Core Insights - Sallie Mae will host an investor forum on December 8, 2025, at 5 p.m. ET, with a live audio webcast available for participants [1][2] Group 1: Corporate Developments - Sallie Mae has announced a multi-year strategic partnership with KKR, expecting KKR to purchase an initial seed portfolio of private education loans, followed by a minimum of $2 billion in newly originated private education loans annually for an initial three-year term [5] - The company has awarded $500,000 in scholarships through its Bridging the Dream Scholarship Program, benefiting 40 high school students and 10 graduate students [6] Group 2: Industry Context - November is recognized as National Scholarship Month, highlighting the importance of scholarship opportunities, yet nearly 40% of families miss out on these opportunities due to misconceptions [7]

Core Insights - Sallie Mae, the largest private student lender in the U.S., has entered a multiyear partnership with KKR, the world's biggest private equity firm, to sell over $6 billion in loans [1][2][6] - This partnership aims to enhance Sallie Mae's ability to originate new loans and serve more students, especially as the federal government reduces its involvement in the student loan market [1][3][6] Partnership Details - KKR will purchase an "initial seed portfolio" of private education loans from Sallie Mae, with plans to acquire an additional $2 billion in loans annually for at least three years [3] - Sallie Mae's CEO, Jon Witter, expressed excitement about the partnership, indicating it is a first-of-its-kind deal and a new business opportunity [2][6] Market Context - The partnership comes at a time when the federal government is scaling back its student loan operations, which is expected to create new opportunities for private lenders like Sallie Mae [3][6] - Recent legislative changes, including the One Big Beautiful Bill Act, are anticipated to impact the student loan landscape, with Sallie Mae projecting an increase of $4.5 billion to $5 billion in new loan originations annually starting in 2026 [4][5]

Core Insights - Sallie Mae has announced a multi-year strategic partnership with KKR to enhance its private student lending capabilities and generate fee income [1][3] - KKR plans to purchase an initial seed portfolio of private education loans and commit to a minimum of $2 billion in newly originated loans annually for an initial three-year term [2][4] - The partnership aims to improve Sallie Mae's loan origination capacity and provide ongoing servicing fees for managing the loans sold to KKR [3][4] Company Overview - Sallie Mae is a leader in private student lending, focusing on providing financing and resources to support access to college [7] - KKR is a global investment firm that specializes in alternative asset management and aims to generate attractive investment returns through disciplined investment strategies [6] Financial Implications - The partnership is expected to create a more resilient and capital-light earnings profile for Sallie Mae, allowing it to serve more students and families [4] - KKR's investment will come from its managed credit funds and accounts, indicating a strategic move to deploy long-term, flexible capital in high-quality financial institutions [4][6]

Core Points - Sallie Mae announced the recipients of its Bridging the Dream Scholarship Program, awarding 40 high school students with a $10,000 scholarship each [1] - The scholarships are aimed at students who excel academically and demonstrate financial need, highlighting the program's focus on supporting underprivileged students [1] - The initiative is in partnership with the Thurgood Marshall College Fund, indicating a collaboration to enhance educational opportunities for students [1] Summary by Categories Scholarship Recipients - 40 high school students received a $10,000 Bridging the Dream Scholarship [1] - 10 graduate students were also recognized, although specific details about their awards were not provided [1] Program Objectives - The program aims to support students who excel both academically and in extracurricular activities while demonstrating financial need [1] - The initiative emphasizes the importance of educational access for underprivileged students [1] Partnerships - The Bridging the Dream Scholarship Program is conducted in partnership with the Thurgood Marshall College Fund, showcasing a collaborative effort to promote educational equity [1]

Company Overview - Michael Burry's Scion Asset Management has taken a new position in SLM Corporation (Sallie Mae), a significant player in the student loan sector, diverging from the tech and healthcare focus prevalent among many investors [1][2] - Sallie Mae specializes in private student loans and is currently navigating a complex regulatory environment and changing borrower demographics [2] Financial Performance - Sallie Mae reported strong third-quarter results, with diluted earnings of $0.63 per share and a 6.4% increase in loan originations, totaling $2.9 billion [4] - The credit quality of new loans has improved, with a cosigner rate of 95% compared to 92% the previous year, and average FICO scores at approval rising to 756 from 754, indicating disciplined underwriting practices [5] - Net charge-offs decreased to 1.95% of loans in repayment, down 13 basis points year-over-year, suggesting borrowers are managing their obligations effectively [6] Strategic Initiatives - Management executed a $1.9 billion loan sale during the quarter, generating $136 million in gains, while continuing a capital return strategy that included repurchasing 5.6 million shares at an average price of $29.45, resulting in a total share reduction of 55% since 2020 [6] - Sallie Mae is expected to benefit from upcoming federal student loan reforms, which could add $4.5 billion to $5 billion in annual originations, enhancing growth in the current $14 billion private student loan market [7]

Core Insights - Nearly 40% of families miss out on scholarship opportunities, leaving millions of dollars unclaimed each year [1][2] - Common misconceptions about scholarships include beliefs that they are only for students with exceptional grades (46%), only for incoming freshmen (36%), or that families earn too much money (32%) [2][3] Scholarship Utilization - Scholarships are an effective way to reduce out-of-pocket college costs but are often underutilized or unclaimed [2][3] - Sallie Mae emphasizes the importance of raising awareness and dispelling myths surrounding scholarships [3] Sallie Mae's Initiatives - Sallie Mae offers free resources and tips to help students find and apply for scholarships [3] - The Sallie Mae Fund, in partnership with the Thurgood Marshall College Fund, has awarded nearly $4 million since 2021 through the Bridging the Dream Scholarship Program [4] - Sallie Mae provides a $2,000 no-essay scholarship each month to simplify the application process for students [4] Scholarship Application Tips - Students are encouraged to start early and apply for scholarships every year, as nearly half of all scholarships are available to current college students [5] - Completing the FAFSA is crucial for accessing billions in scholarships and federal financial aid [5] - Free scholarship search tools, such as Scholly Scholarships, can help students find scholarships tailored to their interests [5] - Unique scholarships exist for various interests, and many do not require essays [5]

