Nu Holdings Ltd. (NU): one to watch?

Fundamentals are excellent, but the drop is fear over a possibly expensive, dilutive Monzo takeover — wait for deal clarity before buying.

👀 WATCH Fundamentals81/100

Fell 10% in 1 trading day(s) — now $12.23

Why NU dropped

Nu Holdings fell 10% in one day after reports it may pay up to £10 billion for UK digital bank Monzo, funded with cash and new shares, on top of an existing Sept 16 analyst downgrade over Brazilian credit risk.

Fwd P/E 10.8Op margin 50.2%Rev growth 52.1%Debt/equity —Analyst upside 52.8%

How this scored 81/100

✅ Passes all 4 hard checks — profitable, cash-generative, and financially survivable.

✅ Makes money Net profit margin 42.7%

✅ Generates cash Free cash flow unknown

✅ Not drowning in debt Debt/equity unknown — exempt (banks run on leverage by design)

✅ Can pay its bills Exempt (financials)

Bar length shows how much each metric is worth — a 10-point metric is twice as wide as a 5-point one. Hover any row for what it means.

Profitability Does it actually make money? 25/25

Operating margin 50.2% 9/9

Net profit margin 42.7% 8/8

Return on equity 31.6% 8/8

Growth Is it getting bigger, or dying? 25/25

Revenue growth 52.1% 9/9

Earnings growth 66.3% 8/8

Expected profit change 54.8% 8/8

Value Is it cheap right now? 23/25

Forward P/E 10.8 9/10

PEG ratio 0.6 8/8

Analyst target upside 52.8% 6/7

Balance sheet Will it survive? 8/25

Debt / equity unknown 3/10

Current ratio unknown 2/8

Free cash flow unknown 2/7

🔒 Read the full AI analysis

Create a free account to unlock the bull case and the risks for NU — plus today's other picks.

Analysis generated by SmartStonks's AI from public fundamentals and news, first flagged 2026-09-29. Research only — not financial advice.