Navient (NASDAQ:NAVI) Releases Earnings Results, Misses Expectations By $0.29 EPS

Navient (NASDAQ:NAVI) issued its quarterly earnings results on Wednesday. The credit services provider reported $0.02 EPS for the quarter, missing the consensus estimate of $0.31 by ($0.29), Briefing.com reports. The company had revenue of $137.00 million for the quarter, compared to the consensus estimate of $144.25 million. Navient had a positive return on equity of 4.12% and a negative net margin of 1.48%.During the same period in the previous year, the business posted ($0.24) EPS. Navient updated its FY 2026 guidance to 0.650-0.800 EPS.

Navient Trading Down 18.5%

NASDAQ:NAVI opened at $9.81 on Thursday. The stock has a market cap of $956.57 million, a price-to-earnings ratio of -18.17 and a beta of 1.29. The company has a debt-to-equity ratio of 16.98, a quick ratio of 9.41 and a current ratio of 9.41. Navient has a 1 year low of $9.77 and a 1 year high of $16.07. The business has a fifty day moving average of $12.55 and a 200-day moving average of $12.80.

Navient Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, December 19th. Shareholders of record on Friday, December 5th were given a dividend of $0.16 per share. This represents a $0.64 dividend on an annualized basis and a yield of 6.5%. The ex-dividend date was Friday, December 5th. Navient’s payout ratio is -118.52%.

Analyst Ratings Changes

Several research analysts have recently commented on NAVI shares. Wall Street Zen lowered Navient from a “hold” rating to a “sell” rating in a research report on Saturday, November 1st. JPMorgan Chase & Co. decreased their price objective on shares of Navient from $14.00 to $12.50 and set a “neutral” rating for the company in a report on Thursday, October 30th. Morgan Stanley set a $12.00 target price on shares of Navient in a report on Wednesday. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Navient in a report on Monday, December 29th. Finally, TD Cowen reiterated a “sell” rating on shares of Navient in a research note on Thursday, October 30th. Five research analysts have rated the stock with a Hold rating and five have given a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Reduce” and a consensus price target of $11.63.

Hedge Funds Weigh In On Navient

Several large investors have recently bought and sold shares of NAVI. Orbis Allan Gray Ltd lifted its stake in shares of Navient by 23.2% in the 2nd quarter. Orbis Allan Gray Ltd now owns 2,848,718 shares of the credit services provider’s stock worth $40,167,000 after acquiring an additional 536,933 shares during the period. Millennium Management LLC raised its holdings in Navient by 70.0% during the third quarter. Millennium Management LLC now owns 888,186 shares of the credit services provider’s stock worth $11,680,000 after purchasing an additional 365,677 shares in the last quarter. UBS Group AG lifted its position in Navient by 71.7% in the third quarter. UBS Group AG now owns 451,973 shares of the credit services provider’s stock worth $5,943,000 after purchasing an additional 188,684 shares during the period. Bank of America Corp DE boosted its stake in Navient by 50.1% during the 2nd quarter. Bank of America Corp DE now owns 462,101 shares of the credit services provider’s stock valued at $6,516,000 after purchasing an additional 154,171 shares in the last quarter. Finally, Jacobs Levy Equity Management Inc. raised its stake in shares of Navient by 457.7% in the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 147,085 shares of the credit services provider’s stock worth $1,934,000 after buying an additional 120,711 shares in the last quarter. Institutional investors and hedge funds own 97.14% of the company’s stock.

Key Stories Impacting Navient

Here are the key news stories impacting Navient this week:

• Positive Sentiment: Navient is targeting 60% loan‑origination growth to $4 billion in 2026 and is cutting expenses as part of a strategic realignment; this is the company’s growth plan to offset legacy headwinds. Article Title
• Neutral Sentiment: The earnings call emphasized “legacy pain” but reiterated growth ambitions and a strategic shift — useful context for judging management’s execution risk vs. upside. Article Title
• Neutral Sentiment: Some outlets noted Q4 results benefited from lower expenses and provisions, with certain metrics (adjusted measures) reported as beating estimates — but underlying net interest and other income trends were weak. Article Title
• Negative Sentiment: Navient issued FY‑2026 EPS guidance of $0.65–$0.80, well below the street consensus (~$1.18), signaling slower near‑term earnings recovery. Article Title
• Negative Sentiment: Multiple reports say Q4 results were weaker than investors hoped (including a slim or negative GAAP result), with commentary pointing to a decline in net interest income — a key profitability driver. Article Title
• Negative Sentiment: Shares plunged and NAVI hit a new 1‑year low after the earnings/GUIDANCE update, amplifying downside momentum. Article Title
• Negative Sentiment: Brokerage coverage has turned bearish, with an average rating reported as “Strong Sell,” increasing selling pressure and reducing near‑term investor appetite. Article Title
• Negative Sentiment: Market commentary highlights a swing to a Q4 loss and broad investor concern over the sustainability of earnings amid lower NII — cited in mainstream coverage as the proximate cause of the selloff. Article Title

About Navient

Navient Corporation (NASDAQ: NAVI) is a specialized provider of asset management and business processing solutions, with a primary focus on student loan servicing. Established in 2014 through the separation from Sallie Mae, Navient assumed responsibility for servicing federal and private education loans, positioning itself as one of the largest servicers of higher education debt in the United States.

The company’s core activities center on federal student loan servicing under contracts with the U.S.