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

Nu Holdings Ltd. (NYSE:NU)’s stock price gapped down before the market opened on Friday . The stock had previously closed at $13.34, but opened at $11.91. NU shares last traded at $11.31, with a volume of 35,803,918 shares changing hands.

Wall Street Analysts Forecast Growth

A number of research firms recently issued reports on NU. KeyCorp boosted their price objective on NU from $15.00 to $17.00 and gave the company an “overweight” rating in a research report on Thursday, November 14th. Itau BBA Securities cut shares of NU from an “outperform” rating to a “market perform” rating in a report on Thursday, November 14th. Citigroup cut shares of NU from a “neutral” rating to a “sell” rating and decreased their target price for the stock from $14.60 to $11.00 in a research report on Monday, December 2nd. UBS Group reduced their price objective on NU from $15.50 to $15.00 and set a “neutral” rating for the company in a research report on Tuesday. Finally, Susquehanna boosted their price target on shares of NU from $16.00 to $18.00 and gave the stock a “positive” rating in a research report on Thursday, November 14th. One equities research analyst has rated the stock with a sell rating, four have given a hold rating and five have given a buy rating to the stock. According to MarketBeat, NU has an average rating of “Hold” and an average target price of $15.80.

NU Stock Performance

The firm has a fifty day moving average price of $11.95 and a 200 day moving average price of $13.23. The firm has a market capitalization of $52.88 billion, a PE ratio of 30.78, a P/E/G ratio of 0.48 and a beta of 1.10. The company has a debt-to-equity ratio of 0.20, a current ratio of 0.44 and a quick ratio of 0.44.

NU (NYSE:NU) last issued its earnings results on Thursday, February 20th. The company reported $0.12 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.12. NU had a net margin of 16.28% and a return on equity of 28.70%. The company had revenue of $2.99 billion during the quarter, compared to analyst estimates of $3.17 billion. Research analysts anticipate that Nu Holdings Ltd. will post 0.42 earnings per share for the current fiscal year.

Institutional Investors Weigh In On NU

Several hedge funds and other institutional investors have recently made changes to their positions in NU. Norges Bank bought a new position in shares of NU during the 4th quarter worth about $447,762,000. State Street Corp raised its holdings in NU by 105.9% in the 3rd quarter. State Street Corp now owns 78,865,138 shares of the company’s stock valued at $1,076,509,000 after acquiring an additional 40,560,986 shares in the last quarter. Baillie Gifford & Co. grew its holdings in shares of NU by 13.0% during the 3rd quarter. Baillie Gifford & Co. now owns 210,103,451 shares of the company’s stock worth $2,867,912,000 after purchasing an additional 24,140,416 shares in the last quarter. Arrowstreet Capital Limited Partnership lifted its position in NU by 2,193.7% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 18,109,184 shares of the company’s stock worth $187,611,000 after purchasing an additional 17,319,681 shares during the period. Finally, Geode Capital Management LLC boosted its stake in NU by 104.3% during the third quarter. Geode Capital Management LLC now owns 32,597,803 shares of the company’s stock worth $442,935,000 after buying an additional 16,638,397 shares in the last quarter. 84.02% of the stock is owned by institutional investors and hedge funds.

NU Company Profile

Nu Holdings Ltd. is a holding company, which engages in the provision of digital banking services. The company was founded by David Vélez Osorno, Cristina Helena Zingaretti Junqueira, and Adam Edward Wible on February 26, 2016 and is headquartered in George Town, Cayman Islands.