Core Viewpoint - The SLM Corporation (Sallie Mae) is facing a class action lawsuit due to alleged violations of the Securities Exchange Act of 1934, with claims that the company misrepresented its financial stability and the effectiveness of its loan programs during a specific class period [1][3]. Group 1: Class Action Details - Investors in SLM securities from July 25, 2025, to August 14, 2025, can seek appointment as lead plaintiff in the class action lawsuit, which is titled Zappia v. SLM Corporation [1]. - The lawsuit alleges that SLM and its executives made false statements regarding the company's delinquency rates and the effectiveness of its loss mitigation programs [3][4]. Group 2: Allegations and Financial Impact - The lawsuit claims that SLM experienced a significant increase in early-stage delinquencies, contradicting statements made by the company's CFO about normal seasonal trends [3][4]. - A report from TD Cowen indicated that July 2025 delinquencies rose by 49 basis points month-over-month, which was worse than the expected seasonal increase of 10 basis points, leading to an approximate 8% drop in SLM's stock price following the report [4]. Group 3: Legal Process and Firm Background - The Private Securities Litigation Reform Act of 1995 allows any investor who suffered losses during the class period to seek lead plaintiff status, which involves directing the class action lawsuit on behalf of all members [5]. - Robbins Geller Rudman & Dowd LLP, the law firm handling the case, is recognized as a leading firm in securities fraud litigation, having recovered over $916 million for investors in 2025 alone [6].
TUESDAY DEADLINE: SLM Corporation a/k/a Sallie Mae Investors with Substantial Losses Have Opportunity to Lead Class Action