Key Highlights
- NAVI’s trailing and forward P/E were 41.12 and 9.33 respectively according to Yahoo Finance.
- online, learn Photo by compare-fibre on Unsplash Navient (NAVI) is positioned as a potentially undervalued asset within financials, with a current stock price of $12 and an estimated upside to a $20 target.
- The company’s narrative is shifting from a declining outlook to one of growth and improved credit performance.
- A key driver is the planned elimination of federal student lending for new students beginning in 2026, which could expand private lending volumes and support higher earnings.
- NAVI’s borrower mix is also shifting toward higher-quality refinance and graduate student loans, while legacy pre-spin loans continue to run off, reducing overall credit risk.
