NU's Q3 showed scale turning into a structural advantage, with 127M customers, rising ARPAC and industry-leading efficiency that allows the company to grow without adding operational friction. Revenue and net income grew sharply, supported by strong credit discipline and a healthier funding base, reinforcing NU's transition from high-growth fintech to a fully profitable digital bank. Forward valuation compresses meaningfully as EPS grows around 40%YoY, making current multiples look less like a premium and more like a temporary effect of rapid fundamental expansion.
Nu Holdings remains a Strong Buy with a $19 price target, implying 14% upside and market outperformance. Q3 2025 results delivered 42% revenue growth and 45% EPS growth, both exceeding analyst expectations. NU's high-double-digit margins, robust customer growth, and low-leverage capital structure support the bullish thesis and multiple expansion.
Nu Holdings remains a compelling opportunity, supported by rapid growth, margin expansion, and a discounted valuation amid recent macro-driven selloffs. NU delivered an impeccable Q3, beating expectations with 40% earnings and 30% revenue growth, expanding its customer base, and achieving record efficiency and ROE. FX and Brazilian macro risks drive near-term volatility, but NU's digital-first model and superior unit economics underpin its long-term thesis.
NU's rising revenue durability and deeper multi-product monetization are reshaping its growth story and supporting steadier performance.
Zacks.com users have recently been watching Nu (NU) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
Digital financial services platform Nubank said it intends to obtain a banking license in Brazil in 2026. Nubank is doing so to comply with a new rule issued by Brazil's central bank and National Monetary Council, the company said in a Wednesday (Dec. 3) press release.
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price.
Nu Holdings is currently undervalued, trading at $16 versus an average analyst price target of $18.10, implying a 14% upside. NU's long-term potential is compelling, with projected 2027 earnings per share of $1.20-$1.30 and continued strong growth expected. If NU achieves a 25x PE multiple in 2027, the stock could reach $30-$39, reflecting significant upside from current levels.
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Does Nu Holdings Ltd. (NU) have what it takes to be a top stock pick for momentum investors?
Recently, Zacks.com users have been paying close attention to Nu (NU). This makes it worthwhile to examine what the stock has in store.
On two separate occasions in the last month, Nu Holdings Ltd. NYSE: NU stock has reached a new all-time high (ATH).