Nu logged a -12.5% change during today's afternoon session, and is now trading at a price of $3.56 per share. The S&P 500 index moved -0.6% and the Nasdaq posted a -0.7% change. NU's trading volume is 32,465,662 compared to the stock's average volume of 28,448,800.
Nu shares moved -58.2% over the last 52 weeks, with a high of $11.83 and a low of $3.26. During this time, the stock lagged the S&P 500 index by -38.3%. As of January 2022, the company's 50-day average price is $4.322. Nu Holdings Ltd. operates as a digital financial services platform and technology company primarily in Brazil, Mexico, and Colombia. The large-cap Financial Services company is based in São Paulo, Brazil. Nu has not offered any dividends in the last year.
The Company Is Unprofitable With Declining Cash Flows:
| 2019-12-31 | 2020-12-31 | 2021-12-31 | |
|---|---|---|---|
| Revenue (MM) | $360 | $360 | $1,145 |
| Revenue Growth | n/a | 0.11% | 218.19% |
| Net Margins | -25.74% | -47.65% | -14.41% |
| Net Margins Growth | n/a | -85.12% | 69.76% |
| Earnings Per Share | -$0.02 | -$0.04 | -$0.1 |
| EPS Growth | n/a | -100.0% | -150.0% |
| Free Cash Flow (MM) | $271 | $969 | -$2,953 |
| FCF Growth | n/a | 257.03% | -404.67% |
| Capital Expenditures (MM) | -$5 | -$8 | -$28 |
| LT Debt to Equity | 0.5 | 0.4 | 0.04 |
Nu Is Overpriced:
Compared to the Financial Services sector's average of 13.34, Nu has a trailing twelve month price to earnings (P/E) ratio of -53.9 and, based on its EPS guidance of 0.08, an expected P/E ratio of 44.5.
Nu's price to book (P/B) ratio is 3.5 compared to its sector average of 1.95. The company is likley overvalued in terms of its net tangible assets.
Nu Is the Subject of Mixed Market Indicators:
16 analysts are following Nu and have set target prices ranging from $3 to $12.4 per share. On average, they have given the company a rating of buy. At the current price of $3.56, NU is trading -50.07% away from its average analyst target price of $7.13 per share, implying an analyst consensus of strong upside potential for the stock.
The company has an average amount of shares sold short since 4.5% of the company's shares are tied to short positions. Institutions own 66.1% of Nu's shares, while the insider ownership rate stands at 8.84%. The biggest shareholder is Sc Us (ttgp), Ltd. with a 16% stake in the company worth approximately $1,945,121,337.
