Navient (NAVI) shares plummeted 5.73% in pre-market trading on Wednesday after the company reported disappointing second-quarter results that fell short of analyst expectations. The student loan servicer's earnings and revenue declined year-over-year, prompting a downward revision of its full-year 2025 guidance.

For the quarter ended June 30, Navient reported core earnings of $0.20 per diluted share, down from $0.29 a year earlier and below the FactSet analyst consensus estimate of $0.27. The company's revenue, expressed as the sum of net interest income and other income, came in at $156 million, a significant drop from $247 million in the same quarter last year. While the revenue surpassed the FactSet analyst expectation of $163.6 million, the substantial year-over-year decline raised concerns among investors.

Adding to the negative sentiment, Navient revised its 2025 core earnings per share guidance downward to a range of $0.95 to $1.05, compared to its earlier projection of $1.00 to $1.20. This adjustment reflects the challenges faced by the company in the current economic environment and has likely contributed to the sharp decline in stock price. As Navient continues to navigate the evolving landscape of student loans and financial services, investors will be closely watching for signs of improved performance in the coming quarters.