12.5% Below Target

Nu Holdings Ltd. (NU) has a consensus 12-month price target of $14.3, implying 12.5% upside from $12.71. The 22 analysts covering NU see moderate appreciation potential.

NU has a consensus rating of "Buy" based on 22 Wall Street analysts. The rating breakdown is predominantly bullish, with 12 Buy/Strong Buy ratings. The consensus 12-month price target of $14.3 implies 12.5% upside from current levels.

With a forward P/E of 14.9653x, NU trades at a relatively low valuation. The consensus target of $14.3 implies 12.5% appreciation, suggesting meaningful undervaluation.

The most bullish Wall Street analyst has a price target of $16.9 for NU, while the most conservative target is $13. The consensus of $14.3 represents the median expectation. Our quantitative valuation model projects a bull case target of $20 based on optimistic growth and margin assumptions. These targets typically reflect 12-month expectations.

NU is well covered by analysts, with 22 analysts providing price targets and ratings. Of these, 0 have Strong Buy ratings, 12 have Buy ratings, 8 recommend Hold, and 2 have Sell or Strong Sell ratings. Higher analyst coverage generally indicates greater institutional interest and more reliable consensus estimates.

The 12-month NU stock forecast based on 22 Wall Street analysts shows a consensus price target of $14.3, with estimates ranging from $13 (bear case) to $16.9 (bull case). The median consensus rating is "Buy". Our proprietary valuation model produces a base case fair value of $15, with bear/bull scenarios of $10/$20.

Our quantitative valuation model calculates NU's fair value at $15 (base case), with a bear case of $10 and bull case of $20. The model uses discounted cash flow analysis, historical growth rates, and margin mean-reversion to project FY+2 earnings, then applies an appropriate P/E multiple. The model confidence score is 61/100.

NU trades at a forward P/E ratio of 15.0x based on next-twelve-months earnings estimates compared to a trailing P/E of 21.9x. The lower forward P/E indicates analysts expect earnings growth. A forward P/E is useful for comparing valuations when earnings are expected to change significantly.

Wall Street analysts are optimistic on NU, with a "Buy" consensus rating and $14.3 price target (12.5% upside). 12 of 22 analysts rate it Buy or Strong Buy. This information is for educational purposes only. Always conduct your own research, consider your financial situation, and consult a financial advisor before making investment decisions.

NU analyst price targets range from $13 to $16.9, a 27% moderate spread showing some variance in outlooks. Differences stem from varying assumptions about revenue growth, profit margins, competitive dynamics, and valuation multiples. The $14.3 consensus represents the middle ground. Our model's $10-$20 range provides an independent fundamental perspective.