Sallie Mae vs Home BancShares

This page compares Sallie Mae and Home BancShares to outline their business models, financial performance, and market context in a clear, neutral manner. It presents accessible information about how each company operates and the factors shaping their position in the market. Educational content, not financial advice.

Comparison Snapshot

Key Financial Metrics

SLM

Metric

HOMB

$5.28B

Market Cap

$5.60B

20.39%

Potential Profit

12.94%

Buy

Analyst Rating

Buy

Investment Analysis

Sallie Mae

SLM

Pros

SLM Corp maintains a dominant market share in private education lending, estimated at 60-67% for undergraduate and graduate loans.
The company reported strong credit performance with declining net charge-offs and improved underwriting standards, including higher average FICO scores.
SLM demonstrated robust growth in its private education loan portfolio, with originations up 6% year-to-date and expectations for mid to high single-digit growth.

Considerations

Provisions for credit losses remain elevated, reflecting ongoing risks in the student lending sector despite recent improvements.
SLM's earnings per share in Q2 2025 missed analyst expectations, raising concerns about near-term profitability.
The company's stock valuation is sensitive to federal student loan policy changes, which could impact future growth and market opportunities.

Home BancShares

HOMB

Pros

Home BancShares operates with a diversified loan portfolio, with a significant portion in commercial real estate, supporting stable net interest income.
The company maintains a solid balance sheet and focuses on credit quality, attracting experienced bankers to support growth initiatives.
Home BancShares has a track record of organic growth and strategic acquisitions, expanding its footprint in regional banking markets.

Considerations

Commercial real estate loans represent a large share of the portfolio, exposing the bank to sector-specific risks and economic cycles.
The bank's growth strategy relies heavily on acquisitions, which can introduce integration challenges and execution risks.
Home BancShares operates in a competitive regional banking environment, which may limit pricing power and margin expansion.

About The Companies

Sallie Mae (SLM)

SLM Corporation, widely known by its brand name Sallie Mae, is a US-based financial services company focused on higher education. Its principal business involves originating and servicing private education loans for students and their families. The company's flagship product, the Smart Option Student Loan, is designed to help borrowers reduce their total loan costs through features like in-school payments. Beyond general student loans, Sallie Mae also offers specialised loan products for specific graduate programmes, such as law, medicine, and business. In addition to its lending activities, the company provides a selection of savings and deposit products, which are insured by the Federal Deposit Insurance Corporation (FDIC). This dual focus on lending and saving makes it a significant entity in the American education finance landscape. As with any investment, its value can go down as well as up.

Home BancShares (HOMB)

Home Bancshares, Inc. (HOMB) is a US regional bank holding company that operates the Arvest Bank franchise across several Midwestern and Southern states. With a market capitalisation of about $5.35 billion, it focuses on commercial and consumer lending, deposit gathering and fee-based services for local businesses and households. Growth has historically come from both organic lending activity and acquisitions, which can widen geographic reach but also add integration and credit risk. HOMB’s earnings are sensitive to interest-rate moves, loan credit quality and local economic conditions. The company typically pays a dividend, but payouts depend on earnings, capital needs and regulatory constraints. This summary is for educational purposes only and not personalised financial advice; it is important to assess your own objectives, timeframe and risk tolerance before considering any investment. Returns are not guaranteed and share prices can fall as well as rise.

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Comparison Snapshot

Investment Analysis

Sallie Mae

Pros

Considerations

Home BancShares

Pros

Considerations

About The Companies

Which Baskets Do They Appear In?

Which Baskets Do They Appear In?

Buy SLM or HOMB in Nemo

Zero Commission

Trusted & Regulated

6% Interest on Cash

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Sallie Mae vs Enact

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Frequently asked questions

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Comparison Snapshot

About The Companies