Nu Holdings Ltd.

DB:M1Z Stock Report

Market Cap: €61.1b

Nu Holdings Valuation

Is M1Z undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of M1Z when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: M1Z (€12.95) is trading above our estimate of fair value (€11.77)

Significantly Below Fair Value: M1Z is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for M1Z?

Key metric: As M1Z is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for M1Z. This is calculated by dividing M1Z's market cap by their current earnings.
What is M1Z's PE Ratio?
PE Ratio36.2x
EarningsUS$1.78b
Market CapUS$64.02b

Price to Earnings Ratio vs Peers

How does M1Z's PE Ratio compare to its peers?

The above table shows the PE ratio for M1Z vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average13x
CBK Commerzbank
8.7x8.8%€18.5b
PCZ ProCredit Holding
4.3x9.9%€461.8m
FCNC.A First Citizens BancShares
12.9x-8.2%US$31.2b
QNBTR QNB Bank
26.2xn/a₺936.3b
M1Z Nu Holdings
36.2x29.0%€64.0b

Price-To-Earnings vs Peers: M1Z is expensive based on its Price-To-Earnings Ratio (36.2x) compared to the peer average (13x).

Price to Earnings Ratio vs Industry

How does M1Z's PE Ratio compare vs other companies in the European Banks Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
M1Z 36.2xIndustry Avg. 7.3xNo. of Companies45PE0612182430+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: M1Z is expensive based on its Price-To-Earnings Ratio (36.2x) compared to the European Banks industry average (7.3x).

Price to Earnings Ratio vs Fair Ratio

What is M1Z's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

M1Z PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio36.2x
Fair PE Ratio17.7x

Price-To-Earnings vs Fair Ratio: M1Z is expensive based on its Price-To-Earnings Ratio (36.2x) compared to the estimated Fair Price-To-Earnings Ratio (17.7x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst M1Z forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€12.95
€15.05
+16.3%
16.0%€17.94€7.55n/a20
Nov ’25€13.28
€13.90
+4.7%
15.1%€17.09€7.39n/a20
Oct ’25€12.16
€13.36
+9.9%
15.5%€16.55€7.16n/a20
Sep ’25€13.30
€12.96
-2.5%
16.5%€16.29€7.24n/a19
Aug ’25€10.64
€12.56
+18.1%
14.9%€15.62€7.35n/a19
Jul ’25€11.55
€12.19
+5.6%
15.6%€14.98€7.49n/a19
Jun ’25€11.05
€11.48
+3.9%
16.9%€14.74€7.37n/a17
May ’25€10.30
€11.77
+14.3%
13.9%€15.02€7.98n/a17
Apr ’25€11.05
€11.07
+0.2%
18.7%€14.90€5.59n/a17
Mar ’25€10.26
€10.62
+3.5%
19.3%€14.76€5.54n/a17
Feb ’25€8.20
€9.66
+17.9%
19.2%€14.72€5.52n/a17
Jan ’25€7.54
€9.34
+23.9%
20.2%€14.86€5.57n/a17
Dec ’24€7.37
€9.11
+23.7%
20.4%€14.58€5.47n/a17
Nov ’24€7.85
€8.97
+14.2%
25.0%€15.07€3.77€13.2817
Oct ’24€6.82
€8.06
+18.2%
23.3%€10.41€3.78€12.1616
Sep ’24€6.29
€7.76
+23.3%
23.9%€10.14€3.69€13.3016
Aug ’24€7.08
€7.44
+5.1%
27.8%€11.22€3.62€10.6417
Jul ’24€7.12
€7.36
+3.4%
27.7%€11.37€3.67€11.5517
Jun ’24€6.15
€7.04
+14.6%
32.5%€11.47€2.77€11.0517
May ’24€4.59
€6.40
+39.3%
35.2%€11.39€2.73€10.3018
Apr ’24€4.38
€6.60
+50.7%
34.1%€11.76€2.82€11.0518
Mar ’24€4.48
€6.62
+47.8%
34.7%€11.72€2.81€10.2618
Feb ’24€4.20
€6.21
+47.8%
40.7%€11.41€2.76€8.2018
Jan ’24€3.86
€6.49
+68.1%
38.5%€11.61€2.81€7.5418
Dec ’23€4.18
€6.73
+61.0%
37.8%€11.91€3.17€7.3719
Nov ’23€5.25
€7.24
+37.9%
41.3%€12.70€3.35€7.8517

Analyst Forecast: Target price is less than 20% higher than the current share price.

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