NEW YORK, July 17, 2026, 06:11 EDT
Nu Holdings Ltd. NYSE:NU has appointed Livia Chanes to a regional position and put its valuation under scrutiny. The company’s P/E ratio stands at 21.3, which is more than twice that of Inter & Co Inc. NASDAQ:INTR.
Nu is looking for further expansion beyond Brazil, with just around 15% of its customers based in Mexico and Colombia.
Chanes, who is already CEO of Nubank Brazil, assumed leadership of Latin America on Wednesday. The heads of Mexico and Colombia now report to her.
The main New York session was still shut at 06:11 EDT. Premarket action was ongoing, with Nu projected near $13.60, a fall of 1.4%.
Overall risk sentiment was subdued. At about 06:00 EDT, futures for the Nasdaq dropped 1.8%, while S&P 500 futures slipped 0.9%.
Nu advanced just 0.2% in five sessions. Thursday’s volume surged to 183.9 million shares, close to triple the average. Shares slipped 0.7%.
The market response has lacked a clear rerating. Mexico’s bank approval and Chanes’ promotion both occurred during the same five-session period.
This has created a significant valuation disparity:
| Company | P/E ratio | Nu P/E divided by peer |
|---|---|---|
| Nu Holdings Ltd. NYSE:NU | 21.3x | — |
| Inter & Co Inc. NASDAQ:INTR | 9.4x | 2.3x |
| PagSeguro Digital Ltd. NYSE:PAGS | 6.8x | 3.1x |
| StoneCo Ltd. NASDAQ:STNE | 4.5x | 4.7x |
The reported P/E ratios are rounded to one decimal place.
The businesses are not identical, so the comparison is indicative. Nevertheless, the gap raises expectations for strong earnings.
The premium places the burden of monetization on the region. Brazil accounts for around 85% of the customer base, with 115 million clients, compared to 15 million in Mexico and about 5 million in Colombia.
Mexico provides the initial demonstration. The operation turned a profit in the first quarter, with deposits exceeding $5.9 billion. The conversion to a bank must be completed within 30 calendar days after July 10.
“I am dedicated to making sure that Mexico and Colombia gain from all we have established in Brazil,” Chanes said. During her time in Brazil, Nu gained over 50 million users. Nu International
Strong core performance underpins the premium segment, as first-quarter revenue topped $5 billion. Net income totaled $871 million and return on equity was reported at 29%.
Credit indicators present a contrasting view. Early-stage delinquencies increased to 5.0%, but delinquencies over 90 days declined to 6.5%.
Brazilian assets will face a broader test next week. The United States will impose new 25% tariffs on certain Brazilian products beginning Wednesday, July 22. Brazil’s announced countermeasures introduce further uncertainty to the market.
Nu shareholders are also monitoring developments in Mexico. Although the regulatory conversion period extends past next week, any updates on implementation could impact the share price.
Risks persist. A softer real or increased credit losses could narrow Nu’s premium. Chanes managing two roles could also challenge execution in three markets.
The immediate challenge for investors is now evident. Nu’s economic model in Brazil has been validated, though its regional profitability approach remains unproven.
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