Is Nelnet Stock a Good Investment?

Nelnet Investment Advice

NNI

To provide specific investment advice or recommendations on Nelnet Inc stock, we recommend investors consider the following general factors when evaluating Nelnet Inc. This will help you to make an informed decision on whether to include Nelnet in one of your diversified portfolios:

Examine Nelnet's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research Nelnet's leadership team and their track record. Good management can help Nelnet navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the Consumer Finance space and any emerging trends that could impact Nelnet's business and its evolving consumer preferences.
Compare Nelnet's performance and market position to its competitors. Analyze how Nelnet is positioned in terms of product offerings, innovation, and market share.
Check if Nelnet pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about Nelnet's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

It's important to note that investing in Nelnet Inc stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Nelnet Inc is a good investment.

Sell

Buy

Strong Buy

Macroaxis provides trade recommendations on Nelnet Inc to complement and cross-verify current analyst consensus on Nelnet. Our advice engine determines the firm's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Nelnet Inc is not overpriced, please verify all Nelnet Inc fundamentals, including its current ratio, total asset, and the relationship between the net income and price to earnings to growth . Given that Nelnet Inc has a price to earning of 10.94 X, we recommend you to check Nelnet market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your last-minute risk tolerance and investing horizon.

Market Performance	Good	Details
Volatility	Very steady	Details
Hype Condition	Stale	Details
Current Valuation	Undervalued	Details
Odds Of Distress	Low	Details
Economic Sensitivity	Follows the market closely	Details
Investor Sentiment	Alarmed	Details
Analyst Consensus	Hold	Details
Reporting Quality (M-Score)	Unavailable	Details

Examine Nelnet Stock

Researching Nelnet's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 37.0% of the company outstanding shares are owned by corporate insiders. The company has price-to-book ratio of 1.07. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Nelnet Inc last dividend was issued on the 29th of February 2024.

To determine if Nelnet is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Nelnet's research are outlined below:

	About 37.0% of the company outstanding shares are owned by corporate insiders
	On 15th of March 2024 Nelnet paid $ 0.28 per share dividend to its current shareholders
	Latest headline from finance.yahoo.com: Why NelNet Stock Is Popping Higher Today

Nelnet uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Nelnet Inc. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Nelnet's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.

	27th of February 2024 Upcoming Quarterly Report	View
	13th of May 2024 Next Financial Report	View
	31st of December 2023 Next Fiscal Quarter End	View
	27th of February 2024 Next Fiscal Year End	View
	30th of September 2023 Last Quarter Report	View
	31st of December 2022 Last Financial Announcement	View

Earnings surprises can significantly impact Nelnet's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Nelnet's investors have experienced.

Reported	Fiscal Date	Estimated EPS	Reported EPS	Surprise
2004-04-28	2004-03-31	0.2	0.24	0.04	20
2007-07-31	2007-06-30	0.49	0.44	-0.05	10
2007-04-27	2007-03-31	0.49	0.54	0.05	10
2008-02-29	2007-12-31	0.26	0.34	0.08	30
2006-10-27	2006-09-30	0.54	0.62	0.08	14
2007-11-02	2007-09-30	0.36	0.45	0.09	25
2012-08-08	2012-06-30	1.05	1.18	0.13	12
2011-11-08	2011-09-30	1.09	1.22	0.13	11

Nelnet Target Price Consensus

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Nelnet target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Nelnet's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.

One

Hold

Most Nelnet analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Nelnet stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Nelnet Inc, talking to its executives and customers, or listening to those companies' conference calls.

Macroaxis Advice Exposure Valuation

Nelnet Target Price Projection

Nelnet's current and average target prices are 109.19 and 90.00, respectively. The current price of Nelnet is the price at which Nelnet Inc is currently trading. On the other hand, Nelnet's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.

