Is SLM Corp. overvalued or undervalued?

As of 30 June 2025, SLM Corp. has moved from an expensive to a fair valuation grade. The company appears fairly valued based on its current metrics. Key ratios include a P/E ratio of 18, an EV to EBITDA of 4.68, and a Price to Book Value of 4.67. In comparison to peers, Mr. Cooper Group, Inc. has a higher P/E of 29.22, while Ryder System, Inc. shows a lower P/E of 14.15, indicating SLM Corp. is positioned reasonably within its industry.
Despite recent underperformance with a 1-week return of -2.00% compared to the S&P 500's 1.05%, SLM Corp. has shown strong long-term performance with a 5-year return of 249.94%, significantly outpacing the S&P 500's 96.61% over the same period. This suggests that while the stock may be currently fairly valued, its historical performance indicates potential for future growth.