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Nu Holdings Ltd.
NYSE: NU Financials Bank 🔎 Screen
$19.7B
Market Cap
81.6
P/E
3.54
PEG
70.3%
ROCE
87.5%
ROE
0.97
D/E
41.7%
OPM
-19.9%
% from 52W High
67
α RS
🔍 NU is showing a high-conviction setup because it matches 13 of 39 tracked screener presets, RS Rating is 67, and it's within 19.9% of its 52-week high. Net: Broad signal stack, not a recommendation. ? Conviction RS Rating 52W High
Sources
Conviction 13/39 · RS Rating 67 · 19.9% from 52W high
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🌏 Global Investor Returns
Currency-adjusted total returns for NU including FX impact
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📈 Price History
Ratio Health
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By Category
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About

Nu Holdings Ltd. provides digital banking platform in Brazil, Mexico, Colombia, the Cayman Islands, and the United States. The company provides spending solutions comprising Nu credit and prepaid card, a digitally enabled card that acts as a credit and a prepaid card; Nubank+ Tier, an evolution of the Nu experience; Ultraviolet credit and prepaid card, a premium metal credit card; mobile payment solutions for NuAccount customers to make and receive transfers, pay bills, and make everyday purchases through their mobile phones; and Nu Shopping, an integrated marketplace that enables customers to purchase goods and services from various ecommerce retailers. It also offers transactional solutions, such as Nu Personal Accounts, a digital account solution for personal financial activities; Nu business accounts for entrepreneur customers and their businesses; and Nu business prepaid and credit card. In addition, it offers savings and investing solutions, including Money Boxes, a solution for goal-based investing; investing solutions, an attractive investment product with customized and conflict-free guidance; and NuCrypto, a solution for buying and selling cryptocurrencies through the Nu app. Further, the company provides borrowing solutions comprising personal unsecured and secured loans; Pix financing that enables credit card and digital account customers to make free and instant peer-to-peer transfers; Boleto financing, which enables credit card and digital account customers to make payments; purchase financing; cash-in financing; and NuPay to make online purchases and pay for services through Nu app. Additionally, it offers protection solutions, such as NuInsurance protection solutions, including life, mobile, auto, home, and financial protection insurance policies; and beyond financial services solutions, including NuTravel, a travel portal; and NuCel, a mobile phone service. Nu Holdings Ltd. was founded in 2013 and is based in Sao Paulo, Brazil.

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📈 Growth Pattern
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Manager Shares Value % of Fund Period
Cathie Wood ARK Investment Management 1.17M $16.8M 0.13% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Good quarter Investor Presentation One-Pager? Q1 2026
Revenue
$5.0B
+22% YoY
Net Income
$871M
+41% YoY
What Went Right
  • Revenue surpassed $5B for the first time, driven by ARPAC expansion to ~$16 and customer base reaching 135M.
  • Net income hit a Q1 record of $871M, compounding at over 80% YoY on an FX neutral basis from 2022.
  • Efficiency ratio improved to 17.6% from 19.9% QoQ, reflecting structural gains and timing benefits.
What to Watch
  • Credit loss allowance surged 33% QoQ due to seasonality, portfolio growth, and mix shift toward unsecured products.
  • Efficiency ratio is not run-rate; management guided to ~20% for full year 2026 as investments in RTO, international, and AI normalize.
  • Effective tax rate (IFRS) was 8.7% in Q1 but expected to converge to 15%-20% for remainder of 2026.
Management Guidance
  • Full-year 2026 efficiency ratio expected to land at approximately 20%, broadly in line with 2025.
  • IFRS effective tax rate expected to converge to 15%-20% range for remainder of 2026; managerial ETR to 30%-35%.
  • U.S. expansion maximum OPEX headwind less than 100 basis points on consolidated efficiency ratio in 2026 and 2027.
Investor Lens
The thesis is stronger after this call: Nu delivered record revenue and net income, expanded margins, and reached IFRS profitability in Mexico ahead of plan. The AI-driven productivity gains and credit cohort resilience reinforce the model. However, the elevated credit loss allowance and expected normalization of the efficiency ratio are key watchpoints, as is the measured U.S. entry. Overall, the core business remains on a strong trajectory with a long runway in Brazil and Mexico.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Strong Q1 with record revenue and net income.
Revenue
Consolidated revenue reached $5.0B for the first time, up 22% YoY (FX neutral), driven by ARPAC expansion to ~$16 and a customer base of 135M. Net interest income was a record $3.25B, up 12% QoQ.
Profitability
Net income was $871M, a Q1 record and up 41% YoY (FX neutral). The company also reported a managerial ETR of 8.7% for the quarter, though this is expected to normalize.
Margins
Efficiency ratio improved to 17.6% (16.6% core) from 19.9% in Q4'25, driven by revenue acceleration and below-plan OpEx. Management cautioned that one-third of the improvement is structural, while two-thirds is timing; full-year efficiency ratio is expected to be ~20%.
Balance Sheet
Total deposits were $42.4B, up 22% YoY (FX neutral), with a consolidated cost of deposits at 88% of the interbank rate. The credit portfolio reached $37.2B, up 40% YoY, and total coverage stood at 16.2% of the portfolio, 2.5x the 90+ NPL balance.
Key Risks
Credit loss allowance rose 33% QoQ due to seasonality, portfolio growth, and product mix, though management attributed 86% of the increase to growth and seasonality with no underlying credit deterioration. The 15-90 NPL ratio increased 89 bps QoQ to 5.0%, consistent with seasonal patterns. The efficiency ratio is expected to rise to ~20% for the full year as timing benefits reverse and investments continue.
Outlook
Management expects the consolidated efficiency ratio for full-year 2026 to be approximately 20%, with the IFRS effective tax rate converging to 15%-20% for the remainder of the year. The company remains committed to deepening Brazil leadership, scaling Mexico and Colombia, and expanding into the U.S. in a measured manner.
Generated by AI · Q1 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q1 2026 Q1 2026 2026-05-14
Record revenue and net income were driven by strong customer growth, ARPAC expansion, and operating leverage, with efficiency ratio at a record low. Provisions rose due to seasonality and portfolio growth, but asset quality remains robust. AI transformation and international expansion continue to be strategic priorities.
Q4 2025 Q4 2025 2026-02-25
Q4 2025 saw 45% year-over-year revenue growth to $4.9B, net income up 50% to $895M, and a record 33% ROE, driven by strong customer growth, higher ARPAC, and disciplined credit expansion. 2026 will focus on core markets, global expansion, and AI investments.
Q3 2025 Q3 2025 2025-11-13
Record Q3 results with 127M customers, $4B+ revenue, and $783M net income. Strong growth in Brazil and Mexico, improved efficiency, and robust asset quality. AI-first strategy and disciplined credit expansion drive profitability and scalability.
Q2 2025 Q2 2025 2025-08-14
Q2 2025 saw record growth in customers, revenue, and net income, with strong performance across all segments and geographies. Efficiency and profitability improved, while new leadership and technology investments position the company for further expansion and resilience.
Q1 2025 Q1 2025 2025-05-13
Q1 2025 saw robust customer and revenue growth, with net income up 74% year-over-year and strong operating leverage. Strategic investments in Mexico and Colombia are expected to drive long-term profitability, despite near-term margin pressure.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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