Core Insights - Sallie Mae (SLM) reported third-quarter 2025 earnings per share (EPS) of 63 cents, missing the Zacks Consensus Estimate of 84 cents, but showing improvement from a loss of 23 cents per share in the prior-year quarter [1][8] - The company's GAAP net income was $136 million, compared to a net loss of $45 million in the prior-year quarter [2] Financial Performance - Third-quarter net interest income (NII) totaled $372.9 million, up 3.8% year over year, but missed the Zacks Consensus Estimate by 0.8%. The net interest margin was 5.18%, an increase of 18 basis points from the prior-year quarter [3] - Non-interest income reached $172.7 million, significantly up from $24.5 million in the year-ago quarter [3] - Non-interest expenses rose 4.9% year over year to $180.4 million [3] Credit Quality - Provision for credit losses was $179.4 million, down 33.8% from the prior-year quarter [4] - Net charge-offs for private education loans were $78 million, up 1.3% year over year, with a percentage of average private education loans held for investment in repayment at 1.95%, contracting 13 basis points year over year [4] Balance Sheet Position - As of September 30, 2025, deposits were $20 billion, down 2.3% sequentially [5] - Private education loans held for investment were $21.6 billion, up 5.6% from the prior-year quarter, with loan originations increasing by 6% from the year-ago quarter [5] Share Repurchase - In the third quarter, SLM repurchased 5.6 million shares for $166 million under its 2024 share buyback program [6] 2025 Outlook - The company expects diluted EPS in the range of $3.20-$3.30 and anticipates total loan portfolio net charge-offs as a percentage of average loans in repayment of 2.0%-2.2% [7][9] - Private education loan originations are expected to grow 5%-6% year over year, with non-interest expenses projected to be in the range of $655-$675 million [9] Overall Assessment - Sallie Mae's financial performance appears decent, with robust loan origination, rising net interest income, and higher non-interest income being encouraging factors. However, rising expenses present a significant near-term challenge [10]

Group 1 - The article discusses the importance of enabling Javascript and cookies in browsers to prevent access issues [1] - It highlights that users with ad-blockers may face restrictions when trying to access content [1]

Core Insights - Premarket trading is showing notable activity with significant price movements indicating potential trading opportunities before the market opens [1] Premarket Gainers - Qualigen Therapeutics, Inc. (QLGN) increased by 69% to $6.00 - Inhibrx Biosciences, Inc. (INBX) rose by 62% to $46.04 - MidWestOne Financial Group, Inc. (MOFG) gained 33% to $37.87 - Neuphoria Therapeutics Inc. (NEUP) up by 31% to $5.32 - Nextracker Inc. (NXT) increased by 13% to $102.44 - Avalon Holdings Corporation (AWX) rose by 11% to $2.98 - Beyond Meat, Inc. (BYND) up by 9% to $3.12 - SLM Corporation (SLM) increased by 8% to $29.00 - Reborn Coffee, Inc. (REBN) rose by 7% to $2.40 - Oriental Culture Holding LTD (OCG) increased by 5% to $3.55 [3] Premarket Losers - Picard Medical, Inc. (PMI) decreased by 70% to $3.89 - Fusemachines Inc. Common stock (FUSE) down by 17% to $3.29 - American Rebel Holdings, Inc. (AREB) fell by 16% to $3.14 - Armata Pharmaceuticals, Inc. (ARMP) down by 13% to $6.16 - Coya Therapeutics, Inc. (COYA) decreased by 13% to $6.01 - Deckers Outdoor Corporation (DECK) down by 12% to $90.00 - Safe & Green Holdings Corp. (SGBX) fell by 12% to $2.58 - Beasley Broadcast Group, Inc. (BBGI) decreased by 8% to $5.55 - Booz Allen Hamilton Holding Corporation (BAH) down by 7% to $92.73 - Brera Holdings PLC (SLMT) decreased by 6% to $10.67 [4]

Core Insights - Sallie Mae reported revenue of $372.98 million for Q3 2025, a year-over-year increase of 3.8% [1] - The EPS for the quarter was $0.63, a significant improvement from -$0.23 a year ago [1] - The revenue fell short of the Zacks Consensus Estimate of $375.85 million by 0.76% [1] - The EPS was below the consensus estimate of $0.84, resulting in a surprise of -25% [1] Financial Metrics - Net Interest Margin was reported at 5.2%, slightly above the two-analyst average estimate of 5.1% [4] - Net Interest Income was $372.98 million, compared to the average estimate of $375.85 million [4] - Gains on sales of loans were $135.96 million, below the estimated $144.59 million [4] - Other income reached $31.87 million, exceeding the average estimate of $23.75 million [4] - Total Non-Interest Income was $172.7 million, surpassing the average estimate of $168.34 million [4] Stock Performance - Sallie Mae's shares have returned -5.1% over the past month, contrasting with the Zacks S&P 500 composite's +0.2% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market [3]