - Other, mainly consists of the financial results of its holding company, including activities related to the repurchase of debt, the corporate liquidity portfolio and all overhead, as well as the results from smaller wind-down and discontinued operations within this segment. In the Consumer Lending Segment, it originates, acquires, finances and services Private Education Loans. The Business Services segment generates the majority of its revenue from servicing its FFELP Loan portfolio and from performing servicing, default aversion and contingency collections work on behalf of Guarantors of FFELP Loans and other institutions. The FFELP Loans segment consists of its FFELP Loan portfolio and the underlying debt and capital funding the loans. The Other segment consists primarily of the financial results related to activities of its holding company, including the repurchase of debt, the corporate liquidity portfolio and all overhead. The Dodd-Frank Act was adopted to reform and strengthen regulation and supervision of the U.S. financial services industry. Many aspects of the Company's businesses are subject to regulation by federal and state regulation and administrative oversight.
» More Articles for SLM

Headlines

Articles On GuruFocus.com
KEELEY Small Cap Value Fund Comments on Sallie Mae Jul 30 2014 
KEELEY Small Cap Value Fund Second Quarter 2014 Commentary Jul 30 2014 
For Dividends, P/E ratios are worthless Jun 30 2014 
107-Year Old Irving Kahn Buys BP, BlackBerry, New York Community Bancorp, Sells SLM, Seaboard, Brist Nov 08 2013 
Irving Kahn’s High-Impact Sells in Third Quarter Nov 07 2013 
Brian Rogers Update - T. Rowe Price High-Impact Sells Oct 16 2013 
Kahn Brothers Reduce BMY, SLM, TRV, USG, PFE, LARK in Second Quarter Aug 27 2013 
My 4 Favorite Stocks from the S&P 500 with Single-Digits P/Es Jul 25 2013 
Leon Cooperman Makes Another Reduction to KKR Financial Stake Jan 07 2013 
Low P/E Stocks from Irving Kahn Jan 05 2012 

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Commitment to College Strong as Ever as Families Make Deliberate Decisions to Meet Cost, Says New... Jul 31 2014
Families Hunt for Cheaper Private Colleges Jul 31 2014
[$$] Families Borrow Less for College Jul 31 2014
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SLM CORP Files SEC form 10-Q, Quarterly Report Jul 24 2014

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