NU (NYSE:NU) Upgraded to Outperform at Itau BBA Securities

Key Points

• NU (NYSE:NU) has been upgraded from a "market perform" rating to an "outperform" rating by Itau BBA Securities, with a price target of $18.00, indicating a potential upside of 37.61%.
• The stock currently has a consensus rating of "Moderate Buy" with an average price target of $15.78 from various analysts after several price target increases from firms like Barclays and JPMorgan Chase & Co.
• NU reported $0.14 EPS for the last quarter, surpassing expectations, while facing a revenue of $3.70 billion, slightly below analyst forecasts of $3.78 billion.

NU (NYSE:NU - Get Free Report) was upgraded by Itau BBA Securities from a "market perform" rating to an "outperform" rating in a note issued to investors on Monday, MarketBeat.com reports. The firm presently has a $18.00 price objective on the stock. Itau BBA Securities' price objective indicates a potential upside of 32.31% from the stock's previous close.

A number of other equities analysts also recently commented on the stock. Morgan Stanley reiterated an "overweight" rating on shares of NU in a research note on Friday, June 13th. Susquehanna lifted their target price on shares of NU from $14.00 to $15.00 and gave the company a "positive" rating in a report on Wednesday, May 14th. Barclays upped their target price on shares of NU from $15.00 to $16.00 and gave the company an "overweight" rating in a report on Friday, April 25th. Finally, JPMorgan Chase & Co. upped their target price on shares of NU from $14.50 to $16.00 and gave the company an "overweight" rating in a report on Monday, June 30th. Eight research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $16.56.

NU Trading Up 3.7%

NYSE NU traded up $0.4840 on Monday, reaching $13.6040. The stock had a trading volume of 82,873,993 shares, compared to its average volume of 47,435,156. The firm has a market capitalization of $65.55 billion, a price-to-earnings ratio of 29.57, a P/E/G ratio of 0.75 and a beta of 1.05. The company has a quick ratio of 0.54, a current ratio of 0.57 and a debt-to-equity ratio of 0.24. NU has a 12-month low of $9.01 and a 12-month high of $16.15. The stock has a fifty day moving average price of $12.83 and a two-hundred day moving average price of $12.17.

NU (NYSE:NU - Get Free Report) last announced its earnings results on Thursday, August 14th. The company reported $0.14 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.12 by $0.02. The company had revenue of $3.70 billion for the quarter, compared to analyst estimates of $3.78 billion. NU had a return on equity of 29.91% and a net margin of 17.90%.During the same quarter in the previous year, the company earned $0.12 earnings per share. As a group, sell-side analysts forecast that NU will post 0.58 EPS for the current fiscal year.

Hedge Funds Weigh In On NU

Hedge funds have recently made changes to their positions in the business. Baillie Gifford & Co. grew its holdings in NU by 17.9% during the 1st quarter. Baillie Gifford & Co. now owns 265,160,474 shares of the company's stock worth $2,715,243,000 after acquiring an additional 40,181,132 shares in the last quarter. State Street Corp grew its holdings in NU by 2.4% during the 2nd quarter. State Street Corp now owns 91,238,735 shares of the company's stock worth $1,251,795,000 after acquiring an additional 2,158,037 shares in the last quarter. Sands Capital Management LLC grew its holdings in NU by 5.9% during the 2nd quarter. Sands Capital Management LLC now owns 54,504,428 shares of the company's stock worth $747,801,000 after acquiring an additional 3,060,463 shares in the last quarter. Price T Rowe Associates Inc. MD grew its holdings in NU by 24.7% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 54,435,568 shares of the company's stock worth $557,422,000 after acquiring an additional 10,785,851 shares in the last quarter. Finally, Norges Bank acquired a new position in shares of NU in the 2nd quarter valued at about $626,569,000. Hedge funds and other institutional investors own 84.02% of the company's stock.

About NU

Nu Holdings Ltd. is a holding company, which engages in the provision of digital banking services. The company was founded by David Vélez Osorno, Cristina Helena Zingaretti Junqueira, and Adam Edward Wible on February 26, 2016 and is headquartered in George Town, Cayman Islands.