Free Trial

Nelnet, Inc. $NNI is Magnolia Group LLC's Largest Position

Nelnet logo with Finance background

Key Points

  • Magnolia Group LLC's largest position is in Nelnet, Inc., comprising 31.1% of the fund's holdings, even after trimming its position by 12.2% in the second quarter.
  • Nelnet reported a strong quarter with an EPS of $5.05, significantly exceeding analysts' expectations, along with a revenue of $540.61 million.
  • The company recently announced an increase in its quarterly dividend to $0.30 per share, reflecting a positive change from the previous dividend of $0.28.
  • Five stocks to consider instead of Nelnet.

Magnolia Group LLC trimmed its position in Nelnet, Inc. (NYSE:NNI - Free Report) by 12.2% in the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 1,668,976 shares of the credit services provider's stock after selling 231,024 shares during the quarter. Nelnet comprises 31.1% of Magnolia Group LLC's holdings, making the stock its largest position. Magnolia Group LLC owned approximately 4.60% of Nelnet worth $202,146,000 at the end of the most recent quarter.

Other institutional investors also recently bought and sold shares of the company. D.A. Davidson & CO. grew its holdings in Nelnet by 15.5% in the first quarter. D.A. Davidson & CO. now owns 20,347 shares of the credit services provider's stock valued at $2,257,000 after purchasing an additional 2,728 shares during the period. XTX Topco Ltd acquired a new stake in Nelnet in the first quarter valued at approximately $384,000. Jump Financial LLC acquired a new stake in Nelnet in the first quarter valued at approximately $256,000. QRG Capital Management Inc. grew its holdings in Nelnet by 14.0% in the first quarter. QRG Capital Management Inc. now owns 5,530 shares of the credit services provider's stock valued at $613,000 after purchasing an additional 678 shares during the period. Finally, Deutsche Bank AG grew its holdings in Nelnet by 209.0% in the first quarter. Deutsche Bank AG now owns 39,074 shares of the credit services provider's stock valued at $4,334,000 after purchasing an additional 26,429 shares during the period. 33.51% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling at Nelnet

In other Nelnet news, major shareholder Shelby J. Butterfield sold 41,929 shares of the firm's stock in a transaction on Monday, August 25th. The stock was sold at an average price of $119.25, for a total transaction of $5,000,033.25. Following the completion of the sale, the insider owned 510 shares of the company's stock, valued at $60,817.50. This trade represents a 98.80% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Thomas Edward Henning sold 3,102 shares of the firm's stock in a transaction on Friday, September 5th. The stock was sold at an average price of $128.87, for a total value of $399,754.74. The disclosure for this sale can be found here. In the last three months, insiders have sold 50,125 shares of company stock valued at $6,056,252. 50.90% of the stock is owned by insiders.

Nelnet Stock Performance

Shares of Nelnet stock opened at $129.51 on Friday. Nelnet, Inc. has a one year low of $98.15 and a one year high of $136.17. The company has a market cap of $4.68 billion, a price-to-earnings ratio of 14.34 and a beta of 0.84. The company has a debt-to-equity ratio of 2.27, a quick ratio of 29.41 and a current ratio of 29.42. The business's 50 day moving average price is $127.32 and its 200 day moving average price is $119.29.

Nelnet (NYSE:NNI - Get Free Report) last announced its quarterly earnings data on Wednesday, August 6th. The credit services provider reported $5.05 EPS for the quarter, topping analysts' consensus estimates of $1.91 by $3.14. The firm had revenue of $540.61 million for the quarter, compared to the consensus estimate of $376.40 million. Nelnet had a return on equity of 10.09% and a net margin of 14.86%. On average, research analysts predict that Nelnet, Inc. will post 4.52 EPS for the current year.

Nelnet Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, September 16th. Shareholders of record on Tuesday, September 2nd were paid a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 0.9%. This is a positive change from Nelnet's previous quarterly dividend of $0.28. The ex-dividend date of this dividend was Tuesday, September 2nd. Nelnet's payout ratio is 13.29%.

Analyst Upgrades and Downgrades

NNI has been the topic of several research analyst reports. Weiss Ratings reissued a "hold (c+)" rating on shares of Nelnet in a report on Wednesday, October 8th. Wall Street Zen upgraded Nelnet from a "hold" rating to a "strong-buy" rating in a research report on Saturday, August 9th. One equities research analyst has rated the stock with a Hold rating, According to data from MarketBeat, the company currently has a consensus rating of "Hold".

Check Out Our Latest Stock Report on Nelnet

About Nelnet

(Free Report)

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.

Further Reading

Institutional Ownership by Quarter for Nelnet (NYSE:NNI)

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.

Should You Invest $1,000 in Nelnet Right Now?

Before you consider Nelnet, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Nelnet wasn't on the list.

While Nelnet currently has a Hold rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

7 Energy Stocks to Buy and Hold Forever Cover

With the proliferation of data centers and electric vehicles, the electric grid will only get more strained. Download this report to learn how energy stocks can play a role in your portfolio as the global demand for energy continues to grow.

Get This Free Report
Like this article? Share it with a colleague.