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Effective Interest Rate on Debt % is the usage rate that a borrower actually pays on a debt. It is calculated as the positive value of Interest Expense divided by its average total debt. Total debt equals to Long-Term Debt & Capital Lease Obligation plus Short-Term Debt & Capital Lease Obligation. Nelnet's annualized positive value of Interest Expense for the quarter that ended in Jun. 2026 was $436 Mil. Nelnet's average total debt for the quarter that ended in Jun. 2026 was $7,371 Mil. Therefore, Nelnet's annualized Effective Interest Rate on Debt % for the quarter that ended in Jun. 2026 was 5.91%.
Nelnet (NYSE:NNI) Effective Interest Rate on Debt % Explanation
Effective Interest Rate on Debt % measures the usage rate that a borrower actually pays on a debt.
Nelnet Effective Interest Rate on Debt % Related Terms
Nelnet Effective Interest Rate on Debt % Historical Data
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The historical data trend for Nelnet's Effective Interest Rate on Debt % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
NNI vs SLM, SEZL, BFH: Effective Interest Rate on Debt % Comparison
For the Credit Services subindustry, Nelnet's Effective Interest Rate on Debt %, along with its competitors' market caps and Effective Interest Rate on Debt % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Nelnet Effective Interest Rate on Debt % vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Nelnet's Effective Interest Rate on Debt % distribution charts can be found below:
* The bar in red indicates where Nelnet's Effective Interest Rate on Debt % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Effective Interest Rate on Debt %, the Interest Expense of the last fiscal year and the average total debt over the fiscal year are used. In calculating the quarterly data,
the Interest Expense data used here is four times the quarterly (Jun. 2026) interest expense data.
Effective Interest Rate on Debt % is displayed in the 30-year financial page.
What does a Effective Interest Rate on Debt % of 5.91% mean?
Nelnet (NNI) has a Effective Interest Rate on Debt % of 5.91% as of Jun. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Nelnet and its competitors.
Is Nelnet's Effective Interest Rate on Debt % too high?
Nelnet's current Effective Interest Rate on Debt % is 5.91%. Overall, Nelnet has a GF Score™ of 66/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Nelnet's Effective Interest Rate on Debt % compare to SLM and SEZL?
Nelnet's Effective Interest Rate on Debt % of 5.91% can be compared against companies in the Credit Services industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Effective Interest Rate on Debt % for a Credit Services company?
A good Effective Interest Rate on Debt % depends on the Credit Services industry context. However, Effective Interest Rate on Debt % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Effective Interest Rate on Debt % mean?
A high Effective Interest Rate on Debt % can signal that a stock is expensive relative to its fundamentals. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Nelnet and its competitors. Nelnet's current Effective Interest Rate on Debt % is 5.91%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nelnet stock overvalued right now?
Based on GuruFocus' analysis, Nelnet (NNI) is currently considered Fairly Valued. The stock's GF Value™ is $142.39, compared to a current price of $131.46 — trading 7.7% below its estimated fair value. The current Effective Interest Rate on Debt % is 5.91%. Nelnet's overall GF Score™ is 66/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Effective Interest Rate on Debt % calculated?
Effective Interest Rate on Debt % is calculated from a company's financial statements. For Nelnet (NNI), the current Effective Interest Rate on Debt % is 5.91% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Nelnet (NNI) Overvalued in 2026?
Based on GuruFocus' analysis, Nelnet stock appears to be undervalued.
The current stock price of $131.46 is trading 7.7% below its estimated GF Value™ of $142.39.
GuruFocus considers Nelnet to be Fairly Valued.
Key valuation signals for NNI:
Effective Interest Rate on Debt %: 5.91%
GF Value™: $142.39 vs. price of $131.46 (7.7% below fair value)
No single metric tells the full story. See the NNI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nelnet Inc is a United States based company engaged in these four reportable segments; Loan Servicing and Systems, which focuses on student and consumer loan origination services and servicing, loan origination and servicing-related technology solutions, and outsourcing business services; Education Technology Services and Payments segment provides education services, payment technology, and community management solutions for K-12 schools, institutions, churches, and businesses; Asset Generation and Management segment includes the acquisition and management of student and other loan assets; and Nelnet Bank focuses on the private education and unsecured consumer loan markets. Maximum revenue for the company is generated from its Asset Generation and Management.
66GF Score
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