NU HOLDINGS LTD/CAYMAN ISL-A (NU) Stock Fundamental Analysis
USA - NYSE:NU - KYG6683N1034 - Common Stock
16.39 USD
+0.37 (+2.31%)
16.57 USD
+0.18 (+1.1%)
Overall NU gets a fundamental rating of 5 out of 10. We evaluated NU against 388 industry peers in the Banks industry. There are concerns on the financial health of NU while its profitability can be described as average. NU is growing strongly while it is still valued neutral. This is a good combination!
1. Profitability
1.1 Basic Checks
NU had positive earnings in the past year.
NU had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: NU reported negative net income in multiple years.
NU had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
NU has a Return On Assets of 3.67%. This is amongst the best in the industry. NU outperforms 100.00% of its industry peers.
Looking at the Return On Equity, with a value of 24.02%, NU belongs to the top of the industry, outperforming 99.74% of the companies in the same industry.
The Return On Invested Capital of NU (4.41%) is better than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.67% | ||
| ROE | 24.02% | ||
| ROIC | 4.41% |
ROA(3y)1.7%
ROA(5y)0.52%
ROE(3y)11.47%
ROE(5y)-1.69%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
NU's Profit Margin of 17.90% is on the low side compared to the rest of the industry. NU is outperformed by 70.36% of its industry peers.
NU's Operating Margin of 24.65% is amongst the best of the industry. NU outperforms 98.71% of its industry peers.
NU has a better Gross Margin (43.42%) than 100.00% of its industry peers.
In the last couple of years the Gross Margin of NU has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.65% | ||
| PM (TTM) | 17.9% | ||
| GM | 43.42% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.85%
GM growth 5Y2.4%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NU is destroying value.
NU has more shares outstanding than it did 1 year ago.
NU has more shares outstanding than it did 5 years ago.
NU has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.55, we must say that NU is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.55, NU belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
The Debt to FCF ratio of NU is 10.94, which is on the high side as it means it would take NU, 10.94 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 10.94, NU is doing worse than 78.61% of the companies in the same industry.
NU has a Debt/Equity ratio of 4.05. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 4.05, NU is not doing good in the industry: 95.36% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.05 | ||
| Debt/FCF | 10.94 | ||
| Altman-Z | 0.55 |
ROIC/WACC0.31
WACC14.39%
2.3 Liquidity
A Current Ratio of 0.18 indicates that NU may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.18, NU belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
A Quick Ratio of 0.18 indicates that NU may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.18, NU belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.18 | ||
| Quick Ratio | 0.18 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 38.89% over the past year.
NU shows a strong growth in Revenue. In the last year, the Revenue has grown by 26.88%.
Measured over the past years, NU shows a very strong growth in Revenue. The Revenue has been growing by 79.85% on average per year.
EPS 1Y (TTM)38.89%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%16.67%
Revenue 1Y (TTM)26.88%
Revenue growth 3Y89.29%
Revenue growth 5Y79.85%
Sales Q2Q%28.78%
3.2 Future
NU is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 38.46% yearly.
NU is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 22.92% yearly.
EPS Next Y35.85%
EPS Next 2Y38.97%
EPS Next 3Y38.46%
EPS Next 5YN/A
Revenue Next Year21.27%
Revenue Next 2Y22.35%
Revenue Next 3Y22.92%
Revenue Next 5YN/A
3.3 Evolution
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 32.78, NU can be considered very expensive at the moment.
NU's Price/Earnings ratio is rather expensive when compared to the industry. NU is more expensive than 85.05% of the companies in the same industry.
When comparing the Price/Earnings ratio of NU to the average of the S&P500 Index (26.35), we can say NU is valued slightly more expensively.
A Price/Forward Earnings ratio of 18.86 indicates a rather expensive valuation of NU.
Based on the Price/Forward Earnings ratio, NU is valued a bit more expensive than the industry average as 77.58% of the companies are valued more cheaply.
NU is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 33.72, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.78 | ||
| Fwd PE | 18.86 |
4.2 Price Multiples
NU's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. NU is cheaper than 98.71% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NU indicates a slightly more expensive valuation: NU is more expensive than 70.10% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.6 | ||
| EV/EBITDA | 21.94 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
NU has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as NU's earnings are expected to grow with 38.46% in the coming years.
