SLM (SLM) NewsBite - SLM to Receive "Favorable" Terms

Posted on Wednesday, May 21, 2008 10:30 AM

SLM Corp. (SLM) opened at 21.49. So far today, the stock has hit a low of 21.40 and a high of 22.70. SLM is now trading at 22.18, up 1.40 (6.51%). The stock hit its 52 week high of 58.00 in July and set its 52 week low of 14.70 in March. SLM has been losing ground for the past year. SLM shares have been soaring after a specialist said that the company will receive "very favorable" terms from the Education Department for disposing of loans they can't sell to investors. Technical indicators for the stock are bullish and steady while S&P gives SLM a neutral 3 STARS (out of 5) hold rating. If you’re looking for a hedged play on this stock, consider a July bull-put credit spread below the $15 range. SLM stock could fall up to 32.4% before expiration and this position would still be profitable. [RHF - Seven Summits Strategic Investments NewsBite]