Nelnet (NYSE:NNI) Sees Strong Trading Volume – Still a Buy?

Shares of Nelnet, Inc. (NYSE:NNI) saw an uptick in trading volume on Wednesday . 78,524 shares changed hands during trading, an increase of 10% from the previous session’s volume of 71,311 shares.The stock last traded at $125.1150 and had previously closed at $124.76.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on NNI shares. Weiss Ratings reissued a “hold (c+)” rating on shares of Nelnet in a research note on Wednesday, October 8th. Wall Street Zen cut Nelnet from a “strong-buy” rating to a “hold” rating in a research note on Saturday. Finally, TD Cowen increased their target price on Nelnet from $130.00 to $135.00 and gave the stock a “hold” rating in a report on Monday, November 10th. Two investment analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, Nelnet has a consensus rating of “Hold” and a consensus target price of $135.00.

Nelnet Stock Up 0.3%

The company has a current ratio of 29.42, a quick ratio of 29.41 and a debt-to-equity ratio of 2.27. The stock has a market cap of $4.50 billion, a P/E ratio of 13.88 and a beta of 0.85. The firm has a 50-day simple moving average of $128.29 and a two-hundred day simple moving average of $123.27.

Nelnet (NYSE:NNI) last issued its quarterly earnings results on Thursday, November 6th. The credit services provider reported $2.95 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.52 by $1.43. Nelnet had a return on equity of 10.09% and a net margin of 14.86%.The business had revenue of $427.76 million during the quarter, compared to analysts’ expectations of $372.00 million. Equities research analysts expect that Nelnet, Inc. will post 4.52 earnings per share for the current fiscal year.

Nelnet Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, December 15th. Stockholders of record on Monday, December 1st will be paid a $0.33 dividend. This is an increase from Nelnet’s previous quarterly dividend of $0.30. This represents a $1.32 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend is Monday, December 1st. Nelnet’s payout ratio is currently 11.09%.

Insider Activity at Nelnet

In other Nelnet news, Director Thomas Edward Henning sold 5,094 shares of the business’s stock in a transaction that occurred on Friday, September 5th. The stock was sold at an average price of $128.87, for a total value of $656,463.78. Following the transaction, the director directly owned 11,058 shares of the company’s stock, valued at approximately $1,425,044.46. The trade was a 31.54% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, major shareholder Shelby J. Butterfield sold 41,929 shares of the firm’s stock in a transaction on Monday, August 25th. The shares were sold at an average price of $119.25, for a total value of $5,000,033.25. Following the transaction, the insider owned 510 shares in the company, valued at approximately $60,817.50. This trade represents a 98.80% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 50,125 shares of company stock valued at $6,056,252. Company insiders own 50.90% of the company’s stock.

Hedge Funds Weigh In On Nelnet

Several institutional investors have recently made changes to their positions in the business. Ameritas Advisory Services LLC purchased a new stake in shares of Nelnet in the second quarter worth approximately $29,000. Financial Management Professionals Inc. purchased a new stake in Nelnet during the 2nd quarter worth approximately $32,000. Smartleaf Asset Management LLC raised its stake in shares of Nelnet by 189.8% in the 3rd quarter. Smartleaf Asset Management LLC now owns 368 shares of the credit services provider’s stock valued at $46,000 after acquiring an additional 241 shares during the period. Osaic Holdings Inc. increased its holdings in shares of 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 acquiring an additional 235 shares during the period. Finally, Maseco LLP purchased a new position in shares of Nelnet during the 2nd quarter worth approximately $45,000. Institutional investors own 33.51% of the company’s stock.

About Nelnet

Nelnet, Inc engages in loan servicing, communications, education technology, services, and payment processing businesses worldwide. The Loan Servicing and Systems segment provides loan conversion, application processing, borrower updates, customer service, payment processing, due diligence procedures, funds management reconciliation, and claim processing services.