Nelnet, Inc. (NYSE:NNI) Sees Large Increase in Short Interest

Nelnet, Inc. (NYSE:NNI - Get Free Report) was the recipient of a large increase in short interest in May. As of May 15th, there was short interest totalling 393,400 shares, an increase of 30.8% from the April 30th total of 300,800 shares. Based on an average daily volume of 63,500 shares, the short-interest ratio is presently 6.2 days. Approximately 2.4% of the company's shares are sold short.

Wall Street Analyst Weigh In

Separately, Wall Street Zen raised Nelnet from a "hold" rating to a "buy" rating in a research report on Tuesday, March 4th.

Nelnet Stock Down 1.9%

NNI stock traded down $2.25 during midday trading on Wednesday, reaching $113.88. The company had a trading volume of 101,429 shares, compared to its average volume of 59,526. The company has a 50 day moving average of $109.88 and a two-hundred day moving average of $110.16. The company has a current ratio of 31.47, a quick ratio of 31.47 and a debt-to-equity ratio of 2.78. Nelnet has a 1 year low of $97.13 and a 1 year high of $127.32. The company has a market capitalization of $4.13 billion, a P/E ratio of 37.46 and a beta of 0.93.

Nelnet (NYSE:NNI - Get Free Report) last announced its quarterly earnings results on Thursday, May 8th. The credit services provider reported $2.39 EPS for the quarter, topping the consensus estimate of $1.92 by $0.47. The company had revenue of $398.49 million for the quarter, compared to analyst estimates of $393.00 million. Nelnet had a net margin of 5.54% and a return on equity of 3.78%. On average, equities research analysts expect that Nelnet will post 4.52 earnings per share for the current fiscal year.

Nelnet announced that its Board of Directors has initiated a stock repurchase program on Thursday, May 8th that authorizes the company to repurchase 5,000,000 outstanding shares. This repurchase authorization authorizes the credit services provider to buy shares of its stock through open market purchases. Stock repurchase programs are usually an indication that the company's management believes its stock is undervalued.

Nelnet Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, June 16th. Investors of record on Monday, June 2nd will be issued a $0.28 dividend. The ex-dividend date is Monday, June 2nd. This represents a $1.12 annualized dividend and a yield of 0.98%. Nelnet's dividend payout ratio (DPR) is presently 21.17%.

Hedge Funds Weigh In On Nelnet

Institutional investors and hedge funds have recently bought and sold shares of the stock. KBC Group NV bought a new position in Nelnet in the first quarter worth $32,000. Blue Trust Inc. raised its stake in shares of Nelnet by 1,293.1% in the 4th quarter. Blue Trust Inc. now owns 404 shares of the credit services provider's stock valued at $46,000 after buying an additional 375 shares in the last quarter. Sterling Capital Management LLC lifted its holdings in shares of Nelnet by 796.0% during the 4th quarter. Sterling Capital Management LLC now owns 448 shares of the credit services provider's stock worth $48,000 after acquiring an additional 398 shares during the period. Russell Investments Group Ltd. boosted its position in shares of Nelnet by 576.5% during the 1st quarter. Russell Investments Group Ltd. now owns 460 shares of the credit services provider's stock valued at $51,000 after acquiring an additional 392 shares in the last quarter. Finally, SVB Wealth LLC bought a new stake in Nelnet in the first quarter valued at about $58,000. Institutional investors own 33.51% of the company's stock.

Nelnet Company 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.