New York, June 15, 2026, 16:01 (EDT).
- Nu Holdings shares were up 1.7% at about $12.40 late Monday. Citi downgraded the stock to Neutral from Buy, dropping its price target to $13 from $18.
- Stocks climbed in the U.S., with both SPY and QQQ up, but Brazilian shares lagged as EWZ traded lower.
- Q2 earnings are the next key event, with Public.com showing a date of August 13, 2026.
Nu Holdings Ltd. shares gained late Monday, with the stock trading near $12.40, up $0.21, as more than 46 million shares changed hands. Market cap was about $59.2 billion. The move higher came after a downgrade. MT Newswires, via MarketScreener, said early Monday that Citigroup lowered its rating on Nu Holdings to Neutral from Buy and slashed its price target to $13 from $18. Stocks sometimes rally after negative analyst calls if investors see the news as priced in, or if buying outpaces a downgrade. Shares drop on new information that cuts expected earnings, valuation, or confidence.
Nu held up better than it might have, thanks to a strong index move. SPY, which tracks the S&P 500, added roughly 1.7% and QQQ, tracking the Nasdaq-100, climbed 3.1%. It’s a clear risk-on day for U.S. growth stocks. The Brazil read was weaker—EWZ, the iShares MSCI Brazil ETF, slipped about 1.4%. That put Nu’s bounce closer to other U.S.-traded fintech names, not a general Brazil rally.
Scale and profit are still at the center of the bull case. Nu in May said its customer base has grown past 135 million, with quarterly revenue topping $5 billion for the first time and net income coming in at $871 million. Return on equity was 29%, with ROE measuring profit generated from shareholder capital. Founder and CEO David Vélez said Nu is “rebuilding banking around AI.” He pointed to proprietary credit card and lending models. The firm also set out a $1 billion Class A buyback plan, which could lift per-share earnings if buybacks happen at good prices. Nu International
Bears aren’t only focused on the stock price. Reuters said Friday some Nubank clients got a message claiming the central bank had liquidated the company. Nubank said it was a one-off operational mistake, didn’t touch client data, and services ran as normal. The central bank said it hadn’t intervened. Trust is key for a digital bank. On credit, Nu’s 15-to-90-day NPL ratio went up to 5.0% in Q1, while 90-day-plus NPLs slipped to 6.5%. NPLs measure late or stalled loans; an uptick in early delinquencies can mean bigger losses down the line.
Nu still looks risky right now, but there could be an upside for investors who can stomach Latin American credit and execution risk. Zacks pointed out Monday that the stock is down 27% for the year, while the industry is up 9%. Nu also trades at a forward P/E of 12.43, higher than the industry’s 10.86. Investors are paying up for expected growth despite the slide. Next, Q2 earnings come August 13. Investors want signs that credit losses aren’t getting worse, Mexico is moving forward, the buyback isn’t being misused, and Rob Livingston’s CFO start on July 13 hasn’t thrown things off.
