Carrhae Capital LLP Takes $82.73 Million Position in Nu Holdings Ltd. $NU

Key Points

• Carrhae Capital LLP opened a new position in Nu Holdings during the fourth quarter, buying 4.94 million shares worth about $82.7 million. The stake represents roughly 3.1% of Carrhae’s portfolio and 0.10% of NU’s shares outstanding.
• Institutional ownership remains very high, with hedge funds and other institutional investors holding 84.02% of NU stock. Several funds increased or initiated positions in the latest filings, showing continued institutional interest.
• NU reported quarterly earnings of $0.19 per share, slightly below expectations, while revenue came in at $5.32 billion, above estimates. Analysts currently have a Moderate Buy consensus with an average price target of $18.39.

Carrhae Capital LLP bought a new position in Nu Holdings Ltd. (NYSE:NU - Free Report) in the fourth quarter, according to the company in its most recent 13F filing with the SEC. The fund bought 4,942,239 shares of the company's stock, valued at approximately $82,733,000. NU comprises approximately 3.1% of Carrhae Capital LLP's holdings, making the stock its 8th biggest holding. Carrhae Capital LLP owned 0.10% of NU as of its most recent filing with the SEC.

Several other hedge funds and other institutional investors have also bought and sold shares of the company. LOM Asset Management Ltd purchased a new position in shares of NU during the fourth quarter worth approximately $25,000. Cornerstone Planning Group LLC boosted its stake in shares of NU by 5,448.3% in the 4th quarter. Cornerstone Planning Group LLC now owns 1,609 shares of the company's stock valued at $27,000 after purchasing an additional 1,580 shares in the last quarter. Jordan Park Group LLC boosted its stake in shares of NU by 129.3% in the 3rd quarter. Jordan Park Group LLC now owns 1,958,842 shares of the company's stock valued at $31,000 after purchasing an additional 1,104,421 shares in the last quarter. Morse Asset Management Inc bought a new position in shares of NU during the 4th quarter valued at $31,000. Finally, Fifth Third Bancorp grew its holdings in shares of NU by 433.0% during the 4th quarter. Fifth Third Bancorp now owns 1,988 shares of the company's stock valued at $33,000 after purchasing an additional 1,615 shares during the last quarter. Hedge funds and other institutional investors own 84.02% of the company's stock.

Analysts Set New Price Targets

Several analysts have weighed in on the stock. Bank of America reissued a "neutral" rating on shares of NU in a research note on Monday, March 9th. Itau BBA Securities reaffirmed an "outperform" rating on shares of NU in a research note on Tuesday, March 17th. Weiss Ratings downgraded NU from a "buy (b-)" rating to a "hold (c+)" rating in a report on Wednesday, May 13th. Susquehanna boosted their target price on NU from $19.00 to $22.00 and gave the company a "positive" rating in a research note on Tuesday, January 27th. Finally, UBS Group dropped their target price on NU from $18.10 to $16.90 and set a "buy" rating for the company in a report on Wednesday. Eleven investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $18.39.

NU Stock Down 3.2%

Shares of NYSE:NU opened at $12.74 on Friday. Nu Holdings Ltd. has a 1 year low of $11.71 and a 1 year high of $18.98. The company has a market cap of $61.84 billion, a PE ratio of 19.59, a P/E/G ratio of 0.53 and a beta of 1.01. The company has a debt-to-equity ratio of 0.36, a current ratio of 0.58 and a quick ratio of 0.58. The stock's 50-day moving average is $14.11 and its 200 day moving average is $15.77.

NU (NYSE:NU - Get Free Report) last released its quarterly earnings results on Friday, May 15th. The company reported $0.19 EPS for the quarter, missing analysts' consensus estimates of $0.20 by ($0.01). The business had revenue of $5.32 billion for the quarter, compared to the consensus estimate of $5.06 billion. NU had a net margin of 18.20% and a return on equity of 30.91%. Sell-side analysts anticipate that Nu Holdings Ltd. will post 0.84 EPS for the current year.

Insider Buying and Selling

In other NU news, CEO Cristina Helena Zing Junqueira sold 300,000 shares of the business's stock in a transaction on Monday, March 23rd. The shares were sold at an average price of $14.81, for a total transaction of $4,443,000.00. Following the transaction, the chief executive officer directly owned 2,312,338 shares of the company's stock, valued at approximately $34,245,725.78. The trade was a 11.48% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Anita M. Sands sold 21,000 shares of the company's stock in a transaction on Friday, May 15th. The stock was sold at an average price of $12.24, for a total transaction of $257,040.00. Following the completion of the transaction, the director owned 162,150 shares of the company's stock, valued at $1,984,716. This trade represents a 11.47% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 1.20% of the stock is owned by corporate insiders.

About NU

Nu Holdings Ltd NYSE: NU, commonly known by its consumer brand Nubank, is a Latin American financial technology company that provides digital banking and financial services through a mobile-first platform. The company’s core offerings include no-fee digital checking accounts, credit cards, personal loans, payments and transfers, and a range of savings and investment products. Nubank emphasizes a streamlined customer experience delivered via its smartphone app, combined with data-driven underwriting and automated customer service tools.

Founded in 2013 by David Vélez, Cristina Junqueira and Edward Wible, Nu grew rapidly by targeting underbanked and digitally savvy consumers in Latin America with low-fee, transparent products.

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