Nu Holdings: An Emerging Market Beauty

Summary:

• Nu Holdings has shown impressive growth, with a 23% YoY increase in customers and a 56% YoY revenue rise, despite a recent 15.7% pullback.
• NU’s dominance in Brazil and rapid expansion in Mexico and Colombia highlight significant growth potential in Latin America.
• The main risk is the economic instability in LatAm, but NU’s strong fundamentals and efficiency ratio suggest resilience.
• NU is undervalued with a PEG GAAP ratio of 0.10x, making it a compelling investment for those positive on emerging markets.

Introduction

Nu Holdings (NYSE:NU), a leading emerging markets fintech, has performed incredibly well over the last 12 months (up until about 2 weeks ago). One year performance was about 96% from the lows of $8.10 to the highs of $15.9

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