NU Stock Overview
Nu Holdings Ltd. operates as a digital financial services platform and technology company primarily in Brazil, Mexico, and Colombia.
Nu Holdings Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$3.81|
|52 Week High||US$12.24|
|52 Week Low||US$3.32|
|1 Month Change||-42.96%|
|3 Month Change||-61.32%|
|1 Year Change||n/a|
|3 Year Change||n/a|
|5 Year Change||n/a|
|Change since IPO||-63.12%|
Recent News & Updates
Nu Holdings: Digital Bank On Its Way To Disrupt LATAM Banking Sector
LATAM banking sector has all characteristics for disruption. Business model build on customer-centric approach and simplicity. Favorable unit economics enable high profitability going forward.
Nu Holdings: Strong Buy For Long-Term Compounder With 70% Upside
Nu Holdings has a large addressable market in Latin America that is underserved or unserved by traditional banks. Nu Holdings has an enviable position of strong customer growth fueled by a high engagement rate and low customer acquisition cost. Nu Holdings is one of the rare high-growth fintech companies with the ability and visibility to turn profitable in the nearer term as it continues to scale up. Nu Holdings continues to deliver strong asset quality even as it sees strong growth in its credit portfolio. My target price of Nu Holdings is $12, implying a 70% upside potential to current prices.
Nu Holdings (NYSE:NU) is Disrupting Banking in Latin America, but the Valuation may be Concerning
Nu Holdings Ltd. (NYSE:NU) is one of the newer stocks added to Warren Buffett's portfolio since the company went public last year. Investors tracking his performance are interested in the qualities of this company, and that is what we will review today.
|NU||US Banks||US Market|
Return vs Industry: Insufficient data to determine how NU performed against the US Banks industry.
Return vs Market: Insufficient data to determine how NU performed against the US Market.
|NU Average Weekly Movement||15.3%|
|Banks Industry Average Movement||4.0%|
|Market Average Movement||7.8%|
|10% most volatile stocks in US Market||16.8%|
|10% least volatile stocks in US Market||2.9%|
Stable Share Price: NU is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 15% a week.
Volatility Over Time: Insufficient data to determine NU's volatility change over the past year.
About the Company
Nu Holdings Ltd. operates as a digital financial services platform and technology company primarily in Brazil, Mexico, and Colombia. It offers Nu credit and debit cards; Ultraviolet credit and debit cards; and mobile payment solutions for NuAccount customers to make and receive transfers, pay bills, and make everyday purchases through their mobile phones. The company provides savings solutions, such as Nu Personal Accounts, a digital account solution that supports all personal finance activities, from daily purchases and money transfers to savings; and Nu business accounts designed specifically for entrepreneur customers and their businesses.
Nu Holdings Fundamentals Summary
|NU fundamental statistics|
Is NU overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|NU income statement (TTM)|
|Cost of Revenue||US$0|
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
|Earnings per share (EPS)||-0.034|
|Net Profit Margin||-15.49%|
How did NU perform over the long term?See historical performance and comparison
Is Nu Holdings undervalued compared to its fair value and its price relative to the market?
Valuation Score 0/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PB vs Industry
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: NU ($3.81) is trading above our estimate of fair value ($1.38)
Significantly Below Fair Value: NU is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: NU is unprofitable, so we can't compare its PE Ratio to the US Banks industry average.
PE vs Market: NU is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate NU's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: NU is overvalued based on its PB Ratio (3.7x) compared to the US Banks industry average (1.1x).
How is Nu Holdings forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
Future Growth Score5/6
Future Growth Score 5/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NU is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).
Earnings vs Market: NU is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: NU's is expected to become profitable in the next 3 years.
Revenue vs Market: NU's revenue (34% per year) is forecast to grow faster than the US market (7.8% per year).
High Growth Revenue: NU's revenue (34% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NU's Return on Equity is forecast to be low in 3 years time (19.8%).
How has Nu Holdings performed over the past 5 years?
Past Performance Score0/6
Past Performance Score 0/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NU is currently unprofitable.
Growing Profit Margin: NU is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: NU is unprofitable, and losses have increased over the past 5 years at a rate of 31.9% per year.
Accelerating Growth: Unable to compare NU's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: NU is unprofitable, making it difficult to compare its past year earnings growth to the Banks industry (20.9%).
Return on Equity
High ROE: NU has a negative Return on Equity (-3.36%), as it is currently unprofitable.
How is Nu Holdings's financial position? (This company is analysed differently as a bank or financial institution)
Financial Health Score1/6
Financial Health Score 1/6
Allowance for Bad Loans
Low Risk Liabilities
Low Risk Deposits
Level of Bad Loans
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: NU's Assets to Equity ratio (5.1x) is low.
Allowance for Bad Loans: Insufficient data to determine if NU has a sufficient allowance for bad loans.
Low Risk Liabilities: NU reports no customer deposits, 100% of its liabilities are made up of higher risk sources of funding.
Loan Level: Insufficient data to determine if NU has an appropriate level of Loans to Assets ratio.
Low Risk Deposits: NU reports no customer deposits, loans are made up entirely of externally borrowed funds.
Level of Bad Loans: Insufficient data to determine if NU has an appropriate level of bad loans.
What is Nu Holdings's current dividend yield, its reliability and sustainability?
Dividend Score 0/6
Future Dividend Coverage
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate NU's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate NU's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if NU's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if NU's dividend payments have been increasing.
Current Payout to Shareholders
Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of NU's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Discover strong dividend paying companies
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mr. David Velez- Osorno is the Founder of Eo2 Solucoes De Pagamento S.A. Mr. Velez- Osorno was a Partner at Sequoia Capital. Mr. Velez- Osorno has been Global Chief Executive Officer at Nu Pagamentos S.A....
Experienced Management: NU's management team is considered experienced (2.3 years average tenure).
Experienced Board: NU's board of directors are not considered experienced ( 1.1 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: NU only recently listed within the past 12 months.
Nu Holdings Ltd.'s employee growth, exchange listings and data sources
- Name: Nu Holdings Ltd.
- Ticker: NU
- Exchange: NYSE
- Founded: 2013
- Industry: Diversified Banks
- Sector: Banks
- Implied Market Cap: US$17.767b
- Shares outstanding: 4.66b
- Website: https://www.nubank.com.br
Number of Employees
- Nu Holdings Ltd.
- Rua Capote Valente, 39
- São Paulo
- São Paulo
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/05/22 00:00|
|End of Day Share Price||2022/05/20 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.