Traders Buy High Volume of Call Options on NU (NYSE:NU)

Nu Holdings Ltd. (NYSE:NU) saw some unusual options trading activity on Friday. Investors purchased 117,160 call options on the company. This represents an increase of approximately 84% compared to the average daily volume of 63,637 call options.

Institutional Investors Weigh In On NU

Hedge funds have recently added to or reduced their stakes in the stock. Armstrong Advisory Group Inc. bought a new stake in NU during the 2nd quarter worth about $27,000. ORG Partners LLC boosted its stake in shares of NU by 474.1% in the 2nd quarter. ORG Partners LLC now owns 2,325 shares of the company’s stock valued at $32,000 after purchasing an additional 1,920 shares during the last quarter. NBC Securities Inc. boosted its stake in shares of NU by 286,000.0% in the 1st quarter. NBC Securities Inc. now owns 2,861 shares of the company’s stock valued at $29,000 after purchasing an additional 2,860 shares during the last quarter. Capital Analysts LLC bought a new position in shares of NU in the 1st quarter valued at about $31,000. Finally, TFC Financial Management Inc. boosted its stake in shares of NU by 74.1% in the 1st quarter. TFC Financial Management Inc. now owns 3,114 shares of the company’s stock valued at $32,000 after purchasing an additional 1,325 shares during the last quarter. Institutional investors own 84.02% of the company’s stock.

NU Stock Down 6.9%

Shares of NYSE:NU opened at $13.02 on Friday. NU has a 12 month low of $9.01 and a 12 month high of $16.15. The company’s 50-day moving average price is $12.75 and its two-hundred day moving average price is $12.02. The company has a quick ratio of 0.54, a current ratio of 0.54 and a debt-to-equity ratio of 0.20. The firm has a market cap of $62.74 billion, a P/E ratio of 30.28, a P/E/G ratio of 0.80 and a beta of 1.07.

NU (NYSE:NU) last issued its quarterly earnings data on Tuesday, May 13th. The company reported $0.11 EPS for the quarter, missing analysts’ consensus estimates of $0.12 by ($0.01). NU had a return on equity of 30.77% and a net margin of 17.88%. The company had revenue of $3.25 billion for the quarter, compared to the consensus estimate of $3.09 billion. During the same period in the prior year, the company earned $0.09 EPS. As a group, research analysts forecast that NU will post 0.58 EPS for the current fiscal year.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on NU. JPMorgan Chase & Co. increased their price objective on shares of NU from $14.50 to $16.00 and gave the company an “overweight” rating in a research note on Monday, June 30th. Morgan Stanley reaffirmed an “overweight” rating on shares of NU in a report on Friday, June 13th. Barclays upped their target price on shares of NU from $15.00 to $16.00 and gave the stock an “overweight” rating in a report on Friday, April 25th. Finally, Susquehanna upped their target price on shares of NU from $14.00 to $15.00 and gave the stock a “positive” rating in a report on Wednesday, May 14th. One investment analyst has rated the stock with a sell rating, three have assigned a hold rating and six have given a buy rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $15.50.

NU Company Profile

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.