A month has gone by since the last earnings report for Navient (NAVI Quick QuoteNAVI - Free Report) . Shares have lost about 10.1% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is Navient due for a breakout? Well, first let's take a quick look at the most recent earnings report in order to get a better handle on the recent drivers for Navient Corporation before we dive into how investors and analysts have reacted as of late.

Navient Q1 Earnings Beat as Expenses & Provisions Fall Y/Y

Navient reported first-quarter 2026 earnings per share of 20 cents, surpassing the Zacks Consensus Estimate of 17 cents. It reported earnings of 28 cents in the prior-year quarter.

Results benefited from lower expenses and a decline in provisions for loan losses. However, a decrease in net interest income and other income acted as a headwind.

Navient’s GAAP net income was $17 million compared with $2 million in the prior-year quarter.

NII & Expenses Decline

NII declined 12.5% year over year to $126 million in the first quarter. It missed the Zacks Consensus Estimate by 1.6%.

Total other income decreased 68.6% year over year to $16 million.

Provision for loan losses was $27 million, down from $30 million in the prior-year quarter.

Total expenses decreased 29% year over year to $93 million.

Quarterly Performance of Segments

Federal Education Loans: The segment generated a net income of $22 million, which declined 8.3% year over year.

As of March 31, 2026, the company’s net FFELP loans were $27.2 billion, down 3.2% sequentially.

Consumer Lending: This segment reported a net income of $35 million, which decreased 23.9% from the year-ago quarter.

The private education loan delinquency rate greater than 30 days was 5.5% compared with 6.4% in the prior-year quarter.

As of March 31, 2026, the company’s private education loans were $15.6 billion, which decreased 1.3% from the prior quarter. Navient originated $778 million of private education refinance loans in the reported quarter.

Liquidity Position

Notably, the company had $621 million of total unrestricted cash and liquid investments as of March 31, 2026.

Capital Distribution Activities

In the first quarter, the company paid $15 million in common stock dividends. In the reported quarter, Navient repurchased shares of common stock for $23 million.

2026 Outlook

Core EPS is expected to be in the range of 65 cents to 80 cents. Net of incremental growth investments is expected to have a 35-cent to 40-cent impact on EPS.

Management expects full-year loan originations of $4 billion, representing an increase of more than 60% compared to 2025. The company expects both refinancing originations and in-school originations to be more than 50%.

Total expenses are expected to be $350 million.

How Have Estimates Been Moving Since Then?

In the past month, investors have witnessed a flat trend in fresh estimates.

The consensus estimate has shifted -9.62% due to these changes.

VGM Scores

Currently, Navient has a poor Growth Score of F, a grade with the same score on the momentum front. However, the stock has a grade of A on the value side, putting it in the top quintile for this investment strategy.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Navient has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.