Core Viewpoint - Investing in fintech enterprises, particularly Nu Holdings, presents a compelling opportunity due to its strong growth and profitability, disrupting the traditional banking sector [1]. Company Overview - Nu Holdings operates a significant digital banking platform in Latin America, boasting 110 million customers in Brazil, 13 million in Mexico, and 4 million in Colombia [2]. - The company has demonstrated remarkable growth, with a 42% year-over-year revenue increase in Q3, and a net profit margin of 18.8% for that quarter [3]. Financial Performance - Analysts project that Nu's sales and earnings per share will grow at compound annual rates of 30% and 37%, respectively, from 2025 to 2027 [3]. - As of January 20, Nu shares are trading at a forward price-to-earnings ratio of 20.7, which is lower than the S&P 500 index's multiple of 22.3, indicating a favorable valuation for investors [5]. Market Data - Current market capitalization of Nu Holdings is $81 billion [6]. - The stock's price range for the day is between $17.07 and $17.54, with a 52-week range of $9.01 to $18.37 [4].

Group 1 - Brazilian equities are entering 2026 with a more nuanced but still constructive outlook after a strong rally in 2025 driven by flows [1] - The investment thesis for the iShares MSCI Brazil ETF (EWZ) has shifted away from distressed valuations [1] Group 2 - The analyst covers stocks primarily in Brazil and Latin America, with occasional insights on global large caps [2]

The banking giant in Latin America is growing quickly.Over the last few decades, banking in the United States has gone digital. The same transition is now happening in Latin America, and it is being driven by one company above all else: Nu Holdings (NU +1.59%). The digital banking mobile app is disrupting the stodgy legacy institutions in Brazil and Mexico, and now has over 100 million customers, making it larger by customer count than every bank in the United States.The stock has soared over the last year, ...

Key Takeaways NU posted 14% sequential revenue growth in 3Q25 as its AI-native super app boosted margins and efficiency.NU added 4.3M customers in Q3, lifting total users to 127M while keeping monthly costs per user under $1.DAVE 3Q25 revenues surged 63% y/y, but it faces competition despite efficiency gains and credit quality.Both Nu Holdings (NU) and Dave (DAVE) operate in the fintech and digital banking space, catering to the underbanked population. While DAVE targets the U.S. market, NU leads Latin Amer ...

SÃO PAULO & BRACKLEY, United Kingdom--(BUSINESS WIRE)--Nu (NYSE:NU), one of the world's largest digital financial services platforms, and the Mercedes-AMG PETRONAS F1 Team todav announce a new multi-vear partnership establishing Nu as Official Team Partner, ahead of the 2026 FIA Formula One World Championship Season. The multi-year partnership will deliver a range of dynamic on-track and off-track branding and activations designed to create memorable experiences for fans. It will showcase bold moments that ...

Core Insights - Nu Holdings Ltd. (NU) has established a significant presence in Brazil, serving 60% of the adult population, and is now applying its successful model to expand in Mexico, where it has reached approximately 14% of the population as of Q3 2025, surpassing Brazil's 10% at a similar stage in 2019 [1][8] Financial Performance - The company reported record revenues of $4.2 billion in Q3 2025, reflecting a 39% year-over-year increase on a foreign exchange-neutral basis, while maintaining a cost to serve in Mexico under $1, indicating strong operational efficiency [3][8] - The average revenue per active customer (ARPAC) in Mexico reached $12.5 in Q3 2025, which is close to Brazil's levels, supported by a higher income per capita in Mexico, which is 40% greater than that of Brazil [2][8] Market Position and Valuation - NU's stock has increased by 28.8% over the past six months, outperforming the industry average growth of 27.2%, while its peers, BNP Paribas and Bank of Montreal, saw gains of 14.6% and 21% respectively [5] - From a valuation perspective, NU trades at a forward price-to-earnings ratio of 19.14X, which is significantly higher than the industry average of 11.38X and also above BNP Paribas and Bank of Montreal's ratios of 7.47X and 13.63X respectively [9] Growth Strategy - The company's robust ARPAC and operational efficiency underscore its potential for sustained growth in Mexico, with a focus on long-term investment and scaling rather than short-term profits [4]

