Nelnet (NYSE:NNI) Reaches New 52-Week High – Should You Buy?

Nelnet, Inc. (NYSE:NNI)’s stock price reached a new 52-week high on Tuesday . The company traded as high as $140.87 and last traded at $139.5740, with a volume of 88303 shares changing hands. The stock had previously closed at $138.59.

Analyst Ratings Changes

Several analysts have recently commented on NNI shares. TD Cowen raised their target price on shares of Nelnet from $130.00 to $135.00 and gave the stock a “hold” rating in a research note on Monday, November 10th. Wall Street Zen downgraded shares of Nelnet from a “strong-buy” rating to a “hold” rating in a research report on Saturday, November 15th. Finally, Weiss Ratings reiterated a “hold (c+)” rating on shares of Nelnet in a research report on Wednesday, October 8th. Two equities research analysts have rated the stock with a Hold rating, According to MarketBeat, Nelnet presently has a consensus rating of “Hold” and an average target price of $135.00.

Nelnet Price Performance

The firm has a market cap of $4.92 billion, a PE ratio of 11.52 and a beta of 0.83. The company has a current ratio of 28.98, a quick ratio of 28.98 and a debt-to-equity ratio of 2.18. The company has a 50 day moving average price of $130.99 and a 200 day moving average price of $126.43.

Nelnet (NYSE:NNI) last issued its quarterly earnings data on Thursday, November 6th. The credit services provider reported $2.95 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.52 by $1.43. The firm had revenue of $427.76 million during the quarter, compared to analysts’ expectations of $372.00 million. Nelnet had a return on equity of 12.58% and a net margin of 18.96%. On average, sell-side analysts expect that Nelnet, Inc. will post 4.52 EPS for the current year.

Nelnet Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, December 15th. Investors of record on Monday, December 1st were paid a $0.33 dividend. This represents a $1.32 dividend on an annualized basis and a yield of 1.0%. The ex-dividend date of this dividend was Monday, December 1st. This is a positive change from Nelnet’s previous quarterly dividend of $0.30. Nelnet’s dividend payout ratio is currently 11.09%.

Insider Transactions at Nelnet

In other Nelnet news, Director Deun Jona M. Van sold 400 shares of the company’s stock in a transaction dated Tuesday, December 9th. The shares were sold at an average price of $128.95, for a total value of $51,580.00. Following the sale, the director owned 704 shares of the company’s stock, valued at $90,780.80. This represents a 36.23% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 50.90% of the company’s stock.

Institutional Investors Weigh In On Nelnet

A number of institutional investors and hedge funds have recently bought and sold shares of NNI. Ameritas Advisory Services LLC purchased a new position in Nelnet during the second quarter worth $29,000. Financial Management Professionals Inc. purchased a new stake in Nelnet during the 2nd quarter worth about $32,000. Maseco LLP acquired a new position in Nelnet in the 2nd quarter valued at about $45,000. Osaic Holdings Inc. lifted its holdings in Nelnet by 170.3% in the 2nd quarter. Osaic Holdings Inc. now owns 373 shares of the credit services provider’s stock valued at $45,000 after purchasing an additional 235 shares in the last quarter. Finally, Smartleaf Asset Management LLC boosted its stake in shares of Nelnet by 189.8% during the 3rd quarter. Smartleaf Asset Management LLC now owns 368 shares of the credit services provider’s stock worth $46,000 after purchasing an additional 241 shares during the last quarter. Hedge funds and other institutional investors own 33.51% of the company’s stock.

About Nelnet

Nelnet, Inc (NYSE: NNI) is a diversified education services company founded in 1978 and headquartered in Lincoln, Nebraska. Originally established as the National Education Loan Network by Michael S. Dunlap, the company has grown into a prominent provider of student loan servicing and education finance solutions in the United States.

At the core of Nelnet’s business is student loan servicing, where it administers and manages federal and private education loans on behalf of borrowers and lending partners.