Core Viewpoint - A class action lawsuit has been filed against SLM Corporation (Sallie Mae) on behalf of investors who acquired its securities during the specified class period from July 25, 2025, to August 14, 2025 [1] Summary by Relevant Sections - The lawsuit is initiated by the law firm Kirby McInerney LLP [1] - Investors who suffered losses on their SLM investments are eligible to request lead plaintiff appointment until February 17, 2026 [1]

LOS ANGELES--(BUSINESS WIRE)--The Law Offices of Frank R. Cruz announces an investigation of SLM Corporation a/k/a Sallie Mae ("SLM†or the "Company†) (NASDAQ: SLM) on behalf of investors concerning the Company's possible violations of federal securities laws. IF YOU ARE AN INVESTOR WHO LOST MONEY ON SLM CORPORATION (SLM), CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING A CLAIM TO RECOVER YOUR LOSS. What Is The Investigation About? On August 14, 2025, investment bank TD Cowen issued a report s. ...

LOS ANGELES--(BUSINESS WIRE)---- $SLM--SLM Investors Have Opportunity to Lead SLM Corporation a/k/a Sallie Mae Securities Fraud Lawsuit with the Schall Law Firm. ...

Robbins LLP is Investigating Allegations that SLM Corporation (SLM) Misled Investors Regarding its Loss Mitigation and Loan Modification Programs. SAN DIEGO--(BUSINESS WIRE)--Robbins LLP informs stockholders that a class action was filed on behalf of all investors who invested in SLM Corporation (NASDAQ: SLM, SLMBP) securities between July 25, 2025 and August 14, 2025. SLM, more commonly known as Sallie Mae, primarily originates and services private education loans ("PELs†) to students and their families. ...

ATLANTA, Dec. 22, 2025 (GLOBE NEWSWIRE) -- A shareholder class action lawsuit has been filed against SLM Corporation (“SLM” or the “Company”) (NASDAQ: SLM). The lawsuit alleges that Defendants made materially false and/or misleading statements and/or failed to disclose material adverse information regarding SLM’s business, operations, and prospects, including allegations that: (i) SLM was experiencing a significant increase in early stage delinquencies; and (ii) accordingly, Defendants overstated the effect ...

Core Viewpoint - The SLM class action lawsuit alleges that SLM Corporation, also known as Sallie Mae, and its executives made misleading statements regarding the company's financial health and delinquency rates during the specified Class Period, leading to significant investor losses [1][3][4]. Group 1: Lawsuit Details - The class action lawsuit seeks to represent investors in SLM securities from July 25, 2025, to August 14, 2025 [1]. - The lawsuit is titled Zappia v. SLM Corporation and is filed in the District of New Jersey [1]. - Allegations include that SLM experienced a significant increase in early-stage delinquencies, which was not disclosed to investors [3]. Group 2: Financial Impact - A report from TD Cowen indicated that July 2025 delinquencies increased by 49 basis points month-over-month, which was worse than the seasonal average increase of 10 basis points [4]. - The report contradicted statements made by SLM's CFO, who claimed delinquency rates were following normal seasonal trends [4]. - Following the release of this report, SLM's stock price fell by approximately 8% [4]. Group 3: Lead Plaintiff Process - The Private Securities Litigation Reform Act of 1995 allows any investor who suffered losses during the Class Period to seek appointment as lead plaintiff [5]. - The lead plaintiff represents the interests of all class members and can select a law firm for litigation [5]. - Participation as a lead plaintiff does not affect an investor's ability to share in any potential recovery [5]. Group 4: Law Firm Background - Robbins Geller Rudman & Dowd LLP is a leading law firm specializing in securities fraud and shareholder litigation, having secured over $2.5 billion for investors in 2024 alone [6]. - The firm has been ranked 1 in monetary relief for investors in securities class action cases for four out of the last five years [6]. - Robbins Geller has a significant history of obtaining large recoveries in securities class action lawsuits, including the largest recovery of $7.2 billion in the Enron case [6].

