(NAVI) Navient - Overview
Sector: Financial Services | Industry: Credit Services | Exchange: NASDAQ (USA) | Market Cap: 793m USD | Total Return: -34.7% in 12m
Avg Turnover: 7.83M
Qual. Beats: 0
Rev. Trend: -93.4%
Qual. Beats: 0
Warnings
Below Avwap Earnings
Tailwinds
No distinct edge detected
Navient Corporation is a financial services company specializing in the management and servicing of education-related loans. The company operates through two primary segments: Federal Education Loans, which includes the historical Federal Family Education Loan Program (FFELP) portfolio, and Consumer Lending, which focuses on private education loans and refinancing products under the Earnest brand. Navient provides end-to-end processing, including loan origination, digital financial services, and portfolio servicing for third-party institutions.
The company operates within the Consumer Finance sector, where business models often rely on the net interest margin between the interest collected on loan assets and the cost of funding those assets. As a major holder of FFELP loans, Navient manages assets backed by government guarantees, which typically carry lower credit risk compared to unsecured private lending. The student loan industry is currently characterized by significant regulatory oversight and shifts toward private refinancing as borrowers seek to optimize interest rates on existing debt.
Investors can further examine the companys valuation metrics and historical performance on ValueRay. Navient is headquartered in Herndon, Virginia, and has been a participant in the U.S. education finance market since its founding in 1973.
- FFELP loan portfolio runoff pace dictates long term cash flow and valuation
- Private education loan originations drive growth for the Earnest digital brand
- Interest rate volatility impacts net interest margin and asset backed security spreads
- Regulatory scrutiny and litigation risks affect operational expenses and dividend stability
- Strategic shift toward business processing services diversifies revenue away from legacy lending
| Net Income: -60.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA -0.01 > 1.0 |
| NWC/Revenue: -40.63% < 20% (prev -57.95%; Δ 17.32% < -1%) |
| CFO/TA 0.01 > 3% & CFO 323.0m > Net Income -60.0m |
| Net Debt (44.6b) to EBITDA (541.0m): 82.37 < 3 |
| Current Ratio: 0.75 > 1.5 & < 3 |
| Outstanding Shares: last quarter (96.0m) vs 12m ago -5.88% < -2% |
| Gross Margin: 29.92% > 18% (prev 0.18%; Δ 2.97k% > 0.5%) |
| Asset Turnover: 6.19% > 50% (prev 7.65%; Δ -1.47% > 0%) |
| Interest Coverage Ratio: 0.22 > 6 (EBITDA TTM 541.0m / Interest Expense TTM 2.47b) |
| A: -0.03 (Total Current Assets 3.76b - Total Current Liabilities 5.01b) / Total Assets 48.0b |
| B: 0.09 (Retained Earnings 4.55b / Total Assets 48.0b) |
| C: 0.01 (EBIT TTM 538.0m / Avg Total Assets 49.5b) |
| D: 0.10 (Book Value of Equity 4.56b / Total Liabilities 45.6b) |
| Altman-Z'' = 0.32 = B |
| DSRI: 1.15 (Receivables 1.63b/1.80b, Revenue 3.06b/3.90b) |
| GMI: 0.60 (GM 29.92% / 17.95%) |
| AQI: 0.97 (AQ_t 0.92 / AQ_t-1 0.95) |
| SGI: 0.79 (Revenue 3.06b / 3.90b) |
| TATA: -0.01 (NI -60.0m - CFO 323.0m) / TA 48.0b) |
| Beneish M = -3.44 (Cap -4..+1) = AA |
As of May 26, 2026, the stock is trading at USD 8.44 with a total of 648,400 shares traded.
Over the past week, the price has changed by +3.69%,
over one month by -5.06%,
over three months by -3.47% and
over the past year by -34.65%.
Navient has received a consensus analysts rating of 2.90. Therefore, it is recommended to hold NAVI.
