Nu Holdings Ltd. (NYSE:NU) Given Average Recommendation of "Moderate Buy" by Analysts

Key Points

• Nu Holdings has an average analyst rating of “Moderate Buy”, with 11 buy ratings and 3 hold ratings among 14 firms covering the stock. The average 12-month price target is $18.46.
• The company recently reported earnings that missed EPS estimates by $0.01, even though revenue came in above expectations at $5.32 billion. The quarter also showed strong profitability, with return on equity of 32.46% and net margin of 18.20%.
• Investor attention is also on credit quality concerns, as recent commentary points to rising delinquencies, non-performing loans, and provisioning. At the same time, NU’s credit portfolio still grew 40% year over year, highlighting continued expansion in its lending business.

Nu Holdings Ltd. (NYSE:NU - Get Free Report) has earned an average rating of "Moderate Buy" from the fourteen ratings firms that are currently covering the firm, MarketBeat reports. Three analysts have rated the stock with a hold rating and eleven have issued a buy rating on the company. The average 1 year price target among analysts that have updated their coverage on the stock in the last year is $18.46.

A number of brokerages recently issued reports on NU. UBS Group upgraded shares of NU from a "neutral" rating to a "buy" rating and upped their price target for the stock from $17.20 to $17.60 in a research note on Thursday, March 19th. Weiss Ratings cut shares of NU from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Wednesday. CICC Research began coverage on shares of NU in a research note on Tuesday, April 14th. They issued an "outperform" rating and a $18.00 price target on the stock. Susquehanna upped their price target on shares of NU from $19.00 to $22.00 and gave the stock a "positive" rating in a research note on Tuesday, January 27th. Finally, Zacks Research cut shares of NU from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, March 24th.

Insiders Place Their Bets

In other NU news, CEO Cristina Helena Zing Junqueira sold 300,000 shares of the business's stock in a transaction dated Monday, March 23rd. The stock was sold at an average price of $14.81, for a total value of $4,443,000.00. Following the completion of the transaction, the chief executive officer 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 filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 1.20% of the company's stock.

Hedge Funds Weigh In On NU

A number of hedge funds have recently bought and sold shares of the business. Baillie Gifford & Co. raised its position in NU by 2.3% in the 4th quarter. Baillie Gifford & Co. now owns 257,256,952 shares of the company's stock worth $4,306,481,000 after buying an additional 5,797,365 shares during the last quarter. Morgan Stanley raised its position in NU by 2.9% in the 4th quarter. Morgan Stanley now owns 121,350,701 shares of the company's stock worth $2,031,411,000 after buying an additional 3,419,077 shares during the last quarter. State Street Corp raised its position in NU by 0.3% in the 3rd quarter. State Street Corp now owns 91,478,395 shares of the company's stock worth $1,464,569,000 after buying an additional 239,660 shares during the last quarter. WCM Investment Management LLC raised its position in NU by 0.9% in the 3rd quarter. WCM Investment Management LLC now owns 74,478,698 shares of the company's stock worth $1,187,935,000 after buying an additional 659,526 shares during the last quarter. Finally, Norges Bank purchased a new position in NU in the 4th quarter worth about $763,792,000. Hedge funds and other institutional investors own 84.02% of the company's stock.

NU Stock Performance

Shares of NU stock opened at $12.26 on Monday. The stock has a market cap of $59.53 billion, a price-to-earnings ratio of 18.86, a PEG ratio of 0.49 and a beta of 1.01. The firm's 50-day moving average is $14.31 and its 200 day moving average is $15.89. NU has a 1 year low of $11.71 and a 1 year high of $18.98. The company has a debt-to-equity ratio of 0.39, a current ratio of 0.58 and a quick ratio of 0.58.

NU (NYSE:NU - Get Free Report) last announced its quarterly earnings results on Thursday, May 14th. The company reported $0.19 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.20 by ($0.01). The firm had revenue of $5.32 billion during the quarter, compared to the consensus estimate of $5.06 billion. NU had a return on equity of 32.46% and a net margin of 18.20%. Sell-side analysts anticipate that NU will post 0.84 EPS for the current fiscal year.

More NU News

Here are the key news stories impacting NU this week:

• Positive Sentiment: Revenue rose above analyst estimates, showing Nu’s core business is still growing strongly even as market sentiment turned cautious. Nu Holdings Ltd. Reports First Quarter 2026 Financial Results
• Positive Sentiment: Net income increased 41% year over year to $871 million, underscoring that Nu is still generating solid profitability despite near-term credit concerns. Nu Q1: It Seems That Investors Forgot The Competitive Advantages Of This Bank
• Positive Sentiment: Credit portfolio growth remained robust, up 40% year over year, with credit cards driving expansion and supporting the company’s longer-term growth thesis. Nu Q1: It Seems That Investors Forgot The Competitive Advantages Of This Bank
• Neutral Sentiment: Several articles and the earnings call transcript focus on Nu’s AI-driven credit expansion and its potential to create a durable banking advantage, but this remains more of a long-term debate than a near-term catalyst. Can Nu Holdings (NU) Turn AI-Driven Credit Expansion Into a Durable Global Banking Advantage?
• Negative Sentiment: EPS missed expectations, which appears to be the main reason the stock is under pressure today. Nu Shares Fall After EPS Miss Overshadows Revenue Beat
• Negative Sentiment: Investors are also reacting to higher delinquency trends, rising non-performing loans, and increased provisioning, which raised concerns about credit quality and margins. Nu Q1: It Seems That Investors Forgot The Competitive Advantages Of This Bank
• Negative Sentiment: Return on equity slipped and net interest margin declined sequentially, reinforcing worries that profitability could face pressure if credit costs stay elevated. Nu Q1: It Seems That Investors Forgot The Competitive Advantages Of This Bank

NU Company 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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