Pale Fire Capital SE Purchases Shares of 735,954 Nu Holdings Ltd. $NU

Pale Fire Capital SE purchased a new position in shares of Nu Holdings Ltd. (NYSE:NU) during the 2nd quarter, according to its most recent Form 13F filing with the SEC. The fund purchased 735,954 shares of the company’s stock, valued at approximately $9,832,000. NU makes up about 0.3% of Pale Fire Capital SE’s holdings, making the stock its 19th biggest position.

Other large investors also recently modified their holdings of the company. Caitong International Asset Management Co. Ltd increased its position in shares of NU by 14,810.0% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 1,491 shares of the company’s stock valued at $25,000 after acquiring an additional 1,481 shares during the last quarter. Zions Bancorporation National Association UT bought a new stake in shares of NU during the 4th quarter worth approximately $27,000. Morse Asset Management Inc acquired a new stake in shares of NU in the 4th quarter valued at approximately $31,000. Fifth Third Bancorp grew its stake in shares of NU by 433.0% in the fourth quarter. Fifth Third Bancorp now owns 1,988 shares of the company’s stock valued at $33,000 after buying an additional 1,615 shares in the last quarter. Finally, Hollencrest Capital Management bought a new position in shares of NU in the fourth quarter valued at $33,000. 84.02% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity

In related news, insider Henrique Camossa Sald Fragelli sold 221,707 shares of the company’s stock in a transaction dated Friday, August 14th. The shares were sold at an average price of $15.81, for a total value of $3,505,187.67. Following the transaction, the insider owned 979,446 shares in the company, valued at approximately $15,485,041.26. This represents a 18.46% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Cristina Helena Zing Junqueira sold 65,000 shares of the stock in a transaction dated Tuesday, August 25th. The shares were sold at an average price of $14.71, for a total transaction of $956,150.00. Following the completion of the transaction, the chief executive officer directly owned 2,542,083 shares in the company, valued at approximately $37,394,040.93. This represents a 2.49% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 361,707 shares of company stock valued at $5,626,338 in the last ninety days. 1.20% of the stock is currently owned by insiders.

NU Stock Up 6.3%

NU opened at $15.37 on Thursday. Nu Holdings Ltd. has a 1-year low of $11.20 and a 1-year high of $18.98. The stock’s fifty day simple moving average is $14.12 and its 200 day simple moving average is $14.07. The company has a current ratio of 0.55, a quick ratio of 0.55 and a debt-to-equity ratio of 0.35. The stock has a market cap of $74.63 billion, a PE ratio of 20.77, a price-to-earnings-growth ratio of 0.56 and a beta of 0.94.

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

NU declared that its board has authorized a stock repurchase program on Thursday, June 4th that permits the company to buyback $0.00 in outstanding shares. This buyback authorization permits the company to reacquire shares of its stock through open market purchases. Stock buyback programs are often a sign that the company’s board of directors believes its shares are undervalued.

Wall Street Analyst Weigh In

Several analysts have issued reports on the stock. Wolfe Research dropped their price target on shares of NU from $18.00 to $17.00 and set an “outperform” rating on the stock in a research report on Tuesday, August 25th. Weiss Ratings downgraded shares of NU from a “hold (c+)” rating to a “hold (c)” rating in a research report on Friday, August 21st. JPMorgan Chase & Co. boosted their price objective on shares of NU from $18.00 to $20.00 and gave the stock an “overweight” rating in a research note on Tuesday, July 7th. Scotiabank cut shares of NU to a “sector perform” rating and set a $13.00 target price on the stock. in a report on Wednesday, June 3rd. Finally, Bank of America reiterated an “underperform” rating on shares of NU in a research note on Tuesday, June 2nd. Nine research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $17.91.

NU Profile

Nu Holdings Ltd (NYSE: NU), commonly known by its consumer brand Nubank, is a Latin American financial technology company that provides digital banking and financial services through a mobile-first platform. The company’s core offerings include no-fee digital checking accounts, credit cards, personal loans, payments and transfers, and a range of savings and investment products. Nubank emphasizes a streamlined customer experience delivered via its smartphone app, combined with data-driven underwriting and automated customer service tools.

Founded in 2013 by David Vélez, Cristina Junqueira and Edward Wible, Nu grew rapidly by targeting underbanked and digitally savvy consumers in Latin America with low-fee, transparent products.