NU (NYSE:NU) Shares Gap Down – Here’s Why

Nu Holdings Ltd. (NYSE:NU)’s stock price gapped down prior to trading on Thursday . The stock had previously closed at $15.64, but opened at $14.31. NU shares last traded at $14.13, with a volume of 14,357,606 shares trading hands.

Wall Street Analysts Forecast Growth

Several research firms recently issued reports on NU. Bank of America increased their price target on shares of NU from $12.80 to $15.00 and gave the stock a “neutral” rating in a report on Thursday, September 12th. JPMorgan Chase & Co. raised their price target on NU from $14.50 to $15.00 and gave the company a “neutral” rating in a report on Monday, August 19th. Itau BBA Securities cut NU from an “outperform” rating to a “market perform” rating in a research report on Thursday. KeyCorp upped their price target on shares of NU from $15.00 to $17.00 and gave the stock an “overweight” rating in a research note on Thursday. Finally, The Goldman Sachs Group raised their price objective on shares of NU from $17.00 to $19.00 and gave the company a “buy” rating in a research note on Thursday. Four equities research analysts have rated the stock with a hold rating and five have given a buy rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $16.21.

NU Trading Down 7.5 %

The firm has a market cap of $66.99 billion, a price-to-earnings ratio of 39.04, a price-to-earnings-growth ratio of 0.71 and a beta of 1.13. The business has a 50 day moving average of $14.48 and a 200 day moving average of $13.21. The company has a quick ratio of 0.49, a current ratio of 0.49 and a debt-to-equity ratio of 0.25.

NU (NYSE:NU) last released its earnings results on Tuesday, August 13th. The company reported $0.12 EPS for the quarter, topping the consensus estimate of $0.10 by $0.02. NU had a net margin of 16.28% and a return on equity of 29.70%. The firm had revenue of $2.85 billion during the quarter, compared to analysts’ expectations of $2.90 billion. During the same period in the previous year, the company earned $0.05 EPS. On average, research analysts forecast that Nu Holdings Ltd. will post 0.41 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of NU. State Street Corp raised its position in shares of NU by 105.9% in the 3rd quarter. State Street Corp now owns 78,865,138 shares of the company’s stock worth $1,076,509,000 after buying an additional 40,560,986 shares during the period. Capital Research Global Investors raised its holdings in shares of NU by 15.7% in the 1st quarter. Capital Research Global Investors now owns 202,618,338 shares of the company’s stock worth $2,417,237,000 after purchasing an additional 27,420,994 shares during the period. Baillie Gifford & Co. lifted its stake in shares of NU by 13.0% in the 3rd quarter. Baillie Gifford & Co. now owns 210,103,451 shares of the company’s stock valued at $2,867,912,000 after purchasing an additional 24,140,416 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its holdings in shares of NU by 458.3% during the 3rd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 14,147,349 shares of the company’s stock worth $193,111,000 after purchasing an additional 11,613,191 shares during the period. Finally, FMR LLC increased its position in NU by 16.4% during the 3rd quarter. FMR LLC now owns 61,801,891 shares of the company’s stock worth $843,596,000 after purchasing an additional 8,728,833 shares in the last quarter. Institutional investors and hedge funds own 80.90% of the company’s stock.

About NU

Nu Holdings Ltd. provides digital banking platform and digital financial services in Brazil, Mexico, Colombia, and internationally. It offers Nu credit and debit cards; Ultraviolet credit and debit cards; and mobile payment solutions for NuAccount customers to make and receive transfers, pay bills, and make everyday purchases through their mobile phones.