Nu Holdings Stock Slammed After Q1 Results: Here's Why - Nu Holdings (NYSE:NU)
Revenue rose 42% year over year to a record $5.32 billion, but shares fell 9.51% in after-hours trading as investors weighed spending and credit quality.
- On Thursday, Nu Holdings reported first-quarter revenue of $5.32 billion, up 42% year-over-year, beating the Street's $5.04 billion estimate. Net income reached $871 million, a 41% increase.
- Investors questioned whether Nu can justify its 'investment year' spending—covering AI, GPU costs, and international expansion—while managing credit quality amid a 40% year-over-year jump in its $32.7 billion credit portfolio.
- Nu ended the quarter with more than 135 million customers globally, while unused credit limits jumped to $29 billion. Management flagged a seasonal uptick in 15 to 90-day NPLs.
- Shares dropped 9.51% to $11.70 in after-hours trading, extending the 23% decline the stock faced since February following strong Q4 results.
- Nu continues its AI transformation, with CEO David Vélez stating, 'We are not adding AI to banking, we are rebuilding banking around AI.' Investors monitor the July 1, 2026 return-to-office rollout.
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The result represents a decrease of 5% compared to the last quarter of 2025 and slightly below the forecasts of analysts, who expected high between 6% and 8%.
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Nu México stopped losing money in the country and reached the “balance point” during the first quarter of the year, driven mainly by the accelerated growth of customers and a greater monetization of its digital platform. We have reached the point of equilibrium and we have become the third largest financial institution in the market,” said David Vélez, founder and CEO of Nubank. Nubank, the firm’s parent company, reported —on the occasion of the…
Nu México reached for the first time in its history the point of equilibrium, in the first quarter of the year. The bank, which expects the authorization of the National Banking and Securities Commission (CNBV) to formally operate under that figure, recently reported that it exceeded 15 million customers. "We have become the third largest financial institution in the market, reaching 15 million customers," said David Vélez, founder and CEO of Nu…
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