NU (NYSE:NU – Get Rating) is one of 72 public companies in the “Nondepository credit institutions” industry, but how does it compare to its peers? We will compare NU to similar businesses based on the strength of its dividends, analyst recommendations, valuation, institutional ownership, earnings, risk and profitability.
Analyst Ratings
This is a summary of current ratings and recommmendations for NU and its peers, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| NU | 0 | 1 | 6 | 0 | 2.86 |
| NU Competitors | 275 | 1237 | 1826 | 67 | 2.49 |
NU currently has a consensus price target of $7.83, indicating a potential upside of 67.02%. As a group, “Nondepository credit institutions” companies have a potential upside of 34.26%. Given NU’s stronger consensus rating and higher probable upside, equities research analysts clearly believe NU is more favorable than its peers.
Volatility & Risk
Valuation and Earnings
This table compares NU and its peers top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Net Income | Price/Earnings Ratio | |
| NU | $4.79 billion | -$364.58 million | -58.63 |
| NU Competitors | $3.97 billion | $623.79 million | -2.54 |
NU has higher revenue, but lower earnings than its peers. NU is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.
Profitability
This table compares NU and its peers’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| NU | -7.61% | 2.13% | 0.38% |
| NU Competitors | -47.48% | 2.89% | -0.67% |
Insider & Institutional Ownership
47.6% of NU shares are owned by institutional investors. Comparatively, 35.8% of shares of all “Nondepository credit institutions” companies are owned by institutional investors. 1.2% of NU shares are owned by insiders. Comparatively, 21.3% of shares of all “Nondepository credit institutions” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Summary
NU beats its peers on 7 of the 13 factors compared.
About NU
Nu Holdings Ltd. operates as a digital financial services platform and technology company primarily in Brazil, Mexico, and Colombia. 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. The company provides savings solutions, such as Nu Personal Accounts, a digital account solution that supports all personal finance activities, from daily purchases and money transfers to savings; and Nu business accounts designed specifically for entrepreneur customers and their businesses. In addition, it offers NuInvest, an investment product that provides equity, fixed-income, options, and ETF products, as well as multimarket funds with curated asset allocations based on the customer's risk profile and financial position; personal unsecured loans; in-app ‘buy now pay later' solution for Nu card customers to pay credit and debit purchases, and banking payment slips over time in up to twelve installments; and NuInsurance protecting solutions to help its customers secure life insurance and funeral benefits. The company was founded in 2013 and is headquartered in Sao Paulo, Brazil.
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