SLM Corporation Faces Class Action Lawsuit for Securities Fraud, Investors Can Claim Damages
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Globenewswire
- Lawsuit Initiation: Bronstein, Gewirtz & Grossman has filed a class action lawsuit against SLM Corporation and its executives, aiming to recover damages for investors who purchased SLM securities between July 25 and August 14, 2025, highlighting investor concerns over potential risks associated with the company.
- False Statement Allegations: The complaint alleges that SLM made materially false and misleading statements during the class period, artificially inflating its securities prices, reflecting significant deficiencies in the company's transparency and integrity in business operations.
- Delinquency Issues: The lawsuit points out that SLM is experiencing a significant rise in early-stage delinquencies and failed to adequately disclose the effectiveness of its loss mitigation and loan modification programs, which may lead investors to misjudge the company's prospects.
- Investor Rights Protection: Investors have until February 17, 2026, to apply to be lead plaintiffs, indicating that this case provides a legal remedy for affected investors, emphasizing the importance of corporate governance and market integrity.
SLM
$27.74+Infinity%1D
Analyst Views on SLM
Wall Street analysts forecast SLM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SLM is 33.44 USD with a low forecast of 29.00 USD and a high forecast of 39.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Analyst Rating
7 Buy
2 Hold
0 Sell
Strong Buy
Current: 27.530
Low
29.00
Averages
33.44
High
39.00
Current: 27.530
Low
29.00
Averages
33.44
High
39.00
About SLM
SLM Corporation is a holding company, which operates through various subsidiaries and is a financial brand for higher education. The Company’s primary business is to originate and service loans it makes to students and their families to finance the cost of their education. It also offers a range of deposit products insured by the Federal Deposit Insurance Corporation. Its primary private education loan product is the Smart Option Student Loan, which emphasizes in-school payment features that can produce shorter terms and reduce customers’ total finance charges. The Smart Option Student Loan generally runs for six months after the borrower separates from school but can run for up to 36 months for a small subset of graduate loans. It also offers six loan products for specific graduate programs of study. These include the Sallie Mae Law School Loan, the Sallie Mae MBA Loan, the Sallie Mae Graduate School Loan for Health Professions, the Sallie Mae Medical School Loan, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
