Analysts on Wall Street project that Sallie Mae (SLM) will announce quarterly earnings of $1.19 per share in its forthcoming report, representing a decline of 6.3% year over year. Revenues are projected to reach $359.7 million, declining 7.1% from the same quarter last year.
Over the last 30 days, there has been a downward revision of 0.4% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.
With that in mind, let's delve into the average projections of some Sallie Mae metrics that are commonly tracked and projected by analysts on Wall Street.
The collective assessment of analysts points to an estimated 'Net Interest Margin' of 4.9%. The estimate is in contrast to the year-ago figure of 5.5%.
It is projected by analysts that the 'Net Interest Income' will reach $359.70 million. The estimate compares to the year-ago value of $387.02 million.
The average prediction of analysts places 'Gains (losses) on sales of loans, net' at $169.11 million. The estimate compares to the year-ago value of $143.04 million.
The consensus estimate for 'Other income' stands at $25.59 million. Compared to the current estimate, the company reported $29 million in the same quarter of the previous year.
Based on the collective assessment of analysts, 'Total Non-Interest Income' should arrive at $194.70 million. Compared to the current estimate, the company reported $174.16 million in the same quarter of the previous year.
View all Key Company Metrics for Sallie Mae here>>>
Shares of Sallie Mae have experienced a change of -9.8% in the past month compared to the -5.6% move of the Zacks S&P 500 composite. With a Zacks Rank #3 (Hold), SLM is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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SLM Corporation (SLM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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