Earnings Preview: SLM Corp.

Jan.20.09 | About: SLM Corporation (SLM)

SLM Corp. (NYSE:SLM) is expected to report Q4 earnings after the market closes on Wednesday, January 21 with a conference call scheduled for January 22 at 8:00 am ET.


Analysts are looking for EPS of 17c on revenue of $731.02M. The consensus range for EPS is 5c-33c, while the consensus range for revenue is $613M-$804M, according to First Call. SLM's shares have risen 4.35% to $12.00 in mid-afternoon trading today, versus its closing price of $11.30 on January 12. The stock, one of the few financials to advance today, has been helped in recent days by the inclusion of increased student loan limits and grants in the House Democrats' economic stimulus bill. Investors will want to know how much the company believes the stimulus bill will boost its bottom line. SLM showed that it is somewhat optimistic about its near-term future when it announced that it would open a new Credit Operations center in Delaware and hire 1,100 new workers to staff the facility.

Analyst Views

Earlier this month, however, Barclays reduced its estimates for the company because the firm expects the Treasury's intervention in the commercial paper market to pressure SLM Corp's yields.