Vestcor Inc Sells 4,441 Shares of Nelnet, Inc. (NYSE:NNI)

Key Points

• Vestcor Inc has reduced its stake in Nelnet, Inc. by 53.1%, holding 3,920 shares worth approximately $435,000 after selling 4,441 shares during the first quarter.
• Nelnet recently reported earnings per share of $2.39, surpassing analysts' expectations of $1.92, along with a revenue of $398.49 million exceeding estimates.
• The company has approved a stock repurchase plan to buy back 5 million outstanding shares, indicating management's belief that the stock is undervalued.

Vestcor Inc reduced its stake in Nelnet, Inc. (NYSE:NNI - Free Report) by 53.1% during the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 3,920 shares of the credit services provider's stock after selling 4,441 shares during the period. Vestcor Inc's holdings in Nelnet were worth $435,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also made changes to their positions in the company. D.A. Davidson & CO. lifted its holdings in Nelnet by 15.5% during the first quarter. D.A. Davidson & CO. now owns 20,347 shares of the credit services provider's stock worth $2,257,000 after acquiring an additional 2,728 shares in the last quarter. Two Sigma Investments LP bought a new position in Nelnet during the fourth quarter worth about $417,000. QRG Capital Management Inc. lifted its holdings in Nelnet by 14.0% during the first quarter. QRG Capital Management Inc. now owns 5,530 shares of the credit services provider's stock worth $613,000 after acquiring an additional 678 shares in the last quarter. Blue Trust Inc. lifted its holdings in Nelnet by 292.1% during the first quarter. Blue Trust Inc. now owns 698 shares of the credit services provider's stock worth $77,000 after acquiring an additional 520 shares in the last quarter. Finally, Millennium Management LLC acquired a new stake in shares of Nelnet in the 4th quarter valued at about $369,000. 33.51% of the stock is currently owned by institutional investors.

Nelnet Stock Down 0.2%

Shares of NNI traded down $0.19 during midday trading on Tuesday, hitting $124.64. The stock had a trading volume of 66,983 shares, compared to its average volume of 96,437. The company has a 50 day simple moving average of $119.44 and a two-hundred day simple moving average of $114.11. Nelnet, Inc. has a twelve month low of $98.15 and a twelve month high of $127.32. The firm has a market cap of $4.52 billion, a price-to-earnings ratio of 23.56 and a beta of 0.90. The company has a debt-to-equity ratio of 2.57, a current ratio of 34.08 and a quick ratio of 34.08.

Nelnet (NYSE:NNI - Get Free Report) last released its quarterly earnings results on Thursday, May 8th. The credit services provider reported $2.39 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.92 by $0.47. The firm had revenue of $398.49 million for the quarter, compared to the consensus estimate of $393.00 million. Nelnet had a return on equity of 6.00% and a net margin of 9.44%. On average, analysts anticipate that Nelnet, Inc. will post 4.52 EPS for the current year.

Nelnet declared that its Board of Directors has approved a stock buyback program on Thursday, May 8th that allows the company to buyback 5,000,000 shares. This buyback authorization allows the credit services provider to repurchase shares of its stock through open market purchases. Stock buyback programs are often a sign that the company's management believes its stock is undervalued.

Nelnet Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Monday, June 16th. Stockholders of record on Monday, June 2nd were paid a dividend of $0.28 per share. This represents a $1.12 annualized dividend and a dividend yield of 0.9%. The ex-dividend date was Monday, June 2nd. Nelnet's payout ratio is currently 21.17%.

Nelnet Profile

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.