The business behind the dividend
| Measure | SLM | Median | Formula |
|---|---|---|---|
| Return on equity | 30.4% | 10.6% | Net income ÷ shareholders’ equity |
| Return on capital employed | — | — | Operating income ÷ (equity + total debt) |
| Owner earnings | — | — | Net income + depreciation & amortisation − capital expenditure |
| Free cash flow | — | — | Operating cash flow − capital expenditure |
| Operating margin | 37.8% | 14.3% | Operating income ÷ revenue |
| Net margin | 28.4% | 10.1% | Net income ÷ revenue |
| Debt to equity | — | — | Total debt ÷ shareholders’ equity |
| Interest cover | — | — | Operating income ÷ interest expense |
| Current ratio | — | — | Current assets ÷ current liabilities |
| Long-term debt to working capital | — | — | Long-term debt ÷ (current assets − current liabilities) |
| Cash conversion | — | — | Operating cash flow ÷ net income |
| Accruals | 3.8% | -3.1% | (Net income − operating cash flow) ÷ total assets |
Not computed here: Cash conversion, Current ratio, Debt to equity, Long-term debt to working capital, Free cash flow, Interest cover, Owner earnings, Return on capital employed — why a blank is not a zero.
Ten years of it
The same measures, for every year the filings support. One year is a fact; a row is a business.
| Measure | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | Median |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Return on equity | 30.4% | 28.2% | 30.9% | 27.2% | 54.0% | 34.4% | 17.5% | 16.4% | 11.7% | 10.7% | 27.2% |
| Operating margin | 37.8% | 30.5% | 30.0% | 31.0% | 86.7% | 57.1% | 31.9% | — | — | — | 31.9% |
| Net margin | 28.4% | 23.2% | 22.4% | 23.1% | 65.3% | 43.6% | 24.8% | 25.2% | 20.1% | 23.2% | 23.2% |
How it compares in banks & insurers
Among the 377 banks & insurers companies here measured on GAAP earnings, SLM pays out less than 322 of them. The median for that group is 30.6%, against this company’s 15.0%.
Closest on GAAP earnings
- Farmers & Merchants Bancorp (FMCB) 14.4%
- Triumph Financial (TFIN) 14.5%
- Chubb (CB) 14.9%
- Old Second Bancorp (OSBC) 15.4%
Same sector and same denominator, so the figures are comparable. All 377 in banks & insurers →