PEG (NY)0.91
PEG (5Y)N/A
EPS Next 2Y38.97%
EPS Next 3Y38.46%
5. Dividend
5.1 Amount
No dividends for NU!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
16.39
+0.37 (+2.31%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners79.06%
Inst Owner Change0.01%
Ins Owners0.29%
Ins Owner Change0%
Market Cap78.98B
Revenue(TTM)12.85B
Net Income(TTM)2.30B
Analysts80.83
Price Target16.73 (2.07%)
Short Float %2.87%
Short Ratio2.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.18%
Min EPS beat(2)-6.52%
Max EPS beat(2)4.16%
EPS beat(4)2
Avg EPS beat(4)0.28%
Min EPS beat(4)-6.52%
Max EPS beat(4)6.03%
EPS beat(8)5
Avg EPS beat(8)3.02%
EPS beat(12)9
Avg EPS beat(12)24.29%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-2.62%
Min Revenue beat(2)-5.67%
Max Revenue beat(2)0.42%
Revenue beat(4)2
Avg Revenue beat(4)-4.23%
Min Revenue beat(4)-11.83%
Max Revenue beat(4)0.42%
Revenue beat(8)5
Avg Revenue beat(8)-1.19%
Revenue beat(12)8
Avg Revenue beat(12)-0.39%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.4%
PT rev (3m)16.73%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.26%
EPS NY rev (1m)0.25%
EPS NY rev (3m)3.42%
Revenue NQ rev (1m)2.32%
Revenue NQ rev (3m)-1.9%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)-0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.78 | ||
| Fwd PE | 18.86 | ||
| P/S | 6.15 | ||
| P/FCF | 21.6 | ||
| P/OCF | 20.04 | ||
| P/B | 8.25 | ||
| P/tB | 9.13 | ||
| EV/EBITDA | 21.94 |
EPS(TTM)0.5
EY3.05%
EPS(NY)0.87
Fwd EY5.3%
FCF(TTM)0.76
FCFY4.63%
OCF(TTM)0.82
OCFY4.99%
SpS2.67
BVpS1.99
TBVpS1.8
PEG (NY)0.91
PEG (5Y)N/A
Graham Number4.73
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.67% | ||
| ROE | 24.02% | ||
| ROCE | 27.16% | ||
| ROIC | 4.41% | ||
| ROICexc | 5.28% | ||
| ROICexgc | 5.43% | ||
| OM | 24.65% | ||
| PM (TTM) | 17.9% | ||
| GM | 43.42% | ||
| FCFM | 28.46% |
ROA(3y)1.7%
ROA(5y)0.52%
ROE(3y)11.47%
ROE(5y)-1.69%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.85%
GM growth 5Y2.4%
F-Score5
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.05 | ||
| Debt/FCF | 10.94 | ||
| Debt/EBITDA | 11.92 | ||
| Cap/Depr | 335.54% | ||
| Cap/Sales | 2.21% | ||
| Interest Coverage | 51.91 | ||
| Cash Conversion | 121.18% | ||
| Profit Quality | 159% | ||
| Current Ratio | 0.18 | ||
| Quick Ratio | 0.18 | ||
| Altman-Z | 0.55 |
F-Score5
WACC14.39%
ROIC/WACC0.31
Cap/Depr(3y)276.52%
Cap/Depr(5y)220.29%
Cap/Sales(3y)2.04%
Cap/Sales(5y)1.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)38.89%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%16.67%
EPS Next Y35.85%
EPS Next 2Y38.97%
EPS Next 3Y38.46%
EPS Next 5YN/A
Revenue 1Y (TTM)26.88%
Revenue growth 3Y89.29%
Revenue growth 5Y79.85%
Sales Q2Q%28.78%
Revenue Next Year21.27%
Revenue Next 2Y22.35%
Revenue Next 3Y22.92%
Revenue Next 5YN/A
EBIT growth 1Y39.22%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year140.14%
EBIT Next 3Y40.94%
EBIT Next 5YN/A
FCF growth 1Y97.99%
FCF growth 3YN/A
FCF growth 5Y52.3%
OCF growth 1Y96.38%
OCF growth 3YN/A
OCF growth 5Y54.09%
NU HOLDINGS LTD/CAYMAN ISL-A / NU FAQ
What is the fundamental rating for NU stock?
ChartMill assigns a fundamental rating of 5 / 10 to NU.
What is the valuation status for NU stock?
ChartMill assigns a valuation rating of 4 / 10 to NU HOLDINGS LTD/CAYMAN ISL-A (NU). This can be considered as Fairly Valued.
Can you provide the profitability details for NU HOLDINGS LTD/CAYMAN ISL-A?
NU HOLDINGS LTD/CAYMAN ISL-A (NU) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for NU stock?
The Price/Earnings (PE) ratio for NU HOLDINGS LTD/CAYMAN ISL-A (NU) is 32.78 and the Price/Book (PB) ratio is 8.25.
What is the financial health of NU HOLDINGS LTD/CAYMAN ISL-A (NU) stock?
The financial health rating of NU HOLDINGS LTD/CAYMAN ISL-A (NU) is 2 / 10.