At the moment, the debt-to-equity of SLM Corporation (NASDAQ:SLM) is low, standing at 132.37, a figure that is less than the 264.38 average recorded by the industry.
Even though there was a drop of -1.56 M in revenue, the company failed to succeed in outperforming the industry average of 21.74%. For the most recent quarter, the net income has jumped by 415.23 M. This strength in their income has affected them and thus increased their earnings to $365.02 M. The 34.03% yoy growth of SLM’s revenue has gone up that of the industry average by 8.9%. For the past 12 months, SLM Corporation revenue has gone up by 25.13%. The sustained growth in their revenue has helped boost their earnings per share.
SLM Corporation (SLM) has seen their earnings per share decreased to -$4.17% during the last quarter in comparison to the same quarter last year. They have recorded a 435,468.0 growing earnings per share earnings. They have recorded a 435,468.0 growing earnings per share earnings. Analysts expect increase in earnings is also on the cards next quarter with an average estimate at $0.24. In the fiscal year 2018, SLM Corporation overcame its bottom line by hitting earning $16.67% per share compared to the -$10.00% in 2017.
The 12-month return on equity has significantly fallen to 15.26 in comparison to the same data for other companies in the same industry. This shows that there is a major weakness within the organization over the past one year. Comparing them to other companies in the industry and the overall Financial sector, the industry average is 11.12 while 15.49 is of the sector.
Also, looking at the price to cash flow of the company and the industry average, the 16.77 ratio of the stock is lower than the industry’s 79.39.
SLM Corporation (NASDAQ:SLM) has a price-to-earnings ratio of 17.82 which is lower than the 44.45 industry average at the moment. In addition to their unfavorable P/E ratio, SLM Corporation has maintained a gross margin of 78.94. This shows whether the company has what it takes to effectively turn the revenue into profit.
The company’s ROA is 1.67 when compared to 1.49 for the stocks operating in the same industry. This can be attributed to the strength recorded in the net income produced by total assets. Comparing it to other companies in the sector, SLM Corporation ROE is above 15.49 that of both the sector average.
The operating profit margin for SLM Corporation (SLM) is 34.88%, a figure which is considered to be strong. It has gone 17.47 from the 38.50 over the past 5 years. In addition to this, their operating margin is 17.41 higher than the industry average.
The net profit margin which stood at 27.63 on average in the past 5 years has dropped to 23.53 in the last 12 months. Added to that, this ratio has surpassed the industry net margin that stands at 12.86.
Still some above discussed indicators of the $3.88B company show strength while others show weakness. There is little evidence at the moment to justify the expectation of the SLM shares to either perform positively or negatively when compared to other stocks. The primary strengths of SLM Corporation can be witnessed in its increased revenue, growing earnings per share, higher return on equity, increased operating cash and high net margin. Subsequently, financial analysis have also identified some weak areas that includes high debt, relatively high P/E ratio, lower return on assets and low net margin.