Fourth Sail Capital LP Takes Position in Nu Holdings Ltd. $NU

Fourth Sail Capital LP purchased a new position in Nu Holdings Ltd. (NYSE:NU) in the second quarter, HoldingsChannel.com reports. The fund purchased 2,275,411 shares of the company’s stock, valued at approximately $31,219,000. NU comprises about 6.5% of Fourth Sail Capital LP’s investment portfolio, making the stock its 2nd biggest position.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in the stock. Baillie Gifford & Co. raised its holdings in NU by 17.9% in the 1st quarter. Baillie Gifford & Co. now owns 265,160,474 shares of the company’s stock valued at $2,715,243,000 after acquiring an additional 40,181,132 shares during the last quarter. Nuveen LLC acquired a new position in NU in the first quarter valued at $221,317,000. Orbis Allan Gray Ltd purchased a new position in NU during the first quarter worth about $150,763,000. Jennison Associates LLC grew its holdings in NU by 38.1% in the 2nd quarter. Jennison Associates LLC now owns 41,962,679 shares of the company’s stock valued at $575,728,000 after buying an additional 11,567,865 shares during the period. Finally, Kontiki Capital Management HK Ltd. lifted its holdings in shares of NU by 54.3% during the 1st quarter. Kontiki Capital Management HK Ltd. now owns 32,575,725 shares of the company’s stock worth $333,575,000 after acquiring an additional 11,465,700 shares during the period. Hedge funds and other institutional investors own 84.02% of the company’s stock.

NU Stock Performance

Shares of NU stock opened at $15.85 on Monday. The company has a debt-to-equity ratio of 0.24, a current ratio of 0.57 and a quick ratio of 0.57. Nu Holdings Ltd. has a one year low of $9.01 and a one year high of $16.50. The stock has a 50-day moving average of $15.56 and a 200-day moving average of $13.75. The stock has a market cap of $76.38 billion, a PE ratio of 34.46, a price-to-earnings-growth ratio of 0.82 and a beta of 1.08.

NU (NYSE:NU) last posted its quarterly earnings results on Thursday, August 14th. The company reported $0.14 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.12 by $0.02. NU had a net margin of 17.90% and a return on equity of 29.91%. The firm had revenue of $3.70 billion for the quarter, compared to analyst estimates of $3.78 billion. During the same period in the prior year, the firm posted $0.12 earnings per share. As a group, sell-side analysts expect that Nu Holdings Ltd. will post 0.58 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently commented on the stock. Bradesco Corretora raised shares of NU to an “outperform” rating and set a $17.00 target price on the stock in a research note on Monday, August 25th. Susquehanna lifted their price objective on NU from $15.00 to $17.00 and gave the stock a “positive” rating in a report on Wednesday, August 27th. Santander raised shares of NU to a “neutral” rating in a research report on Monday, August 25th. Itau BBA Securities upgraded NU from a “market perform” rating to an “outperform” rating and set a $18.00 price objective on the stock in a research note on Monday, August 18th. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of NU in a report on Wednesday, October 8th. Nine equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $17.10.

About NU

Nu Holdings Ltd. is a holding company, which engages in the provision of digital banking services. The company was founded by David Vélez Osorno, Cristina Helena Zingaretti Junqueira, and Adam Edward Wible on February 26, 2016 and is headquartered in George Town, Cayman Islands.