Core Insights - Nu Holdings (NU) presents a unique investment opportunity in the financial sector, characterized by a blend of macroeconomic dynamics and company-level valuation [1]. Group 1: Company Overview - Nu Holdings operates in a complex and dynamic market, particularly in Latin America, which allows for in-depth analysis of local assets while considering broader trends [1]. Group 2: Investment Approach - The investment strategy focuses on deep value and long-term perspectives, emphasizing underfollowed names and structural stories within leading companies [1].

Core Insights - The article emphasizes the importance of understanding macro trends and their influence on asset prices and investor behavior [1] - It highlights the author's extensive experience in asset management, particularly in equity analysis and derivatives [1] - The goal is to make investing accessible and empowering for all investors [1] Group 1: Professional Background - The author has over 10 years of experience in asset management, focusing on equity analysis, macroeconomics, and risk-managed portfolio construction [1] - The professional background includes advising on multi-asset strategies for both institutional and private clients [1] - The author holds a BA in Financial Economics and an MA in Financial Markets [1] Group 2: Investment Philosophy - The article promotes the idea that investing should be accessible and inspiring, encouraging collaboration among investors [1] - It stresses the importance of conducting personal research before making investment decisions [1] - The author aims to share insights and exchange ideas to enhance long-term investing confidence [1]

This fintech stock has been on a tear, climbing 66% so far in 2025.The U.S. is the world's largest economy. So, it makes sense that investors searching for lucrative opportunities would focus on this country. However, there are also some wonderful businesses with a presence in other parts of the world. Nu Holdings (NU 0.60%) is one of them. It's a financial services innovator that has reached a market cap of $84 billion (as of Dec. 5). Investors should be paying attention, as this business might make for an ...

Group 1 - The company aims to invest in firms with strong qualitative attributes, purchasing them at attractive prices based on fundamentals, and holding them indefinitely [1] - The investment strategy involves managing a concentrated portfolio to avoid underperformers while maximizing exposure to high-potential winners [1] - The company plans to publish articles on selected companies approximately three times a week, including extensive quarterly follow-ups and constant updates [1] Group 2 - The company may rate high-quality firms as 'Hold' if their growth opportunities do not meet the required threshold or if the downside risk is deemed too high [1]

Core Insights - Nu Holdings' primary strength lies in its increasing revenue durability, which allows the company to convert a large customer base into recurring income streams that are less affected by macroeconomic fluctuations [1] - The company has shifted focus from user growth to monetizing its existing user base through a diverse range of financial services, resulting in a 39% year-over-year revenue increase to $4.2 billion in Q3 2025 [2] - Nu Holdings is expanding high-engagement products, which enhances average revenue per user and provides stability against market volatility [3] Revenue and Growth - The company added over 4 million new users in Q3 2025, bringing its total customer base to 127 million, with an activity rate exceeding 83% [1] - The disciplined approach to expanding everyday transaction services, low-cost deposits, and cross-selling has led to a more predictable revenue model [3] - The technology-driven cost structure allows for efficient margin enhancement as more products are adopted by existing users [4] Competitive Landscape - Comparisons with Block and SoFi Technologies highlight the potential for Nu Holdings to develop a multi-product financial platform that increases user engagement and revenue durability [5][6] - Block's ecosystem and SoFi's diversified product offerings serve as benchmarks for Nu Holdings' growth strategy [5][6] Valuation and Performance - Nu Holdings' stock has increased by 47% over the past year, slightly outperforming the industry average growth of 46% [7] - The company trades at a forward price-to-earnings ratio of 21.55X, significantly higher than the industry average of 10.71X, indicating a premium valuation [9] - The Zacks Consensus Estimate for NU's 2025 earnings has been rising, reflecting positive market sentiment [10]

Core Viewpoint - Nubank plans to secure a banking license in Brazil by 2026 following regulatory changes that prevent non-bank companies from using the term "bank" in their branding [1][2]. Group 1: Company Operations - Nubank currently operates as a payment institution, credit, financing, investment company, and securities brokerage in Brazil, holding all necessary operational licenses for its existing products [3]. - The transition to a banking institution is not expected to significantly alter Nubank's capital or liquidity requirements, nor will it impact its financial stability [3]. Group 2: Customer Impact - Nubank has assured that the move to obtain a banking license will not affect its customers, and all operations will continue as usual [2][3]. Group 3: Market Position - Nubank boasts over 110 million customers and a market valuation of $85 billion, highlighting its significant presence in the digital financial services sector [1]. - The company has been instrumental in including 28 million individuals in the financial system since its founding 12 years ago [4]. Group 4: Regulatory Context - Brazilian regulators have given companies 120 days to submit compliance plans with the new regulations regarding the use of the term "bank" [2]. - Nubank's subsidiary in Mexico, Nu Mexico, has already received banking license approval, allowing it to expand its product offerings [5].

Group 1 - Banco Santander set a price target of $22 for NYSE:NU, indicating a potential increase of about 26.15% from the current stock price of $17.44 [1][6] - Nubank is planning to secure a banking license in Brazil by 2026 to comply with new regulations from Brazil's central bank and the National Monetary Council [2][6] - Nubank's capital, liquidity, and customer base, which exceeds 110 million in Brazil, will remain unaffected despite regulatory changes [3][6] Group 2 - Nubank's market capitalization is approximately $84.1 billion, with a trading volume of 31.8 million shares [5] - NU's stock has fluctuated between a high of $17.84 and a low of $9.01 over the past year, reflecting market volatility [4]

Santander upgraded Nu Holdings (NYSE:NU) from Neutral to Outperform, indicating a positive outlook on the company's future performance.The average brokerage recommendation (ABR) for NU is 1.82, suggesting a consensus view of a Strong Buy to Buy rating among analysts.Despite the upgrade, NU's stock experienced a slight decrease of $0.17 or approximately -0.97% on the day of the announcement.Nu Holdings (NYSE:NU) is a prominent digital banking platform in Latin America, offering a range of financial services. ...

Digital financial services platform Nubank said it intends to obtain a banking license in Brazil in 2026.By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions .Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.Nubank is doing so to comply with a new rule issued by Brazil ...

Core Viewpoint - Nubank, one of the largest digital financial services platforms globally, intends to obtain a banking license in Brazil, which aligns with regulatory requirements and will not affect its operations or client services [1] Group 1: Company Overview - Nubank has over 110 million customers in Brazil and has facilitated the financial inclusion of 28 million individuals since its founding 12 years ago [1] - The company's CEO, Livia Chanes, emphasizes that Nubank's identity and mission to simplify customer experiences will remain unchanged despite the new banking license [1] Group 2: Regulatory Compliance - Nubank currently operates as a Payment Institution, a Credit, Financing, and Investment Company, and a Securities Brokerage Company, fully complying with all applicable regulations [1] - The addition of a banking institution does not materially change Nubank's capital and liquidity requirements, ensuring that its financial solidity and resilience remain intact [1]