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]

Core Viewpoint - Sallie Mae reported quarterly earnings of $0.63 per share, missing the Zacks Consensus Estimate of $0.84 per share, representing a -25.00% earnings surprise [1] - The company posted revenues of $372.98 million for the quarter ended September 2025, which was 0.76% below the Zacks Consensus Estimate, but an increase from $359.4 million year-over-year [2] Company Performance - Over the last four quarters, Sallie Mae has surpassed consensus EPS estimates only once [2] - The stock has underperformed the market, losing about 2.1% since the beginning of the year compared to the S&P 500's gain of 13.9% [3] Future Outlook - The company's earnings outlook will be crucial for investors, including current consensus earnings expectations for upcoming quarters [4] - The current consensus EPS estimate for the next quarter is $0.50 on revenues of $393.46 million, and for the current fiscal year, it is $3.08 on revenues of $1.52 billion [7] Industry Context - The Financial - Consumer Loans industry, to which Sallie Mae belongs, is currently in the top 40% of over 250 Zacks industries, indicating a favorable industry outlook [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact stock performance [5]

Financial Performance - For the three months ended September 30, 2025, net income attributable to common stock was $132 million, or $0.63 diluted earnings per common share, compared to a net loss of $50 million, or $0.23 loss per common share for the same period in 2024[205]. - Net interest income for the three months ended September 30, 2025, was $373 million, an increase of 4% from $359 million in the same period of 2024[204]. - Total interest income for the three months ended September 30, 2025, was $658 million, a slight increase of 1% from $653 million in the prior year[204]. - Total non-interest income increased significantly to $173 million for the three months ended September 30, 2025, compared to $24 million in the same period of 2024, marking a 621% increase[204]. - The company reported a return on assets of 1.9% for the three months ended September 30, 2025, compared to a negative return of (0.6)% for the same period in 2024[199]. - Net income attributable to common stock for the nine months ended September 30, 2025, was $500 million, or $2.35 diluted earnings per share, compared to $483 million, or $2.18 diluted earnings per share, for the same period in 2024[214]. Credit Losses and Provisions - The provision for credit losses decreased by 34% to $179 million for the three months ended September 30, 2025, compared to $271 million for the same period in 2024[204]. - Provision for credit losses for the nine months ended September 30, 2025, was $351 million, up from $300 million in the year-ago period, influenced by new loan commitments and changes in the economic outlook[216]. - Provisions for loan losses for the three months ended September 30, 2025, were $24,704 thousand, a significant decrease of 77.3% from $109,196 thousand in the same period of 2024[237]. - Total provisions for credit losses reported in consolidated statements of income for the three months ended September 30, 2025, were $179,462 thousand, down from $271,465 thousand in 2024, a decrease of 33.9%[237]. - The allowance for Private Education Loan losses increased to $1,526,104 thousand as of September 30, 2025, compared to $1,413,621 thousand in 2024, reflecting a growth of approximately 7.9%[235]. Loan Performance - Ending private education loans, net, stood at $21.62 billion as of September 30, 2025, compared to $20.46 billion as of September 30, 2024[199]. - Total Private Education Loan originations for the three months ended September 30, 2025, amounted to $2,936,393, a 6.5% increase from $2,758,529 in the same period of 2024[234]. - The percentage of loans with a cosigner increased to 94.5% for the three months ended September 30, 2025, compared to 92.4% for the same period in 2024[234]. - The average FICO score at approval for loans in the three months ended September 30, 2025, was 756, up from 754 in the same period of 2024[234]. - The percentage of Private Education Loans in repayment was 70.7% as of September 30, 2025, slightly increasing from 70.5% in 2024[242]. - Delinquencies as a percentage of Private Education Loans in repayment rose to 4.0% at September 30, 2025, compared to 3.6% at September 30, 2024[243]. Operating Expenses - Total operating expenses increased to $180 million in the third quarter of 2025 from $171 million in the year-ago quarter, mainly due to higher marketing spend[211]. - Total operating expenses for the first nine months of 2025 were $499 million, an increase from $488 million in the year-ago period, primarily due to increased marketing and IT spending[220]. Dividends and Shareholder Returns - The company declared dividends per common share of $0.13 for the three months ended September 30, 2025, an increase of 18% from $0.11 in the same period of 2024[204]. - The Bank declared dividends of $100 million and $294 million for the three and nine months ended September 30, 2025, respectively, compared to $116 million and $414 million for the same periods in 2024[297]. Liquidity and Capital Management - The company maintains total unrestricted cash and liquid investments of $4,671,680 thousand as of September 30, 2025, down from $6,061,797 thousand as of December 31, 2024[272]. - The Bank's risk-based capital ratios exceeded the required minimums under U.S. Basel III as of September 30, 2025, indicating strong capital management[290]. - The Common Equity Tier 1 risk-based capital ratio was maintained above the required 4.5%, with a capital conservation buffer exceeding 2.5%[291]. - The Bank's Tier 1 Capital to Average Assets ratio is 10.4% as of September 30, 2025, exceeding the minimum requirement of 4.0%[296]. Interest Rate Risk and Sensitivity - The company has a significant portion of earning assets indexed to the 30-day average SOFR, which is a core rate in interest rate risk analysis[319]. - The Earnings at Risk (EAR) analysis indicates a potential decrease in net interest income of -11.4% under a +300 basis points shock scenario[322]. - The Economic Value of Equity (EVE) sensitivity shows a potential decrease of -24.0% under a +300 basis points shock scenario as of September 30, 2025[322]. - Interest rate swaps and derivatives are utilized to align assets with debt, mitigating interest rate risk[327].

