WallStSmart

Mastercard Inc (MA)vsNelnet Inc (NNI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Mastercard Inc generates 1962% more annual revenue ($33.94B vs $1.65B). MA leads profitability with a 45.9% profit margin vs 25.3%. NNI appears more attractively valued with a PEG of 0.46. MA earns a higher WallStSmart Score of 70/100 (B).

MA

Strong Buy

70

out of 100

Grade: B

Growth: 8.0Profit: 10.0Value: 5.0Quality: 5.5
Piotroski: 6/9Altman Z: 4.08

NNI

Buy

60

out of 100

Grade: C+

Growth: 3.3Profit: 7.0Value: 8.3Quality: 4.8
Piotroski: 7/9Altman Z: 1.13

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MA6 strengths · Avg: 9.7/10
Market CapQuality
$422.07B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
231.6%10/10

Every $100 of equity generates 232 in profit

Profit MarginProfitability
45.9%10/10

Keeps 46 of every $100 in revenue as profit

Operating MarginProfitability
60.8%10/10

Strong operational efficiency at 60.8%

Altman Z-ScoreHealth
4.0810/10

Safe zone — low bankruptcy risk

Revenue GrowthGrowth
15.8%8/10

15.8% revenue growth

NNI5 strengths · Avg: 9.4/10
PEG RatioValuation
0.4610/10

Growing faster than its price suggests

P/E RatioValuation
11.3x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Profit MarginProfitability
25.3%9/10

Keeps 25 of every $100 in revenue as profit

Operating MarginProfitability
21.4%8/10

Strong operational efficiency at 21.4%

Areas to Watch

MA4 concerns · Avg: 2.8/10
PEG RatioValuation
1.584/10

Expensive relative to growth rate

P/E RatioValuation
27.6x4/10

Moderate valuation

Price/BookValuation
64.8x2/10

Trading at 64.8x book value

Debt/EquityHealth
2.821/10

Elevated debt levels

NNI4 concerns · Avg: 1.8/10
Revenue GrowthGrowth
-7.1%2/10

Revenue declined 7.1%

EPS GrowthGrowth
-12.9%2/10

Earnings declined 12.9%

Altman Z-ScoreHealth
1.132/10

Distress zone — elevated risk

Debt/EquityHealth
2.061/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : MA

The strongest argument for MA centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 45.9% and operating margin at 60.8%. Revenue growth of 15.8% demonstrates continued momentum.

Bull Case : NNI

The strongest argument for NNI centers on PEG Ratio, P/E Ratio, Price/Book. Profitability is solid with margins at 25.3% and operating margin at 21.4%. PEG of 0.46 suggests the stock is reasonably priced for its growth.

Bear Case : MA

The primary concerns for MA are PEG Ratio, P/E Ratio, Price/Book. Debt-to-equity of 2.82 is elevated, increasing financial risk.

Bear Case : NNI

The primary concerns for NNI are Revenue Growth, EPS Growth, Altman Z-Score. Debt-to-equity of 2.06 is elevated, increasing financial risk.

Key Dynamics to Monitor

MA profiles as a growth stock while NNI is a declining play — different risk/reward profiles.

NNI carries more volatility with a beta of 0.79 — expect wider price swings.

MA is growing revenue faster at 15.8% — sustainability is the question.

MA generates stronger free cash flow (2.8B), providing more financial flexibility.

Bottom Line

MA scores higher overall (70/100 vs 60/100), backed by strong 45.9% margins and 15.8% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Mastercard Inc

FINANCIAL SERVICES · CREDIT SERVICES · USA

Mastercard Incorporated is an American multinational financial services corporation headquartered in the Mastercard International Global Headquarters in Purchase, New York. The Global Operations Headquarters is located in O'Fallon, Missouri, a municipality of St. Charles County, Missouri. Throughout the world, its principal business is to process payments between the banks of merchants and the card-issuing banks or credit unions of the purchasers who use the Mastercard brand debit, credit and prepaid cards to make purchases. Mastercard Worldwide has been a publicly traded company since 2006.

Visit Website →

Nelnet Inc

FINANCIAL SERVICES · CREDIT SERVICES · USA

Nelnet, Inc. is engaged in the loan management, communications and educational technology, services and payment processing businesses globally. The company is headquartered in Lincoln, Nebraska.

Visit Website →

Want to dig deeper into these stocks?