No one He enjoys Withdrawal of stocks. I can certainly provide the opportunity to buy for high quality companies, but it’s never fun to see how your personal wealth is reduced. Currently, the shares listed in the United States entered a slight withdrawal, with many faster growing and higher guidance to some steep downs.
One stock on my radar is Nu holdings (Nyse: nu). Financial Technology (Fintech) focused on the Latin American markets market in the amount of 32% of this writing, even after reporting more star earnings in the fourth quarter of 2024.
The stocks look pretty cheap today, but a long runway to increase revenues, users and profits, I think the shares will set more and more in a not -so -distant future.
The world is moving into digital banking. Finally – at least for consumer banking – a bank branch will be a thing of the past. This is true not only in the United States, but also around the world.
The Nu Holdings Management has seen the opportunity in digital and mobile banking when they founded a job more than 10 years ago, bringing an application for mobile banking to the Brazilian market. Nu bank is the result.
The Fintech platform, which is now used by more than half of the adult Brazilian population, took the country with a storm and abolished traditional financial institutions. For a citizen in Brazil, Nu Bank can offer services for all your needs for personal finances. This means that bank accounts, credit cards, investment, personal loans and even insurance. With an intuitive modern interface, the platform has grown like a gangbuster in Brazil and now has close to 100 million users.
Nu Holdings revenue reached $ 3 billion in the last quarter, which is more than 50% compared to the year. 2021. The revenue was only $ 636 million in the fourth quarter. Most of this growth is due to the Brazil market, where Nu Bank now generates close to $ 10 billion in annual revenue. It is powerful impressive for a company that entered the Brazilian market 10 years ago.
With more than 50% of the adult population that uses the service, Nu Holdings approaches the saturation of the users in its home market. However, this does not mean that the growth of revenue will give up. There are two key reasons why Nu Holdings’ revenues can continue to grow at speed.
First, there is a lot of room for income that could grow from existing Brazilian customers. According to his cohort analysis of customers, older users of NU bank generate an average of $ 25 in revenue per month, compared to $ 10 for Nu Bank. Similarly to put it, the longer you are a buyer with nu bank, the more revenue you receive. Over the next few years, tens of millions of customers of NU Bank acquired in recent years should begin to use a platform more often, leading to more consolidated revenue growth.
