Nu Holdings Ltd. (NYSE:NU) Stock Rated "Moderate Buy" by Wall Street Brokerages

Key Points

• Nu Holdings has a “Moderate Buy” consensus among 15 analysts, with nine buy, five hold and one sell rating. The average 12-month price target is $17.94, above the reported share price of $14.89.
• Institutional investors hold 84.02% of NU’s shares, with several hedge funds and financial institutions substantially increasing their positions during the first quarter.
• Insiders sold 386,707 shares worth approximately $6.0 million over the past three months, including sales by CEO Cristina Junqueira and insider Henrique Camossa Sald Fragelli.

Nu Holdings Ltd. (NYSE:NU - Get Free Report) has received a consensus recommendation of "Moderate Buy" from the fifteen brokerages that are presently covering the stock, MarketBeat.com reports. One analyst has rated the stock with a sell recommendation, five have given a hold recommendation and nine have issued a buy recommendation on the company. The average 1-year price target among analysts that have issued ratings on the stock in the last year is $17.94.

NU has been the subject of several recent research reports. Weiss Ratings lowered shares of NU from a "hold (c+)" rating to a "hold (c)" rating in a research report on Friday, August 21st. JPMorgan Chase & Co. raised their target price on shares of NU from $20.00 to $23.00 and gave the company an "overweight" rating in a research note on Tuesday, October 6th. Itau BBA Securities lowered shares of NU from an "outperform" rating to a "market perform" rating and reduced their target price for the company from $20.00 to $18.00 in a report on Wednesday, September 16th. UBS Group lifted their target price on shares of NU from $16.90 to $18.20 and gave the company a "buy" rating in a report on Thursday, August 20th. Finally, Rothschild & Co Redburn set a $19.00 price target on shares of NU in a research report on Monday, September 28th.

Insider Activity

In other NU news, CEO Cristina Junqueira sold 65,000 shares of the firm's stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $14.71, for a total value of $956,150.00. Following the transaction, the chief executive officer directly owned 2,542,083 shares of the company's stock, valued at $37,394,040.93. This trade represents a 2.49% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Henrique Camossa Sald Fragelli sold 221,707 shares of the business's stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $15.81, for a total value of $3,505,187.67. Following the transaction, the insider owned 979,446 shares in the company, valued at approximately $15,485,041.26. This represents a 18.46% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 386,707 shares of company stock worth $6,001,588 over the last three months. 1.20% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On NU

Hedge funds have recently modified their holdings of the stock. Squadra Investments Gestao DE Recursos LTDA. grew its stake in NU by 266.8% in the first quarter. Squadra Investments Gestao DE Recursos LTDA. now owns 22,312,501 shares of the company's stock worth $320,631,000 after purchasing an additional 16,229,515 shares in the last quarter. Bank of Nova Scotia increased its holdings in NU by 855.9% in the first quarter. Bank of Nova Scotia now owns 16,111,616 shares of the company's stock valued at $231,524,000 after buying an additional 14,426,181 shares during the last quarter. Maverick Capital Ltd. raised its stake in NU by 91.6% during the first quarter. Maverick Capital Ltd. now owns 22,444,311 shares of the company's stock valued at $322,525,000 after buying an additional 10,729,747 shares in the last quarter. SG Americas Securities LLC raised its stake in NU by 1,198.4% during the first quarter. SG Americas Securities LLC now owns 7,964,591 shares of the company's stock valued at $114,451,000 after buying an additional 7,351,167 shares in the last quarter. Finally, Hsbc Holdings PLC raised its stake in NU by 444.1% during the first quarter. Hsbc Holdings PLC now owns 7,782,758 shares of the company's stock valued at $111,555,000 after buying an additional 6,352,288 shares in the last quarter. 84.02% of the stock is currently owned by hedge funds and other institutional investors.

NU Stock Down 4.4%

Shares of NYSE:NU opened at $14.89 on Thursday. The stock has a 50-day simple moving average of $14.46 and a 200-day simple moving average of $13.91. The stock has a market capitalization of $72.29 billion, a P/E ratio of 20.12, a PEG ratio of 0.64 and a beta of 0.95. NU has a 1 year low of $11.20 and a 1 year high of $18.98. The company has a debt-to-equity ratio of 0.35, a quick ratio of 0.55 and a current ratio of 0.55.

NU (NYSE:NU - Get Free Report) last posted its quarterly earnings results on Tuesday, June 30th. The company reported $0.22 EPS for the quarter. The firm had revenue of $5.88 billion for the quarter. NU had a net margin of 18.65% and a return on equity of 31.59%. Equities analysts forecast that NU will post 0.86 earnings per share for the current year.

NU Company Profile

Nu Holdings Ltd., operating under the Nubank brand, is a digital financial services company that provides banking and payment products primarily through mobile applications. The company offers digital accounts, credit cards, personal loans, payment services, investment products and insurance, serving consumers and small businesses.

Nubank was founded in 2013 by David Vélez, Cristina Junqueira and Edward Wible with the goal of expanding access to simpler, lower-cost financial services through technology.

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