Shares of Navient (NAVI) plummeted 5.35% in pre-market trading on Wednesday following the release of its first-quarter 2025 financial results. The student loan servicing company's earnings report fell short of expectations, triggering a selloff among investors.
Navient reported a quarterly loss of $2 million, or 2 cents per share. While adjusted earnings of 28 cents per share beat Wall Street expectations of 19 cents, the company's revenue significantly missed the mark. Navient posted revenue of $156 million for the quarter, falling short of analysts' estimates of $179.4 million and representing a 4.3% decline from the same period last year.
The disappointing results come amid a challenging environment for Navient, with the company's shares already down 4.4% year-to-date before this latest setback. Analysts have been revising their earnings estimates downward, with the mean estimate falling by about 28.7% over the last three months. The current average analyst rating on Navient shares is "hold," reflecting the ongoing uncertainties surrounding the company's performance and outlook in the education finance sector.
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