SLM initiated with Outperform, named a top pick at TD Cowen

TD Cowen analyst Moshe Orenbuch initiated coverage of SLM with an Outperform rating and $17.50 price target. The analyst named SLM a top pick in consumer finance. While its earnings include gain on sale, SLM will continue to grow earnings after 2025, the analyst tells investors in a research note. The company has signaled it will continue to sell loans and repurchase shares as sale margins remain high, and SLM should be able to repurchase 19% of the stock through 2024, highest in the peer group, says TD.