Nu Holdings Ltd. $NU Shares Acquired by Empowered Funds LLC

Key Points

• Empowered Funds increased its NU stake by 28.1% in the first quarter, adding 90,861 shares to reach 414,075 shares valued at approximately $5.95 million. Institutional investors and hedge funds collectively own 84.02% of the company.
• Nu Holdings reported record second-quarter results: net income surpassed $1 billion, revenue rose 39% year over year to about $5.88 billion, and adjusted EPS of $0.22 exceeded analyst expectations.
• Analyst sentiment remains moderately bullish, with Needham raising its price target to $19 and the stock carrying an average target of $17.66, though some firms maintain neutral or underperform ratings.

Empowered Funds LLC lifted its stake in Nu Holdings Ltd. (NYSE:NU - Free Report) by 28.1% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 414,075 shares of the company's stock after purchasing an additional 90,861 shares during the period. Empowered Funds LLC's holdings in NU were worth $5,950,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. Caitong International Asset Management Co. Ltd raised its position in NU by 14,810.0% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,491 shares of the company's stock valued at $25,000 after purchasing an additional 1,481 shares in the last quarter. Zions Bancorporation National Association UT acquired a new position in shares of NU during the fourth quarter worth about $27,000. Cornerstone Planning Group LLC increased its stake in shares of NU by 5,448.3% during the fourth quarter. Cornerstone Planning Group LLC now owns 1,609 shares of the company's stock worth $27,000 after buying an additional 1,580 shares during the period. Morse Asset Management Inc purchased a new stake in shares of NU during the fourth quarter worth approximately $31,000. Finally, Fifth Third Bancorp raised its holdings in NU by 433.0% in the fourth quarter. Fifth Third Bancorp now owns 1,988 shares of the company's stock valued at $33,000 after acquiring an additional 1,615 shares in the last quarter. 84.02% of the stock is owned by institutional investors and hedge funds.

NU News Roundup

Here are the key news stories impacting NU this week:

• Positive Sentiment: Record profitability: Second-quarter net income exceeded $1 billion, up 49% year over year, while revenue rose 39% to approximately $5.9 billion. Adjusted earnings of $0.22 per share surpassed the $0.20 consensus estimate, and revenue also topped expectations. Nubank quarterly net profit beats estimates
• Positive Sentiment: Strong operating metrics: NU’s customer base reached 139 million, activity rates improved and monthly revenue per active customer increased 22% year over year. Risk-adjusted profit margin reached a record 12.4%, supported by credit growth, risk controls and low costs per customer. Nu Holdings Q2 analysis
• Positive Sentiment: Growth outlook remains favorable: Management said margins could remain near current levels as artificial intelligence improves efficiency, credit performance remains resilient and the company expands its banking operation in Mexico. NU Q2 earnings call focuses on margins, AI and Mexico
• Positive Sentiment: Analyst and trading support: Needham raised its price target from $17 to $19 and maintained a Buy rating. Unusually heavy call-option activity also indicates increased bullish positioning, although it may add short-term volatility. Needham raises NU price target

NU Stock Up 0.1%

Shares of NYSE:NU opened at $15.25 on Monday. The company has a market capitalization of $74.03 billion, a PE ratio of 20.60, a P/E/G ratio of 0.61 and a beta of 0.94. The company has a current ratio of 0.55, a quick ratio of 0.55 and a debt-to-equity ratio of 0.35. Nu Holdings Ltd. has a twelve month low of $11.20 and a twelve month high of $18.98. The firm has a 50 day simple moving average of $13.51 and a 200-day simple moving average of $14.35.

NU (NYSE:NU - Get Free Report) last issued its earnings results on Tuesday, June 30th. The company reported $0.22 earnings per share (EPS) for the quarter. NU had a net margin of 18.65% and a return on equity of 31.59%. The business had revenue of $5.88 billion during the quarter. On average, equities analysts predict that Nu Holdings Ltd. will post 0.83 EPS for the current fiscal year.

NU declared that its Board of Directors has initiated a stock repurchase program on Thursday, June 4th that permits the company to buyback $0.00 in outstanding shares. This buyback authorization permits the company to reacquire shares of its stock through open market purchases. Shares buyback programs are typically an indication that the company's board believes its stock is undervalued.

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on the stock. Needham & Company LLC lifted their price target on shares of NU from $17.00 to $19.00 and gave the stock a "buy" rating in a research note on Friday. Scotiabank lowered shares of NU to a "sector perform" rating and set a $13.00 price objective on the stock. in a report on Wednesday, June 3rd. Weiss Ratings restated a "hold (c+)" rating on shares of NU in a report on Friday, August 7th. Bank of America reaffirmed an "underperform" rating on shares of NU in a research report on Tuesday, June 2nd. Finally, Susquehanna boosted their target price on shares of NU from $13.00 to $16.00 and gave the stock a "neutral" rating in a research note on Friday. Ten equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, NU currently has an average rating of "Moderate Buy" and an average target price of $17.66.

NU Profile

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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