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SLM Faces Impact from Federal Loan Reforms

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SLM Faces Impact from Federal Loan Reforms

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SLM ( (SLM) ) has provided an update.

SLM Corporation reported its financial results for the second quarter of 2025, highlighting a GAAP net income of $67 million and a net interest margin of 5.31%. The company experienced a slight decrease in private education loan originations compared to the previous year, with $686 million in Q2 2025. Additionally, the company faced an increase in provisions for credit losses due to macroeconomic factors and loan sale timing. The recent federal student loan reforms signed into law on July 4, 2025, are expected to impact the market by setting limits on parent and graduate lending, which may influence Sallie Mae’s operations and market strategy moving forward.

The most recent analyst rating on (SLM) stock is a Hold with a $33.00 price target. To see the full list of analyst forecasts on SLM stock, see the SLM Stock Forecast page.

Spark’s Take on SLM Stock

According to Spark, TipRanks’ AI Analyst, SLM is a Neutral.

SLM’s overall stock score reflects a company with strong profitability and strategic capital management, but facing challenges in revenue growth and cash flow. Technical indicators suggest caution, and while valuation is fair, it is not compelling. The earnings call provided positive insights into future opportunities, but risks remain with credit losses and loan origination performance.

To see Spark’s full report on SLM stock, click here.

More about SLM

SLM Corporation, commonly known as Sallie Mae, operates in the financial services industry, focusing primarily on providing private education loans. The company is a key player in the student loan market, offering financial products that support higher education financing.

Average Trading Volume: 2,068,663

Technical Sentiment Signal: Buy

Current Market Cap: $6.49B

Learn more about SLM stock on TipRanks’ Stock Analysis page.

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