SLMNEUTRAL

SLM Return on Equity (ROE) Analysis

30.9%

Updated 24h ago·SEC filings & market data

Key Takeaway

Return on Equity (ROE) shows how much profit a company generates for every dollar of shareholder capital — a 30.9% ROE means SLM earned roughly 31 cents per dollar of equity.

Sector Performance

82th percentile

SLM

30.9%

Sector Median

13.9%

Sector Avg

32.1%

Prior Period

30.4%(May 2026)

↑ Improving

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Deep Analysis

Return on Equity (ROE) shows how much profit a company generates for every dollar of shareholder capital — a 30.9% ROE means SLM earned roughly 31 cents per dollar of equity.

This is well above the sector median of 13.9%, placing SLM in the 82nd percentile among its peers. The year-over-year change is not available, but the quarter-over-quarter change shows a modest increase of +1.6%. The combination of a very high absolute ROE and a slight upward move suggests the company is using investor capital efficiently, though the limited trend data makes it hard to assess consistency. This metric supports the overall NEUTRAL verdict because while the ROE level is strong, the lack of a longer track record and the neutral stance indicate other factors may offset this performance.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about SLM?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

Who are SLM's closest peers by Return on Equity (ROE)?

The closest peers by Return on Equity (ROE) include: WDC (85.9%), LVS (90.5%), IT (94.9%), KLAC (95.0%), ITW (96.8%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.