Bank of New York Mellon Corp Reduces Stake in Nu Holdings Ltd. $NU

Bank of New York Mellon Corp reduced its position in Nu Holdings Ltd. (NYSE:NU) by 1.7% during the fourth quarter, HoldingsChannel.com reports. The institutional investor owned 7,661,818 shares of the company’s stock after selling 130,866 shares during the period. Bank of New York Mellon Corp’s holdings in NU were worth $128,259,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors and hedge funds have also recently modified their holdings of the company. LOM Asset Management Ltd purchased a new position in NU during the fourth quarter valued at $25,000. Cornerstone Planning Group LLC lifted its position in shares of NU by 5,448.3% in the fourth quarter. Cornerstone Planning Group LLC now owns 1,609 shares of the company’s stock valued at $27,000 after acquiring an additional 1,580 shares in the last quarter. Morse Asset Management Inc purchased a new position in shares of NU in the fourth quarter valued at about $31,000. Fifth Third Bancorp lifted its position in shares of NU by 433.0% in the fourth quarter. Fifth Third Bancorp now owns 1,988 shares of the company’s stock valued at $33,000 after acquiring an additional 1,615 shares in the last quarter. Finally, EverSource Wealth Advisors LLC lifted its position in shares of NU by 63.5% in the second quarter. EverSource Wealth Advisors LLC now owns 3,768 shares of the company’s stock valued at $52,000 after acquiring an additional 1,464 shares in the last quarter. 84.02% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on the company. Weiss Ratings downgraded NU from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Wednesday, May 13th. UBS Group lowered their price objective on NU from $18.10 to $16.90 and set a “buy” rating on the stock in a research report on Wednesday, May 20th. CICC Research assumed coverage on NU in a research report on Tuesday, April 14th. They issued an “outperform” rating and a $18.00 price objective on the stock. Susquehanna downgraded NU from a “positive” rating to a “neutral” rating and lowered their price objective for the company from $18.00 to $13.00 in a research report on Wednesday. Finally, Zacks Research downgraded NU from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, March 24th. Ten research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $17.08.

Insider Activity at NU

In other NU news, CEO Cristina Helena Zing Junqueira sold 300,000 shares of the business’s stock in a transaction that occurred on Monday, March 23rd. The stock was sold at an average price of $14.81, for a total transaction of $4,443,000.00. Following the sale, the chief executive officer directly owned 2,312,338 shares of the company’s stock, valued at $34,245,725.78. The trade was a 11.48% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Anita M. Sands sold 21,000 shares of the business’s stock in a transaction that occurred on Friday, May 15th. The stock was sold at an average price of $12.24, for a total value of $257,040.00. Following the sale, the director directly owned 162,150 shares in the company, valued at $1,984,716. The trade was a 11.47% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders own 1.20% of the company’s stock.

NU Trading Down 1.3%

Shares of NU stock opened at $11.97 on Friday. The stock’s 50-day moving average price is $13.79 and its 200-day moving average price is $15.53. The company has a current ratio of 0.58, a quick ratio of 0.58 and a debt-to-equity ratio of 0.36. Nu Holdings Ltd. has a 12-month low of $11.20 and a 12-month high of $18.98. The stock has a market capitalization of $58.10 billion, a price-to-earnings ratio of 18.41, a price-to-earnings-growth ratio of 0.48 and a beta of 0.95.

NU (NYSE:NU) last issued its quarterly earnings data on Friday, May 15th. The company reported $0.19 earnings per share for the quarter, missing the consensus estimate of $0.20 by ($0.01). NU had a return on equity of 30.91% and a net margin of 18.20%.The company had revenue of $5.32 billion for the quarter, compared to the consensus estimate of $5.06 billion. Equities research analysts predict that Nu Holdings Ltd. will post 0.84 EPS for the current fiscal year.

NU declared that its board has approved a share repurchase plan on Thursday, June 4th that allows the company to buyback $0.00 in outstanding shares. This buyback authorization allows the company to reacquire shares of its stock through open market purchases. Shares buyback plans are typically an indication that the company’s board believes its stock is undervalued.

About NU

Nu Holdings Ltd (NYSE: NU), commonly known by its consumer brand Nubank, is a Latin American financial technology company that provides digital banking and financial services through a mobile-first platform. The company’s core offerings include no-fee digital checking accounts, credit cards, personal loans, payments and transfers, and a range of savings and investment products. Nubank emphasizes a streamlined customer experience delivered via its smartphone app, combined with data-driven underwriting and automated customer service tools.

Founded in 2013 by David Vélez, Cristina Junqueira and Edward Wible, Nu grew rapidly by targeting underbanked and digitally savvy consumers in Latin America with low-fee, transparent products.