Current Price

Nelnet Market Quote on 10th of May 2024

Low Price	100.97	Odds
High Price	109.76	Odds

109.19 Target Price

Analyst Consensus On Nelnet Target Price

Low Estimate	81.9	Odds
High Estimate	99.9	Odds

90.0

Historical

Lowest Forecast 81.9

Target Price 90.0

Highest Forecast 99.9

Note that most analysts generally publish their price targets in research reports on specific companies, along with recommendations for the company's stock.Although price targets are often quoted in the financial news media, there could be a delay between the publication of the latest analyst outlook on Nelnet Inc and the information provided on this page.

Nelnet Analyst Ratings

Nelnet's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Nelnet stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Nelnet's financials, market performance, and future outlook by experienced professionals. Nelnet's historical ratings below, therefore, can serve as a valuable tool for investors.

Know Nelnet's Top Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Nelnet is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Nelnet Inc backward and forwards among themselves. Nelnet's institutional investor refers to the entity that pools money to purchase Nelnet's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.

		Shares
Qvt Financial Lp	2023-12-31	229.7 K
Charles Schwab Investment Management Inc	2023-12-31	184.8 K
Jpmorgan Chase & Co	2023-12-31	176.4 K
Goldman Sachs Group Inc	2023-12-31	131.1 K
Bank Of New York Mellon Corp	2023-12-31	121.3 K
Bandera Partners Llc	2023-12-31	120.6 K
American Century Companies Inc	2023-12-31	117.3 K
Charter Trust Co	2023-12-31	106 K
Millennium Management Llc	2023-12-31	105.7 K
Dimensional Fund Advisors, Inc.	2023-12-31	2.1 M
Magnolia Group, Llc	2023-12-31	1.9 M

Note, although Nelnet's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Nelnet's market capitalization trends

The company currently falls under 'Mid-Cap' category with a total capitalization of 3.56 B. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate Nelnet's market, we take the total number of its shares issued and multiply it by Nelnet's current market price. To manage market risk and economic uncertainty, many investors today build portfolios that are diversified across equities with different market capitalizations. However, as a general rule, conservative investors tend to hold large-cap stocks, and those looking for more risk prefer small-cap and mid-cap equities.

Market Cap

3.47 Billion

Nelnet's profitablity analysis

Nelnet's profitability indicators refer to fundamental financial ratios that showcase Nelnet's ability to generate income relative to its revenue or operating costs. If, let's say, Nelnet is currently losing money, the management's focus should be on how to reverse that trend. However, when revenue exceeds expenses, Nelnet's executives or investors may be in less hurry to break that information down - which is where profitability analysis comes into play. Gaining a greater understanding of Nelnet's profitability requires more research than a typical breakdown of Nelnet's financial statements. By doing a profitability analysis, companies can identify areas needing attention, and investors can make a profitable trade.

	Last Reported	Projected for Next Year
Return On Tangible Assets	0.01	0.01
Return On Capital Employed	0.06	0.06
Return On Assets	0.01	0.01
Return On Equity	0.03	0.03

The company has Net Profit Margin of 0.08 %, which implies that it may need a different competitive strategy as even a very small decline in it revenue may erase profits and result in a net loss. This is way below average. In the same way, it shows Net Operating Margin of (0.05) %, which entails that for every $100 of revenue, it lost $0.05.

Determining Nelnet's profitability involves analyzing its financial statements and using various financial metrics to determine if Nelnet is a good buy. For example, gross profit margin measures Nelnet's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Nelnet's profitability and make more informed investment decisions.

The data published in Nelnet's official financial statements usually reflect Nelnet's business processes, product offerings, services, and other fundamental events. But there are other numbers, ratios, or fundamental indicators derived from these statements that are easier to understand and visualize within the underlying realities that drive quantitative information of Nelnet Inc. For example, before you start analyzing numbers published by Nelnet accountants, it's critical to develop an understanding of what Nelnet's liquidity, profitability, and earnings quality are in the context of the Consumer Finance space in which it operates.

Please note, the presentation of Nelnet's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Nelnet's management is honest, while the outside auditors are strict and uncompromising. Whatever the case, the imprecision that can be found in Nelnet's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Nelnet Inc. Please utilize our Beneish M Score to check the likelihood of Nelnet's management manipulating its earnings.

