Nelnet (NNI) Competitors

Nelnet (NYSE:NNI) and SLM (NASDAQ:SLM) are both mid-cap finance companies, but which is the better business? We will compare the two companies based on the strength of their risk, institutional ownership, media sentiment, profitability, earnings, valuation, dividends, community ranking and analyst recommendations.

Does the MarketBeat Community believe in NNI or SLM?

SLM received 229 more outperform votes than Nelnet when rated by MarketBeat users. Likewise, 69.26% of users gave SLM an outperform vote while only 66.58% of users gave Nelnet an outperform vote.

Company	Underperform	Outperform
Nelnet	Outperform Votes 269 66.58%	Underperform Votes 135 33.42%
SLM	Outperform Votes 498 69.26%	Underperform Votes 221 30.74%

Is NNI or SLM a better dividend stock?

Nelnet pays an annual dividend of $1.12 per share and has a dividend yield of 1.0%. SLM pays an annual dividend of $0.52 per share and has a dividend yield of 1.7%. Nelnet pays out 36.8% of its earnings in the form of a dividend. SLM pays out 19.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. SLM is clearly the better dividend stock, given its higher yield and lower payout ratio.

Which has preferable valuation & earnings, NNI or SLM?

SLM has higher revenue and earnings than Nelnet. SLM is trading at a lower price-to-earnings ratio than Nelnet, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nelnet	$2.06B	1.98	$91.53M	$3.04	37.15
SLM	$2.62B	2.49	$608.33M	$2.65	11.58

Do analysts recommend NNI or SLM?

Nelnet currently has a consensus price target of $98.00, suggesting a potential downside of 13.23%. SLM has a consensus price target of $30.91, suggesting a potential upside of 0.75%. Given SLM's stronger consensus rating and higher possible upside, analysts clearly believe SLM is more favorable than Nelnet.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nelnet	0 Sell rating(s)	1 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	2.00
SLM	0 Sell rating(s)	2 Hold rating(s)	9 Buy rating(s)	0 Strong Buy rating(s)	2.82

Is NNI or SLM more profitable?

SLM has a net margin of 20.73% compared to Nelnet's net margin of 5.54%. SLM's return on equity of 31.66% beat Nelnet's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Nelnet	5.54%	3.78%	0.80%
SLM	20.73%	31.66%	2.08%

Does the media refer more to NNI or SLM?

In the previous week, SLM had 13 more articles in the media than Nelnet. MarketBeat recorded 15 mentions for SLM and 2 mentions for Nelnet. SLM's average media sentiment score of 0.69 beat Nelnet's score of 0.31 indicating that SLM is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Nelnet	0 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
SLM	8 Very Positive mention(s)	3 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do institutionals & insiders believe in NNI or SLM?

33.5% of Nelnet shares are owned by institutional investors. Comparatively, 98.9% of SLM shares are owned by institutional investors. 50.1% of Nelnet shares are owned by insiders. Comparatively, 1.2% of SLM shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Which has more volatility & risk, NNI or SLM?

Nelnet has a beta of 0.91, meaning that its stock price is 9% less volatile than the S&P 500. Comparatively, SLM has a beta of 1.22, meaning that its stock price is 22% more volatile than the S&P 500.

Summary

SLM beats Nelnet on 17 of the 20 factors compared between the two stocks.