- StrongBuy: 1
- Buy: 0
- Hold: 7
- Sell: 1
- StrongSell: 1
| Analysts Target Price | 9.4 | 11.8% |
P/E Forward = 10.9409
P/S = 2.4112
P/B = 0.3327
P/EG = 0.142
Revenue TTM = 3.06b USD
EBIT TTM = 538.0m USD
EBITDA TTM = 541.0m USD
Long Term Debt = 40.2b USD (from longTermDebt, last quarter)
Short Term Debt = 5.01b USD (from shortTermDebt, last quarter)
Debt = 45.2b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 44.6b USD (calculated: Debt 45.2b - CCE 621.0m)
Enterprise Value = 45.4b USD (793.3m + Debt 45.2b - CCE 621.0m)
Interest Coverage Ratio = 0.22 (Ebit TTM 538.0m / Interest Expense TTM 2.47b)
EV/FCF = 140.4x (Enterprise Value 45.4b / FCF TTM 323.0m)
FCF Yield = 0.71% (FCF TTM 323.0m / Enterprise Value 45.4b)
FCF Margin = 10.55% (FCF TTM 323.0m / Revenue TTM 3.06b)
Net Margin = -1.96% (Net Income TTM -60.0m / Revenue TTM 3.06b)
Gross Margin = 29.92% ((Revenue TTM 3.06b - Cost of Revenue TTM 2.15b) / Revenue TTM)
Gross Margin QoQ = 18.85% (prev 88.44%)
Tobins Q-Ratio = 0.94 (Enterprise Value 45.4b / Total Assets 48.0b)
Interest Expense / Debt = 5.48% (Interest Expense 2.47b / Debt 45.2b)
Taxrate = 46.88% (15.0m / 32.0m)
NOPAT = 285.8m (EBIT 538.0m * (1 - 46.88%))
Current Ratio = 0.75 (Total Current Assets 3.76b / Total Current Liabilities 5.01b)
Debt / Equity = 18.99 (Debt 45.2b / totalStockholderEquity, last quarter 2.38b)
Debt / EBITDA = 82.37 (Net Debt 44.6b / EBITDA 541.0m)
Debt / FCF = 138.0 (Net Debt 44.6b / FCF TTM 323.0m)
Total Stockholder Equity = 2.45b (last 4 quarters mean from totalStockholderEquity)
RoA = -0.12% (Net Income -60.0m / Total Assets 48.0b)
RoE = -2.45% (Net Income TTM -60.0m / Total Stockholder Equity 2.45b)
RoCE = 1.26% (EBIT 538.0m / Capital Employed (Equity 2.45b + L.T.Debt 40.2b))
RoIC = 0.60% (NOPAT 285.8m / Invested Capital 48.0b)
WACC = 3.02% (E(793.3m)/V(46.0b) * Re(9.12%) + D(45.2b)/V(46.0b) * Rd(5.48%) * (1-Tc(0.47)))
Discount Rate = 9.12% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -91.11 | Cagr: -10.10%
[DCF] Terminal Value 74.41% ; FCFF base≈333.0m ; Y1≈314.2m ; Y5≈294.0m
[DCF] Fair Price = N/A (negative equity: EV 4.64b - Net Debt 44.6b = -39.9b; debt exceeds intrinsic value)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.10 | # QB: 0
Revenue Correlation: -93.39 | Revenue CAGR: -16.11% | SUE: 0.50 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.20 | Chg30d=+1.48% | Revisions=-11% | Analysts=8
EPS next Quarter (2026-09-30): EPS=0.09 | Chg30d=-6.80% | Revisions=+20% | Analysts=8
EPS current Year (2026-12-31): EPS=0.72 | Chg30d=+3.89% | Revisions=+50% | GrowthEPS=+305.5% | GrowthRev=+4.1%
EPS next Year (2027-12-31): EPS=0.95 | Chg30d=+0.36% | Revisions=+0% | GrowthEPS=+31.5% | GrowthRev=+12.4%
[Analyst] Revisions Ratio: +50%