Nu Holdings Ltd. Class A Ordinary Shares (NU)

FairStock Score: 80/100 — HIGH CONVICTION

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I see Nu as a digital-banking franchise built in markets where traditional banking is often costly and slow. The supplied figures are, at first glance, those of a high-quality growth business: in fiscal Q2 2026, labeled 2026-Q2, revenue was $3.8B, net income $1.1B, and net margin 28.13%. FairStock's calculations show ROE of 31.63% and a PEG of 0.28, while the shares closed at $12.59 on 2026-10-26 at 17.25 times earnings and 4.59 times book. A 31.63% ROE can justify a premium book multiple only if it is durable, and that is the central question. The supplied data also shows 50.18% revenue growth and 66.48% profit growth, but the prompt does not specify the period, so I do not treat that as a proven multi-year record. The moat may come from a low-cost digital platform and scale in large markets, but I cannot verify deposit franchise, credit costs, or underwriting from this data. Bank-specific measures such as CET1, NIM and combined ratio are not supplied. Piotroski is only 4/9, D/E is N/A, and the Lynch category is none because there are only 0 years of filed results - a short history for a lender. My conclusion: a promising, profitable growth bank, but not a Graham-style bargain at 4.59 times book without credit-cycle evidence. I would require a larger margin of safety until CET1, credit quality and earnings consistency are visible.

In plain English: Nu is a digital banking company operating in Brazil, Mexico, Colombia, the Cayman Islands and the United States. The business looks strong: it is growing quickly and producing high profit. At $12.59, the price looks fair to full rather than clearly cheap compared with the company's accounting value.

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Data as of 2026-10-26 close · note generated 2026-10-28 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer