Sallie Mae Q3 Loss Widens on Lower NII & Higher Expenses, Stock Dips

Zacks10-24

Sallie Mae SLM, formally SLM Corporation, reported a third-quarter 2024 loss per share of 23 cents, wider than the Zacks Consensus Estimate of 7 cents. The bottom line compared unfavorably against the...

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The bottom line compared unfavorably against the...</p>\n\n<a href=\"https://finance.yahoo.com/news/sallie-mae-q3-loss-widens-133900225.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Sallie Mae Q3 Loss Widens on Lower NII & Higher Expenses, Stock Dips</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSallie Mae Q3 Loss Widens on Lower NII & Higher Expenses, Stock Dips\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-24 21:39 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/sallie-mae-q3-loss-widens-133900225.html><strong>Zacks</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Sallie Mae SLM, formally SLM Corporation, reported a third-quarter 2024 loss per share of 23 cents, wider than the Zacks Consensus Estimate of 7 cents. The bottom line compared unfavorably against the...</p>\n\n<a href=\"https://finance.yahoo.com/news/sallie-mae-q3-loss-widens-133900225.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4229","symbol_name":"商业和住宅抵押贷款融资","start_time":0,"source_url":"https://finance.yahoo.com/news/sallie-mae-q3-loss-widens-133900225.html","article_id":"2477568046","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/ShfhwtDyA2WzDBKdAL7M8Q--~B/aD00MDA7dz02MzU7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/zacks.com/6f2cab89bf2cbad1966358e04258e202"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2477568046","pubTimestamp":1729777140,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"Sallie Mae SLM, formally SLM Corporation, reported a third-quarter 2024 loss per share of 23 cents, wider than the Zacks Consensus Estimate of 7 cents. The bottom line compared unfavorably against the prior-year quarter’s earnings of 11 cents.Find the latest earnings estimates and surprises on the Zacks Earnings Calendar.A decline in the net interest income  and a rise in non-interest expenses negatively impacted SLM’s results. However, lower provisions for credit losses and robust loan originations created tailwinds.Following the announcement of the third-quarter results, SLM shares fell 1%.The company’s GAAP net loss was $45 million against the net income of $29 million in the prior-year quarter.Third-quarter NII was $359 million, down 6.8% year over year. The reported figure missed the Zacks Consensus Estimate by 1.1%.The quarterly net interest margin  was 5%, down 53 basis points from the prior-year quarter.Non-interest income was $24 million, flat year over year.Provision for cred","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4229":"商业和住宅抵押贷款融资","LU2517655374.HKD":"WELLINGTON NEXT GENERATION EDUCATION \"A\" (HKD) ACC","SLM":"学贷美","BK4195":"互助储蓄与抵押信贷金融服务","NIM":"纽文精选市政基金","ALLY":"Ally Financial Inc.","BK4561":"索罗斯持仓","COOP":"Mr. Cooper Group Inc.","BK4166":"消费信贷","BK4585":"ETF&股票定投概念","LU2517655028.SGD":"WELLINGTON NEXT GENERATION EDUCATION \"A\" (SGDHDG) ACC","SLMBP":"学贷美B类优先股","BK4588":"碎股","LU2517655291.USD":"WELLINGTON NEXT GENERATION EDUCATION \"A\" (USD) ACC"},"translate_title":"Sallie Mae第三季度亏损因NII下降、费用增加、股价下跌而扩大","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"ALLY":1,"COOP":1,"NIM":1,"SLM":0.9,"SLMBP":0.9},"content_text":"Sallie Mae SLM, formally SLM Corporation, reported a third-quarter 2024 loss per share of 23 cents, wider than the Zacks Consensus Estimate of 7 cents. The bottom line compared unfavorably against the prior-year quarter’s earnings of 11 cents. \nFind the latest earnings estimates and surprises on the Zacks Earnings Calendar.\nA decline in the net interest income (NII) and a rise in non-interest expenses negatively impacted SLM’s results. However, lower provisions for credit losses and robust loan originations created tailwinds.\nFollowing the announcement of the third-quarter results, SLM shares fell 1%.\nThe company’s GAAP net loss was $45 million against the net income of $29 million in the prior-year quarter.\nSallie Mae’s NII Declines, Expenses Climb\nThird-quarter NII was $359 million, down 6.8% year over year. The reported figure missed the Zacks Consensus Estimate by 1.1%.\nThe quarterly net interest margin (NIM) was 5%, down 53 basis points from the prior-year quarter.\nNon-interest income was $24 million, flat year over year.\nNon-interest expenses inched up 1.2% year over year to $172 million. The uptick mainly resulted from higher compensation and benefits, and FDIC assessment fees.\nSLM’s Credit Quality Improves\nProvision for credit losses was $271 million, down 37% million from the prior-year quarter.\nNet charge-offs for private education loans were $77 million, down 22.3% year over year. \nPrivate education loans held for investment net charge-offs, as a percentage of average private education loans held for investment in repayment (annualized), was 2.08%. The figure contracted 45 basis points year over year.\nSallie Mae’s Balance Sheet Position: Mixed Bag\nAs of Sept. 30, 2024, deposits were $21.4 billion, down 0.5% year over year.\nPrivate education loans held for investment were $20.5 billion, up 0.6% from the year-ago figure.\nIn the reported quarter, the company’s private education loan originations increased 13% from the year-ago quarter.\nSLM’s Share Repurchase Update\nIn the third quarter, SLM repurchased 5.3 million shares for $115 million under its 2024 share buyback program.\nSallie Mae’s 2024 Outlook\nThe company expects diluted earnings per share of $2.70-$2.80.\nIt anticipates total loan portfolio net charge-offs of $325-$340 million.\nPrivate education loan originations are projected to grow 8-9% year over year.\nSLM’s non-interest expenses are expected to be $635-$655 million.\nFinal Thoughts on SLM\nSallie Mae’s overall financial performance of the company seems decent. Robust loan origination and lower provisions for credit loss are positives. However, a decline in the NII and a rise in non-interest expenses are major near-term headwinds.\nSLM Corporation Price, Consensus and EPS Surprise\n\n\nSLM Corporation price-consensus-eps-surprise-chart | SLM Corporation Quote\n\nCurrently, SLM carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.\nPerformances of Other Consumer Loan Providers\nMr. Cooper Group Inc. COOP reported third-quarter 2024 earnings of $2.84 per share, which beat the Zacks Consensus Estimate by 11.8%. The bottom line rose 1.8% year over year.\nSolid growth in the Servicing and Originations segments were major tailwinds for COOP in the third quarter. The servicing portfolio increased year over year, surpassing the $1.2-trillion mark. However, a decline in revenues and an increase in expenses were spoilsports.\nAlly Financial’s ALLY third-quarter 2024 adjusted earnings of 95 cents per share surpassed the Zacks Consensus Estimate of 81 cents. Also, the bottom line reflected a rise of 14.5% from the year-ago quarter.\nIn the reported quarter, ALLY witnessed increased revenues and lower expenses. Capital ratios rose, which was a positive. However, a decline in net finance receivables and loans and deposits were the undermining factors. Also, an increase in provisions hurt results to some extent.\nWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report\nSLM Corporation (SLM) : Free Stock Analysis Report\nAlly Financial Inc. (ALLY) : Free Stock Analysis Report\nMR. COOPER GROUP INC (COOP) : Free Stock Analysis Report\nTo read this article on Zacks.com click here.\nZacks Investment Research","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.2","shortVersion":"4.29.2","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2477568046"}