Earnings Performance - GAAP diluted earnings per common share for Q3 2025 were $0.63, an increase from $0.32 in Q3 2024[15] - Basic earnings per common share for the three months ended September 30, 2025, was $0.64, compared to a loss of $0.23 in the same period of 2024, indicating a strong recovery[27] - Net income attributable to SLM Corporation common stock was $131,856 thousand for the three months ended September 30, 2025, compared to a loss of $49,800 thousand in the same period of 2024, marking a turnaround[27] Loan Performance - Private education loan originations grew by 6% year-over-year, with a total of $655 million to $675 million expected for the full year 2025[9] - Average loans outstanding increased to $22.3 billion, up 9% from Q3 2024[12] - Loans held for investment increased to $21,615,067 thousand as of September 30, 2025, compared to $20,902,158 thousand at December 31, 2024, a growth of 3.4%[25] Credit Quality - Total net charge-offs as a percentage of average loans in repayment were 1.95%, down from 2.08% in Q3 2024[12] - Provisions for credit losses in Q3 2025 were $179 million, a decrease from $267 million in Q3 2024[12] Income and Expenses - The net interest margin for Q3 2025 was 5.18%, an increase of 18 basis points from Q3 2024[9] - Total interest income for the nine months ended September 30, 2025, was $1,970,436 thousand, slightly up from $1,957,673 thousand in the same period of 2024, an increase of 0.1%[27] - Total non-interest income for the nine months ended September 30, 2025, was $405,522 thousand, up from $340,486 thousand in the same period of 2024, an increase of 19.1%[27] - Total non-interest expenses for Q3 2025 were $180 million, compared to $172 million in Q3 2024[13] Shareholder Returns - The company declared a common stock dividend of $0.13 per share in Q3 2025[10] - Declared dividends per common share increased to $0.13 for the three months ended September 30, 2025, compared to $0.11 in the same period of 2024, reflecting a growth of 18.2%[27] - The company repurchased 5.6 million shares for $166 million in Q3 2025, with $138 million remaining under the 2024 Share Repurchase Program[7][16] Balance Sheet - Total assets decreased to $29,605,422 thousand as of September 30, 2025, down from $30,072,110 thousand at December 31, 2024, representing a decline of 1.55%[25] - Total liabilities decreased to $27,264,124 thousand as of September 30, 2025, down from $27,912,190 thousand at December 31, 2024, a reduction of 2.33%[25] - Total equity increased to $2,341,298 thousand as of September 30, 2025, compared to $2,159,920 thousand at December 31, 2024, an increase of 8.4%[25] Return Metrics - The return on assets (ROA) was 1.9%, up from 1.0% in the previous year[15] - Net interest income after provisions for credit losses increased to $193,515 thousand for the three months ended September 30, 2025, compared to $87,938 thousand for the same period in 2024, a significant increase of 120%[27]