TMX Newsfile·2025-12-30 16:22Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against SLM Corporation due to allegations of violations of federal securities laws, particularly concerning misleading statements about the company's financial health and delinquency rates [2][4]. Group 1: Legal Investigation and Class Action - Faruqi & Faruqi is encouraging investors who suffered losses in SLM between July 25, 2025, and August 14, 2025, to discuss their legal options [1]. - A federal securities class action has been filed against SLM, with a deadline of February 17, 2026, for investors to seek the role of lead plaintiff [2][6]. - The lead plaintiff is defined as the investor with the largest financial interest who directs and oversees the litigation on behalf of the class [6]. Group 2: Allegations Against SLM - The complaint alleges that SLM and its executives made false and misleading statements regarding the company's financial stability and the effectiveness of its loss mitigation programs [4]. - Specific allegations include a significant increase in early-stage delinquencies, which were not disclosed, leading to an overstated impression of the company's operations and prospects [4]. Group 3: Market Reaction - Following a report from TD Cowen indicating a 49 basis point month-over-month increase in delinquencies for July 2025, SLM's stock price fell by $2.67 per share, or 8.09%, closing at $30.32 on August 15, 2025 [5]. - The report contradicted earlier assurances from SLM's executives regarding delinquency rates following normal seasonal trends [5]. Group 4: Firm Background - Faruqi & Faruqi, LLP is a national securities law firm with a history of recovering hundreds of millions of dollars for investors since its founding in 1995 [3]. - The firm has offices in New York, Pennsylvania, California, and Georgia, and is actively seeking information from whistleblowers and others regarding SLM's conduct [3][7].