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

Shares of Nu Holdings Ltd. (NYSE:NU) gapped down before the market opened on Monday. The stock had previously closed at $15.16, but opened at $11.69. NU shares last traded at $12.1150, with a volume of 92,195,662 shares changing hands.

Wall Street Analyst Weigh In

Several equities analysts recently issued reports on the company. JPMorgan Chase & Co. raised their price objective on NU from $20.00 to $23.00 and gave the stock an “overweight” rating in a research note on Tuesday, October 6th. Weiss Ratings lowered shares of NU from a “hold (c+)” rating to a “hold (c)” rating in a research note on Friday, August 21st. Monness Crespi & Hardt initiated coverage on shares of NU in a research note on Monday. They set a “buy” rating and a $20.00 target price for the company. Wolfe Research dropped their target price on shares of NU from $18.00 to $17.00 and set an “outperform” rating on the stock in a report on Tuesday, August 25th. Finally, Rothschild & Co Redburn set a $19.00 price target on shares of NU in a research report on Monday, September 28th. Ten equities research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $18.25.

NU Stock Performance

The company has a quick ratio of 0.55, a current ratio of 0.55 and a debt-to-equity ratio of 0.35. The company has a 50-day moving average price of $14.57 and a 200-day moving average price of $13.95. The firm has a market capitalization of $59.55 billion, a price-to-earnings ratio of 16.58, a P/E/G ratio of 0.62 and a beta of 0.95.

NU (NYSE:NU) last posted its quarterly earnings data on Tuesday, June 30th. The company reported $0.22 earnings per share (EPS) for the quarter. The business had revenue of $5.88 billion during the quarter. NU had a net margin of 18.65% and a return on equity of 31.59%. As a group, equities research analysts forecast that Nu Holdings Ltd. will post 0.86 earnings per share for the current year.

Insider Buying and Selling

In other NU news, CEO Cristina Junqueira sold 25,000 shares of the business’s stock in a transaction dated Monday, October 5th. The stock was sold at an average price of $15.01, for a total value of $375,250.00. Following the transaction, the chief executive officer owned 4,877,593 shares in the company, valued at $73,212,670.93. The trade was a 0.51% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Henrique Camossa Sald Fragelli sold 221,707 shares of the company’s stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $15.81, for a total value of $3,505,187.67. Following the completion of the transaction, the insider directly owned 979,446 shares in the company, valued at approximately $15,485,041.26. The trade was a 18.46% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 386,707 shares of company stock valued at $6,001,588 over the last three months.

Institutional Investors Weigh In On NU

Several institutional investors have recently made changes to their positions in NU. Waverly Advisors LLC raised its holdings in shares of NU by 6.4% during the 2nd quarter. Waverly Advisors LLC now owns 12,933 shares of the company’s stock worth $173,000 after buying an additional 783 shares in the last quarter. World Investment Advisors lifted its position in shares of NU by 5.1% during the 1st quarter. World Investment Advisors now owns 16,370 shares of the company’s stock worth $235,000 after buying an additional 791 shares during the last quarter. Mason & Associates Inc lifted its position in shares of NU by 2.7% during the 1st quarter. Mason & Associates Inc now owns 30,783 shares of the company’s stock worth $416,000 after buying an additional 808 shares during the last quarter. United Asset Strategies Inc. lifted its position in shares of NU by 1.6% during the 1st quarter. United Asset Strategies Inc. now owns 54,216 shares of the company’s stock worth $779,000 after buying an additional 837 shares during the last quarter. Finally, Legacy Wealth Asset Management LLC boosted its stake in NU by 1.9% in the second quarter. Legacy Wealth Asset Management LLC now owns 50,790 shares of the company’s stock valued at $679,000 after buying an additional 935 shares in the last quarter. 84.02% of the stock is currently owned by institutional investors and hedge funds.

About NU

Nubank (NYSE: NU) is a digital financial services company headquartered in São Paulo, Brazil. Founded in 2013, the company was established to simplify banking through technology and expand access to financial services in markets traditionally served by large, conventional institutions.

Nubank offers a range of consumer and business products, including digital bank accounts, credit cards, personal loans, payment services, investment products and insurance. Its platform is designed to allow customers to manage accounts, payments and other financial products through mobile applications and other digital channels.

The company primarily serves customers in Brazil, Mexico and Colombia.