NU

Nu Holdings, a Latin American digital banking powerhouse with 139 million customers, is predicted to deliver a 194% return by 2030 if $1,000 is invested today. The bull case rests on projected 35% annual EPS growth through 2028 and potential P/E ratio expansion from 18.6 to 23.6. However, risks include slowing growth in mature Brazil markets, intense U.S. competition, and macro-economic sensitivity typical of banking operations.

Nu Holdings Ltd. (NU) has gained 8.1% over the past month, outperforming the S&P 500's 2.1% gain. The company is expected to report strong earnings growth of 35.3% year-over-year for the current quarter, with full-year earnings projected to grow 38.7%.

NU received a Zacks Rank #2 (Buy) rating based on positive earnings estimate revisions and strong revenue growth forecasts of 42.7% for the current fiscal year. However, the stock is trading at a premium valuation relative to peers with a Value Style Score of D.

Nu Holdings, a digital bank serving 139 million customers across Brazil, Mexico, and Colombia, achieved its first quarterly profit above $1 billion in Q2 2026. Rather than focusing on customer count, investors should monitor three key metrics: Average Revenue Per Active Customer (ARPAC) which reached $17 (up from $13 year-over-year), Return on Equity at 33% annualized, and the 90+ day non-performing loan ratio at 6.9%. These metrics indicate whether the company can increase customer value, generate efficient returns on capital, and maintain manageable credit risk as its lending portfolio grows.