Nu Holdings Valuation

NU Stock  USD 10.84  0.11  1.00%   
At this time, the firm appears to be fairly valued. Nu Holdings owns a latest Real Value of $10.84 per share. The recent price of the firm is $10.84. Our model forecasts the value of Nu Holdings from analyzing the firm fundamentals such as Profit Margin of 0.28 %, return on asset of 0.0281, and Shares Owned By Insiders of 21.88 % as well as examining its technical indicators and probability of bankruptcy. In general, most investors recommend acquiring undervalued equities and selling overvalued equities since, at some point future time, asset prices and their ongoing real values will come together. Key fundamental drivers impacting Nu Holdings' valuation include:
Price Book
8.399
Enterprise Value
47.1 B
Price Sales
14.5158
Forward PE
25.974
Trailing PE
51.6191
Fairly Valued
Today
10.84
Please note that Nu Holdings' price fluctuation is not too volatile at this time. Calculation of the real value of Nu Holdings is based on 3 months time horizon. Increasing Nu Holdings' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Nu Holdings is useful when determining the fair value of the Nu Holdings stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Nu Holdings. Since Nu Holdings is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Nu Holdings Stock. However, Nu Holdings' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  10.84 Real  10.84 Target  9.16 Hype  10.77
The real value of Nu Holdings Stock, also known as its intrinsic value, is the underlying worth of Nu Holdings Company, which is reflected in its stock price. It is based on Nu Holdings' financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Nu Holdings' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Nu Holdings' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
10.84
Real Value
12.99
Upside
Estimating the potential upside or downside of Nu Holdings helps investors to forecast how Nu Holdings stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Nu Holdings more accurately as focusing exclusively on Nu Holdings' fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
0.080.090.09
Details
Hype
Prediction
LowEstimatedHigh
8.6210.7712.92
Details
17 Analysts
Consensus
LowTarget PriceHigh
8.349.1610.17
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Nu Holdings' intrinsic value based on its ongoing forecasts of Nu Holdings' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Nu Holdings' closest peers. When choosing an evaluation method for Nu Holdings, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

Nu Holdings Investments

(165.13 Million)

Nu Holdings Valuation Trend

Knowing Nu Holdings' actual value is paramount for traders to make sound investment determinations. Nu Holdings' real value is not only important for the investor to make better decisions but also for a more accurate overall view of Nu Holdings' financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Nu Holdings' enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

Nu Holdings Market Cap

Nu Holdings is considered to be number one stock in market capitalization category among related companies. Market capitalization of Financials industry is now estimated at about 100.97 Billion. Nu Holdings totals roughly 51.66 Billion in market capitalization claiming about 51% of equities under Financials industry.
Capitalization  Valuation  Workforce  Total debt  Revenue

Nu Holdings Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Nu Holdings's current stock value. Our valuation model uses many indicators to compare Nu Holdings value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Nu Holdings competition to find correlations between indicators driving Nu Holdings's intrinsic value. More Info.
Nu Holdings is considered to be number one stock in price to earning category among related companies. It is considered to be number one stock in price to book category among related companies fabricating about  0.37  of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Nu Holdings is roughly  2.70 . Price To Book Ratio is likely to drop to 5.85 in 2024. Comparative valuation analysis is a catch-all model that can be used if you cannot value Nu Holdings by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Nu Holdings' Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Nu Holdings' earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Nu Holdings' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Nu Holdings and how it compares across the competition.

About Nu Holdings Valuation

The stock valuation mechanism determines the current worth of Nu Holdings on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Nu Holdings. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Nu Holdings based exclusively on its fundamental and basic technical indicators. By analyzing Nu Holdings's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Nu Holdings's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Nu Holdings. We calculate exposure to Nu Holdings's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Nu Holdings's related companies.
Last ReportedProjected for Next Year
Gross Profit4.7 B4.9 B
Pretax Profit Margin 0.22  0.23 
Operating Profit Margin 0.22  0.23 
Net Profit Margin 0.15  0.15 
Gross Profit Margin 0.67  0.70 

8 Steps to conduct Nu Holdings' Valuation Analysis

Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Nu Holdings' potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Nu Holdings' valuation analysis, follow these 8 steps:
  • Gather financial information: Obtain Nu Holdings' financial statements, including balance sheets, income statements, and cash flow statements.
  • Determine Nu Holdings' revenue streams: Identify Nu Holdings' primary sources of revenue, including products or services offered, target markets, and pricing strategies.
  • Analyze market data: Research Nu Holdings' industry and market trends, including the size of the market, growth rate, and competition.
  • Establish Nu Holdings' growth potential: Evaluate Nu Holdings' management, business model, and growth potential.
  • Determine Nu Holdings' financial performance: Analyze its financial statements to assess its historical performance and future potential.
  • Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
  • Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Nu Holdings' estimated value.
  • Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Note: This is a general outline, and different approaches and methods may be used depending on the type and size of the company being valued. We also recomment to seek professional assistance to ensure accuracy.

Nu Holdings Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Nu Holdings does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding4.9 B
Quarterly Earnings Growth Y O Y38
Forward Price Earnings25.974

Nu Holdings Current Valuation Indicators

Valuation refers to the process of determining the present value of Nu Holdings and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Nu Holdings we look at many different elements of the entity such as Nu Holdings's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Nu Holdings' valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Nu Holdings' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Nu Holdings, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Nu Holdings' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Nu Holdings' worth.
When determining whether Nu Holdings is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Nu Holdings Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Nu Holdings Stock. Highlighted below are key reports to facilitate an investment decision about Nu Holdings Stock:
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Nu Holdings. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in employment.
For more information on how to buy Nu Holdings Stock please use our How to Invest in Nu Holdings guide.
You can also try the Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.

Complementary Tools for Nu Holdings Stock analysis

When running Nu Holdings' price analysis, check to measure Nu Holdings' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Nu Holdings is operating at the current time. Most of Nu Holdings' value examination focuses on studying past and present price action to predict the probability of Nu Holdings' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Nu Holdings' price. Additionally, you may evaluate how the addition of Nu Holdings to your portfolios can decrease your overall portfolio volatility.
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Is Nu Holdings' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Nu Holdings. If investors know Nu Holdings will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Nu Holdings listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
38
Earnings Share
0.21
Revenue Per Share
0.782
Quarterly Revenue Growth
0.922
Return On Assets
0.0281
The market value of Nu Holdings is measured differently than its book value, which is the value of Nu Holdings that is recorded on the company's balance sheet. Investors also form their own opinion of Nu Holdings' value that differs from its market value or its book value, called intrinsic value, which is Nu Holdings' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Nu Holdings' market value can be influenced by many factors that don't directly affect Nu Holdings' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Nu Holdings' value and its price as these two are different measures arrived at by different means. Investors typically determine if Nu Holdings is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Nu Holdings' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.