SLM Corp falls after JP Morgan downgrades to 'underweight'

SLM

12/01/2026 14:52

** Shares of student loan provider SLM Corp SLM.O down 2.6% to $26.89

** J.P. Morgan downgrades to "underweight" from "neutral"; cuts PT to $25 from $29

** Cites President Trump's proposal requiring issuers to limit interest rates on credit cards to 10% for one year, with implementation expected by January 20

** Sees elevated cyclical credit risk as college graduates face tougher job market

** Believes that longer term, SLM’s business model will face structural challenges as value of college degree may be questioned due to increasing AI-driven disruptions

** 7 of 11 brokerages rate stock "buy" or higher, 2 "hold" and 2 "sell"; median PT is $33.50 - LSEG data

** Stock down ~2% in 2025

(Reporting by Sanskriti Shekhar in Bengaluru )

((Sanskriti.Shekhar@thomsonreuters.com))