2024-06-27 15:50:13 ET
Summary
- NU has returned 41% since we first rated it a 'Strong Buy' earlier this year, but we think there could be more growth on the horizon.
- The company's Q1 report was incredible, with top and bottom-line growth of 69% YoY and 135% YoY, respectively.
- Given NU's success in Mexico, we think there's potential for 40%-60% upside over the next twelve months on the back of improving monetization and geographical expansion.
- We re-iterate our 'Strong Buy' rating.
In February of this year, we published an article on Nubank ( NU ) titled: "Nubank: Bet Big On Latin America With This Fintech Monster".
The core of the article was focused on NU's incredible LTV/CAC ratio, asset light business model, and demographic tailwinds in the region. Add these up, we thought, and the path to profitability and an even more premium valuation appeared clear....
Read the full article on Seeking Alpha
For further details see:
Nubank: Stay Long This World-Class Fintech - Results Are Accelerating