Summary of the Americas Thematic Focus List Conference Call Industry and Company Overview - **Industry**: The thematic focus is on various sectors across North America and Latin America, particularly in technology, energy, healthcare, and education. - **Companies Featured**: The focus list includes notable companies such as Amazon, Microsoft, NVIDIA, Eli Lilly, and Walmart, among others. Key Themes for 2026 1. **Tech Diffusion**: Emphasizes the rapid adoption of AI technologies across various sectors, with significant implications for productivity and competitive dynamics [12][14]. 2. **The Future of Energy**: Focuses on the increasing demand for energy driven by AI infrastructure and the transition to renewable energy sources [12][17]. 3. **The Multipolar World**: Highlights the shift towards localized supply chains and national economic security, impacting multinational corporations [12][13]. 4. **Societal Shifts**: Explores the implications of demographic changes, AI-driven employment disruption, and evolving consumer preferences [12][18]. Americas Thematic Focus List - **List Composition**: The focus list includes 18 high-conviction stock ideas, with a target holding period of 12-18 months [9][20]. - **Key Companies on the List**: - **Amazon (AMZN)**: Positioned as a leader in AI infrastructure, with a projected 32% upside to a price target of $238.18 [23]. - **Microsoft (MSFT)**: Expected to capture significant AI spending, with a 42% upside to a price target of $456.66 [23]. - **Eli Lilly (LLY)**: A leader in the GLP-1 market, with a 25% upside to a price target of $1,032.97 [23]. - **Walmart (WMT)**: Leveraging AI for operational efficiency, with a 13% upside to a price target of $119.20 [23]. Methodology and Specifications - **Focus List Size**: 15-20 stocks, with equal weighting upon construction [21]. - **Sector Weights**: No fixed sector weights, aiming for diversification [21][22]. - **Regional Weights**: Targeting 80-85% in the USA and 15-20% in Latin America [28]. Important Insights and Data - **Amazon's Growth**: Amazon's custom silicon strategy has grown 150% sequentially, indicating strong demand for its AI capabilities [29]. - **Eli Lilly's Market Potential**: The global diabesity market is projected to exceed $150 billion by the early 2030s, with significant growth opportunities for Eli Lilly [39]. - **NVIDIA's Dominance**: NVIDIA is positioned to capture a significant share of the projected $3-4 trillion in annual AI infrastructure spending by the end of the decade [53]. - **Walmart's AI Strategy**: Walmart's AI initiatives have led to a 50% automation rate in its supply chain, significantly reducing delivery costs [68]. Conclusion The Americas Thematic Focus List presents a strategic overview of high-conviction investment opportunities across key sectors, driven by transformative themes such as technology diffusion and energy transition. The insights provided highlight the potential for significant growth and the evolving landscape of investment in the Americas.

The Latin American banking disruptor's shares have surged in the past 36 months.We're at the midpoint of January. And that means investors are starting to get ready for earnings season to kick off in earnest. This is a critical time when companies reveal their latest financial figures, so it's important to understand what's coming up.A business that might be of interest is Nu Holdings (NU +0.09%). Its shares have performed exceptionally well, rising 350% in the past three years (as of Jan. 14). There are re ...

Key Points SoFi’s “one-stop shop” for financial services is attracting many younger users. Nu’s digital-native direct bank is growing rapidly in Latin America. Both companies should continue to grow faster than conventional banks. 10 stocks we like better than SoFi Technologies › It might seem like a risky time to invest in financial stocks. As interest rates decline, traditional banks will generate less interest from their new loans and attract fewer savers. As the gap between their earned inter ...

Core Insights - Nu Holdings Ltd. (NU) is leveraging AI to enhance risk mitigation and achieve efficient scalability, with CEO David Velez-Osomo highlighting an AI-first approach as key to low-cost product scalability and unlocking new revenue streams [1][9] Financial Performance - The company has experienced a sequential revenue growth of 14% in the third quarter of 2025, alongside a 19% increase in net income and a 200 basis points expansion in margins [2][3][9] - Monthly average revenue per active customer has reached $13.4, with a monthly activity rate of 83% [4] Customer Growth - Nu Holdings added 4.3 million customers in the third quarter of 2025, bringing the total customer count to 127 million, demonstrating the effectiveness of the AI-first strategy [4][9] AI Implementation - The company is utilizing AI for risk mitigation through the development of nuFormer, which enhances understanding of customer needs and allows for personalized recommendations without increasing risk [5][9] - The AI-first strategy is positioned as a digital banking moat, enabling the company to set benchmarks for data-driven financial offerings in the fintech market [6] Market Position and Valuation - NU's stock has increased by 20.2% over the past six months, compared to the industry's growth of 26.8% [7] - The company trades at a forward price-to-earnings ratio of 19.27X, which is above the industry average of 11.16X and higher than peers Credicorp and Itau Unibanco [11] - The Zacks Consensus Estimate for EPS for 2025 is set at 60 cents, with a recent upward revision of 3.4% [14]