Evaluate Nelnet's management efficiency

As of now, Nelnet's Return On Tangible Assets are increasing as compared to previous years. The Nelnet's current Return On Capital Employed is estimated to increase to 0.06, while Return On Equity is projected to decrease to 0.03. As of now, Nelnet's Non Current Assets Total are decreasing as compared to previous years. The Nelnet's current Return On Tangible Assets is estimated to increase to 0.01, while Total Current Assets are projected to decrease to under 535 M. Nelnet's management efficiency ratios could be used to measure how well Nelnet manages its routine affairs as well as how well it operates its assets and liabilities.

	Last Reported	Projected for Next Year
Book Value Per Share	87.20	91.56
Net Current Asset Value	0.00	0.00
Tangible Asset Value	0.00	0.00
Tangible Book Value Per Share	80.69	84.72
Enterprise Value Over EBITDA	12.97	12.33
Price Book Value Ratio	1.01	0.96
Enterprise Value Multiple	12.97	12.33
Price Fair Value	1.01	0.96
Enterprise Value	14.1 B	18 B

The analysis of Nelnet's management efficiency is an essential part of evaluating and assessing the financial and operational performance of the entity. It is also vital to analyze Nelnet's future growth prospects and the overall market conditions to determine the value and potential of its stock. The analysis involves studying a range of financial metrics such as revenue, earnings, profit margins, cash flow, debt, market share, and external factors such as economic trends, industry outlook, competition, and government regulations. The goal of Nelnet Stock analysis is to determine whether it is undervalued, fairly valued, or overvalued and to make informed investment decisions.

Dividend Yield

0.0114

Forward Dividend Yield

0.0114

Forward Dividend Rate

1.12

Beta

0.842

Basic technical analysis of Nelnet Stock

As of the 10th of May, Nelnet secures the Mean Deviation of 0.9825, risk adjusted performance of 0.1316, and Downside Deviation of 1.3. In connection with fundamental indicators, the technical analysis model lets you check existing technical drivers of Nelnet Inc, as well as the relationship between them. Strictly speaking, you can use this information to find out if the firm will indeed mirror its model of past prices, or the prices will eventually revert. We were able to interpolate nineteen technical drivers for Nelnet, which can be compared to its peers in the industry. Please verify Nelnet Inc coefficient of variation, treynor ratio, as well as the relationship between the Treynor Ratio and semi variance to decide if Nelnet Inc is priced some-what accurately, providing market reflects its recent price of 109.19 per share. Given that Nelnet Inc has jensen alpha of 0.275, we recommend you to check Nelnet's last-minute market performance to make sure the company can sustain itself at a future point.

Nelnet's insider trading activities

Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Nelnet insiders, such as employees or executives, is commonly permitted as long as it does not rely on Nelnet's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Nelnet insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.

		Terry Heimes over two weeks ago Disposition of 356 shares by Terry Heimes of Nelnet at 90.43 subject to Rule 16b-3
		Adam Peterson over a month ago Acquisition by Adam Peterson of 2123 shares of Nelnet subject to Rule 16b-3
		William Munn over a month ago Disposition of 141 shares by William Munn of Nelnet at 88.63 subject to Rule 16b-3
		Matthew Dunlap over two months ago Disposition of tradable shares by Matthew Dunlap of Nelnet at 88.63 subject to Rule 16b-3
		Matthew Dunlap over two months ago Disposition of 1152 shares by Matthew Dunlap of Nelnet at 86.02 subject to Rule 16b-3
		Van Deun Jona M over six months ago Sale by Van Deun Jona M of 785 shares of Nelnet
		Van Deun Jona M over six months ago Acquisition by Van Deun Jona M of 531 shares of Nelnet subject to Rule 16b-3
		Timothy Tewes over a year ago Payment of 886 shares by Timothy Tewes of Nelnet subject to Rule 16b-3
		Timothy Tewes over a year ago Payment of 805 shares by Timothy Tewes of Nelnet subject to Rule 16b-3

Understand Nelnet's technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing Nelnet's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

