Nu Holdings Ltd. NU is expanding its product features across segments globally, enabling it to become a multi-product, multi-segment and multi-country platform. Consistent upgrades, modifications and new launches in its global electronic payments, consumer credit and affluent segments are collectively driving top-line growth, backed by a growing number of new customers.
NU recently evolved Brazil’s instant payment system, Pix, with AI-enabled features and launched instant payments in Colombia in its payment segment. The company also expanded its credit segment’s features by launching new payroll loan modalities in Brazil, the subscription-based credit card in Colombia, and programs like Fresh Start to help engaged customers regain access to credit. NU introduced the Under-18 Credit Card to build financial relationships earlier in customers' lives.
These advancements and new product launches are helping the company gain more market share in countries such as Brazil, Mexico and Colombia.
In Brazil, the company reached 113 million customers by the end of 2025, with an activity rate of 86%. NU is looking to strengthen its leadership position in this market and boost growth for small businesses. The company also wants to grow its presence in the high-end market through its premium, high-income banking experience, Ultravioleta.
During 2025, NU advanced its banking license process and rolled out NU credit cards to its existing and new customers, helping it reach 14 million customers, while its subscription-based credit card significantly increased approval rates, helping it surpass 4 million customers.
NU’s Share Price Performance, Valuation & Estimates
The stock has gained 45.1% over the past year, significantly outperforming one of its competitors, Banco do Brasil S.A. BDORY, but falling short of another peer, The Bank of Nova Scotia BNS, and the industry. The industry and BNS jumped 56.6% and 58.7%, respectively, while BDORY declined 5.1% over the past year.
Image Source: Zacks Investment Research
From a valuation standpoint, NU trades at a 12-month forward price-to-earnings ratio of 15.45X. It trades higher than Banco do Brasil’s 5.80X, The Bank of Nova Scotia’s 11.34X and the industry’s 10.76X.
Image Source: Zacks Investment Research
Nu Holdings has a Value Score of C, while BDORY and BNS carry a Value Score of A and C, respectively. The Zacks Consensus Estimate for NU’s earnings for 2026 and 2027 has decreased 4.5% and 5%, respectively, over the past month.
Image Source: Zacks Investment Research
NU currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Zacks Names #1 Semiconductor Stock
This under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.
See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Nu Holdings Ltd. (NU): Free Stock Analysis Report
Bank of Nova Scotia (The) (BNS): Free Stock Analysis Report
Banco Do Brasil SA (BDORY): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).