SLMSLM +3.41%77 PEG Ratio is 0.59 as of Jun. 26, 2026, which is 30% below its 10-year median of 0.84. GuruFocus rates SLM with a GF Score™ of 77/100 and a GF Value™ of $23.95 (Fairly Valued). The stock has 2 warning signs investors should review. Among 235 Credit Services companies, SLM ranks better than 64.68% on this metric.
PE Ratio without NRI / 5-Year Book Value Growth Rate*
PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The growth rate we use for banks is the 5-Year Book Value growth rate. As of today, SLM's PE Ratio without NRI is 7.05. SLM's 5-Year Book Value growth rate is 12.00%. Therefore, SLM's PEG Ratio for today is 0.59.
* The 5-Year Book Value Growth Rate is the 5-year average Book Value per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
The historical rank and industry rank for SLM's PEG Ratio or its related term are showing as below:
SLM'
s PEG Ratio Range Over the Past 10 Years
Min: 0.23 Med: 0.84 Max: 7.8
Current: 0.59
During the past 13 years, SLM's highest PEG Ratio was 7.80. The lowest was 0.23. And the median was 0.84.
SLM's PEG Ratio is ranked better than 64.68% of 235
companies
in the Credit Services industry
Industry Median: 0.86
vs SLM: 0.59
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
SLM (NAS:SLM) PEG Ratio Explanation
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.
SLM PEG Ratio Related Terms
SLM PEG Ratio Historical Data
* Premium members only.
The historical data trend for SLM's PEG Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Credit Services subindustry, SLM's PEG Ratio, along with its competitors' market caps and PEG Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
SLM PEG Ratio vs Credit Services Industry
For the Credit Services industry and Financial Services sector, SLM's PEG Ratio distribution charts can be found below:
* The bar in red indicates where SLM's PEG Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Note: The 5-Year Book Value Growth Rate is the 5-year average Book Value per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
SLM (SLM) has a PEG Ratio of 0.59 as of Jun. 26, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on SLM and its competitors. This is 30% below median its historical median of 0.84. Over the past decade, SLM's PEG Ratio has ranged from 0.23 to 7.80. According to the industry distribution chart, SLM ranks #83 out of 235 companies in the Credit Services industry, placing it in the top 35.3%.
Is SLM's PEG Ratio too high?
SLM's current PEG Ratio of 0.59 is 30% below median its 10-year median of 0.84. Over the past 10 years, this metric has ranged from a low of 0.23 to a high of 7.80. The Credit Services industry median PEG Ratio is 0.86. SLM's value of 0.59 is 31.4% below this industry median. Based on the distribution chart, SLM ranks #83 out of 235 companies in the Credit Services industry, which is above the industry midpoint. Overall, SLM has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does SLM's PEG Ratio compare to ENVA and SEZL?
According to the Credit Services industry distribution chart, SLM ranks #83 out of 235 companies for PEG Ratio. This puts SLM in the upper half of its industry. The industry median PEG Ratio is 0.86. SLM's value of 0.59 is 31.4% below this benchmark. Historically, SLM's own PEG Ratio has ranged from 0.23 to 7.80 over the past decade. While the company's 10-year median is 0.84 vs. the industry median of 0.86, SLM has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PEG Ratio for a Credit Services company?
The median PEG Ratio among Credit Services companies is 0.86, based on 235 companies in the industry. Companies in the top quartile (top 25%) have a PEG Ratio significantly above this median, while those in the bottom quartile fall well below. However, PEG Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. SLM's current PEG Ratio of 0.59 is 31.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PEG Ratio mean?
A high PEG Ratio can signal that a stock is expensive relative to its fundamentals. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on SLM and its competitors. For the Credit Services industry, the median PEG Ratio is 0.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SLM's current PEG Ratio is 0.59, which is 30% below median its own 10-year median of 0.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SLM stock overvalued right now?
Based on GuruFocus' analysis, SLM (SLM) is currently considered Fairly Valued. The stock's GF Value™ is $23.95, compared to a current price of $25.45 — trading 6.3% above its estimated fair value. The current PEG Ratio is 0.59, which is 30% below median its 10-year median of 0.84 and 31.4% below the Credit Services industry median of 0.86. SLM's overall GF Score™ is 77/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PEG Ratio calculated?
PEG Ratio is calculated from a company's financial statements. For SLM (SLM), the current PEG Ratio is 0.59 as of Jun. 26, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is SLM (SLM) Overvalued in 2026?
Based on GuruFocus' analysis, SLM stock appears to be overvalued.
The current stock price of $25.45 is trading 6.3% above its estimated GF Value™ of $23.95.
GuruFocus considers SLM to be Fairly Valued.
Key valuation signals for SLM:
PEG Ratio: 0.59 (30% below median its 10-year median of 0.84)
GF Value™: $23.95 vs. price of $25.45 (6.3% above fair value)
Industry Position: 31.4% below the Credit Services median (#83 of 235)
No single metric tells the full story. See the SLM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SLM Corp is an education solutions company. Its business is to originate and service loans to students and their families to finance the cost of their education. The term' Private Education Loans to mean education loans to students or their families that are not made, insured, or guaranteed by any state or federal government.
77GF Score
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