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Nu Holdings Ltd. (NU) Stock Sinks As Market Gains: What You Should Know

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Nu Holdings Ltd. (NU - Free Report) closed at $7.74 in the latest trading session, marking a -1.15% move from the prior day. This move lagged the S&P 500's daily gain of 0.03%. Elsewhere, the Dow gained 0.15%, while the tech-heavy Nasdaq added 0.12%.

Prior to today's trading, shares of the company had lost 0.89% over the past month. This has lagged the Business Services sector's gain of 1.49% and the S&P 500's gain of 1.66% in that time.

Nu Holdings Ltd. will be looking to display strength as it nears its next earnings release, which is expected to be August 15, 2023. Our most recent consensus estimate is calling for quarterly revenue of $1.75 billion, up 51.39% from the year-ago period.

NU's full-year Zacks Consensus Estimates are calling for earnings of $0.17 per share and revenue of $7.5 billion. These results would represent year-over-year changes of +325% and +56.43%, respectively.

It is also important to note the recent changes to analyst estimates for Nu Holdings Ltd.These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Nu Holdings Ltd. is currently a Zacks Rank #2 (Buy).

Valuation is also important, so investors should note that Nu Holdings Ltd. has a Forward P/E ratio of 46.98 right now. This represents a premium compared to its industry's average Forward P/E of 22.61.

The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 103, which puts it in the top 41% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow NU in the coming trading sessions, be sure to utilize Zacks.com.


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