NU HOLDINGS LTD/CAYMAN ISL-A (NU) Stock Fundamental Analysis
USA - NYSE:NU - KYG6683N1034 - Common Stock
15.87 USD
-0.07 (-0.44%)
15.9193 USD
+0.05 (+0.31%)
Taking everything into account, NU scores 5 out of 10 in our fundamental rating. NU was compared to 390 industry peers in the Banks industry. While NU is still in line with the averages on profitability rating, there are concerns on its financial health. NU is growing strongly while it is still valued neutral. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year NU was profitable.
NU had a positive operating cash flow in the past year.
In multiple years NU reported negative net income over the last 5 years.
Of the past 5 years NU 4 years had a positive operating cash flow.
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.
NU has a Return On Equity of 24.02%. This is amongst the best in the industry. NU outperforms 99.74% of its industry peers.
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 has a worse Profit Margin (17.90%) than 70.00% of its industry peers.
The Operating Margin of NU (24.65%) is better than 98.72% of its industry peers.
NU has a Gross Margin of 43.42%. This is amongst the best in the industry. NU outperforms 100.00% of its industry peers.
NU's Gross Margin has improved in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NU is destroying value.
The number of shares outstanding for NU has been increased compared to 1 year ago.
NU has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, NU has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.54, 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 0.54, 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.
NU has a Debt to FCF ratio of 10.94. This is in the lower half of the industry: NU underperforms 78.97% of its industry peers.
A Debt/Equity ratio of 4.05 is on the high side and indicates that NU has dependencies on debt financing.
NU has a worse Debt to Equity ratio (4.05) than 95.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.05 | ||
| Debt/FCF | 10.94 | ||
| Altman-Z | 0.54 |
ROIC/WACC0.31
WACC14.27%
2.3 Liquidity
A Current Ratio of 0.18 indicates that NU may have some problems paying its short term obligations.
NU has a better Current ratio (0.18) than 100.00% of its industry peers.
NU has a Quick Ratio of 0.18. This is a bad value and indicates that NU is not financially healthy enough and could expect problems in meeting its short term obligations.
NU has a better Quick ratio (0.18) than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.18 | ||
| Quick Ratio | 0.18 |
3. Growth
3.1 Past
NU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 38.89%, which is quite impressive.
Looking at the last year, NU shows a very strong growth in Revenue. The Revenue has grown by 26.88%.
The Revenue has been growing by 79.85% on average over the past years. This is a very strong growth!
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
Based on estimates for the next years, NU will show a very strong growth in Earnings Per Share. The EPS will grow by 38.41% on average per year.
NU is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 22.90% yearly.
EPS Next Y35.62%
EPS Next 2Y38.88%
EPS Next 3Y38.41%
EPS Next 5YN/A
Revenue Next Year21.24%
Revenue Next 2Y22.39%
Revenue Next 3Y22.9%
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
NU is valuated quite expensively with a Price/Earnings ratio of 31.74.
Based on the Price/Earnings ratio, NU is valued more expensive than 85.13% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.83, NU is valued a bit more expensive.
The Price/Forward Earnings ratio is 18.28, which indicates a rather expensive current valuation of NU.
Based on the Price/Forward Earnings ratio, NU is valued a bit more expensive than 77.69% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 32.68. NU is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.74 | ||
| Fwd PE | 18.28 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NU is valued cheaply inside the industry as 98.72% of the companies are valued more expensively.
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 71.03% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.91 | ||
| EV/EBITDA | 21.82 |
4.3 Compensation for Growth
NU's 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 38.41% in the coming years.
PEG (NY)0.89
PEG (5Y)N/A
EPS Next 2Y38.88%
EPS Next 3Y38.41%
5. Dividend
5.1 Amount
NU does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
15.87
-0.07 (-0.44%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners79.06%
Inst Owner Change-0.2%
Ins Owners0.29%
Ins Owner Change0%
Market Cap76.47B
Revenue(TTM)12.85B
Net Income(TTM)2.30B
Analysts80.83
Price Target16.73 (5.42%)
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)0.08%
EPS NY rev (3m)3.24%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.13%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)-0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.74 | ||
| Fwd PE | 18.28 | ||
| P/S | 5.95 | ||
| P/FCF | 20.91 | ||
| P/OCF | 19.4 | ||
| P/B | 7.99 | ||
| P/tB | 8.84 | ||
| EV/EBITDA | 21.82 |
EPS(TTM)0.5
EY3.15%
EPS(NY)0.87
Fwd EY5.47%
FCF(TTM)0.76
FCFY4.78%
OCF(TTM)0.82
OCFY5.15%
SpS2.67
BVpS1.99
TBVpS1.8
PEG (NY)0.89
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 | 0.54 |
F-Score5
WACC14.27%
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 Y35.62%
EPS Next 2Y38.88%
EPS Next 3Y38.41%
EPS Next 5YN/A
Revenue 1Y (TTM)26.88%
Revenue growth 3Y89.29%
Revenue growth 5Y79.85%
Sales Q2Q%28.78%
Revenue Next Year21.24%
Revenue Next 2Y22.39%
Revenue Next 3Y22.9%
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 31.74 and the Price/Book (PB) ratio is 7.99.
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.