	Risk Adjusted Performance	0.1316
	Market Risk Adjusted Performance	0.411
	Mean Deviation	0.9825
	Semi Deviation	0.9983
	Downside Deviation	1.3
	Coefficient Of Variation	492.89
	Standard Deviation	1.71
	Variance	2.92
	Information Ratio	0.1541
	Jensen Alpha	0.275
	Total Risk Alpha	0.1337
	Sortino Ratio	0.2028
	Treynor Ratio	0.401
	Maximum Drawdown	6.0
	Value At Risk	(1.36)
	Potential Upside	1.79
	Downside Variance	1.68
	Semi Variance	0.9966
	Expected Short fall	(1.14)
	Skewness	3.19
	Kurtosis	21.7

	Risk Adjusted Performance	0.1316
	Market Risk Adjusted Performance	0.411
	Mean Deviation	0.9825
	Semi Deviation	0.9983
	Downside Deviation	1.3
	Coefficient Of Variation	492.89
	Standard Deviation	1.71
	Variance	2.92
	Information Ratio	0.1541
	Jensen Alpha	0.275
	Total Risk Alpha	0.1337
	Sortino Ratio	0.2028
	Treynor Ratio	0.401
	Maximum Drawdown	6.0
	Value At Risk	(1.36)
	Potential Upside	1.79
	Downside Variance	1.68
	Semi Variance	0.9966
	Expected Short fall	(1.14)
	Skewness	3.19
	Kurtosis	21.7

Consider Nelnet's intraday indicators

Nelnet intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Nelnet stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

	Accumulation Distribution	14723.17
	Daily Balance Of Power	1.210466
	Rate Of Daily Change	1.11
	Day Median Price	105.37
	Day Typical Price	106.64
	Price Action Indicator	9.14
	Period Momentum Indicator	10.64
	Relative Strength Index	76.27

Nelnet Corporate Filings

8K	9th of May 2024 Report filed with the SEC to announce major events that shareholders should know about	View Verify
	6th of May 2024 Other Reports	View Verify
	4th of April 2024 Other Reports	View Verify
F4	1st of April 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities	View Verify

Nelnet time-series forecasting models is one of many Nelnet's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Nelnet's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

Nelnet Stock media impact

Far too much social signal, news, headlines, and media speculation about Nelnet that are available to investors today. That information is available publicly through Nelnet media outlets and privately through word of mouth or via Nelnet internal channels. However, regardless of the origin, that massive amount of Nelnet data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.

A primary focus of Nelnet news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Nelnet relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Nelnet's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Nelnet alpha.

Nelnet Sentiment by Major News Outlets

Investor sentiment, mood or attitude towards Nelnet can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.

Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.

Be your own money manager

Our tools can tell you how much better you can do entering a position in Nelnet without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

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Nelnet Corporate Directors

Nelnet corporate directors refer to members of a Nelnet board of directors. The board of directors generally takes responsibility for the Nelnet's affairs and long-term direction of the entity. A corporate director does not make decisions for the corporation on his own. As a member of the board of directors, she or he must function as a part of a group that makes decisions on behalf of the business only by the board of directors' meetings. To pass a resolution, a majority of Nelnet's board members must vote for the resolution. The Nelnet board of directors' duties also include the election, removal, and supervision of officers, including the adoption, amendment, and repeal of bylaws.

Preeta Bansal	Independent Director	Profile
David Graff	Independent Director	Profile
William Cintani	Independent Director	Profile
Thomas Henning	Lead Independent Director	Profile

How to buy Nelnet Stock?

Examine Nelnet's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research Nelnet's leadership team and their track record. Good management can help Nelnet navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the Consumer Finance space and any emerging trends that could impact Nelnet's business and its evolving consumer preferences.
Compare Nelnet's performance and market position to its competitors. Analyze how Nelnet is positioned in terms of product offerings, innovation, and market share.
Check if Nelnet pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about Nelnet's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

Already Invested in Nelnet Inc?

The danger of trading Nelnet Inc is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Nelnet is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Nelnet. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Nelnet Inc is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.

When determining whether Nelnet Inc offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Nelnet's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Nelnet Inc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Nelnet Inc Stock: