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LMND vs NNI

LMND
Lemonade, Inc.
BEARISH
Price
$65.77
Market Cap
$5.05B
Sector
Financial Services
AI Confidence
85%
NNI
Nelnet, Inc.
NEUTRAL
Price
$141.70
Market Cap
$5.1B
Sector
Financial Services
AI Confidence
85%

Valuation

P/E Ratio
LMND
--
NNI
12.03
Forward P/E
LMND
-182.69
NNI
14.17
P/B Ratio
LMND
9.36
NNI
1.38
P/S Ratio
LMND
6.85
NNI
3.05
EV/EBITDA
LMND
-39.56
NNI
--

Profitability

Gross Margin
LMND
52.98%
NNI
86.47%
Operating Margin
LMND
-3.5%
NNI
17.74%
Profit Margin
LMND
-22.43%
NNI
25.61%
ROE
LMND
-29.37%
NNI
11.59%
ROA
LMND
-4.53%
NNI
2.86%

Growth

Revenue Growth
LMND
53.5%
NNI
-8.6%
Earnings Growth
LMND
--
NNI
-7.6%

Financial Health

Debt/Equity
LMND
0.34
NNI
2.18
Current Ratio
LMND
1.0
NNI
5.33
Quick Ratio
LMND
0.71
NNI
5.02

Dividends

Dividend Yield
LMND
--
NNI
0.88%
Payout Ratio
LMND
0.0%
NNI
10.09%

AI Verdict

LMND BEARISH

Lemonade exhibits critical financial weakness with a Piotroski F-Score of 1/9, indicating severe instability in fundamental health. While the company demonstrates impressive top-line revenue growth of 53.5%, it remains deeply unprofitable with a negative ROE of -29.37% and a negative profit margin. Insider sentiment is strongly bearish, characterized by significant selling from the CEO and CFO with zero buying activity. The current valuation represents a massive premium over book value (P/B 9.36), making the stock a high-risk speculative play despite recent price momentum.

Strengths
Exceptional YoY revenue growth of 53.50%
Consistent track record of beating earnings estimates (3/4 last 4 quarters)
Relatively low Debt/Equity ratio of 0.34
Risks
Severe fundamental instability as evidenced by a Piotroski F-Score of 1/9
Persistent net losses and negative ROE (-29.37%)
Aggressive insider selling totaling $22.39M with no offsetting buys
NNI NEUTRAL

NNI presents a conflicting profile: while the Graham Number ($165.02) suggests defensive value, the Piotroski F-Score of 3/9 indicates weak financial health and deteriorating fundamentals. The stock trades at a low P/E of 12.03 and a very attractive PEG of 0.46, yet it is significantly overpriced relative to its growth-based intrinsic value of $82.46. Negative year-over-year revenue and earnings growth, combined with a bearish technical trend and insider selling, offset the strong liquidity provided by a current ratio of 5.33.

Strengths
Low P/E ratio (12.03) relative to the financial services sector average
Very strong short-term liquidity with a current ratio of 5.33
High gross margins (86.47%) and healthy profit margins (25.61%)
Risks
Weak financial health as indicated by a Piotroski F-Score of 3/9
Negative year-over-year revenue (-8.60%) and earnings (-7.60%) growth
High Debt/Equity ratio (2.18) compared to the sector average of 1.30

Compare Another Pair

LMND vs NNI: Head-to-Head Comparison

This page compares Lemonade, Inc. (LMND) and Nelnet, Inc. (NNI) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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