NU (NYSE:NU) Stock Sees Unusually High Call Option Buying

Nu Holdings Ltd. (NYSE:NU) saw some unusual options trading on Friday. Stock traders purchased 134,496 call options on the company. This represents an increase of 45% compared to the typical daily volume of 92,623 call options.

Wall Street Analysts Forecast Growth

NU has been the topic of several research reports. JPMorgan Chase & Co. raised their target price on NU from $20.00 to $23.00 and gave the stock an “overweight” rating in a research report on Tuesday, October 6th. UBS Group increased their price target on NU from $18.20 to $20.50 and gave the company a “buy” rating in a report on Tuesday. Wolfe Research dropped their price objective on NU from $18.00 to $17.00 and set an “outperform” rating for the company in a report on Tuesday, August 25th. Needham & Company LLC restated a “buy” rating and issued a $19.00 price target on shares of NU in a report on Monday, September 28th. Finally, Itau BBA Securities lowered NU from an “outperform” rating to a “market perform” rating and lowered their price objective for the stock from $20.00 to $18.00 in a research report on Wednesday, September 16th. Nine equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $18.12.

NU Stock Up 1.5%

Shares of NU traded up $0.23 during midday trading on Friday, hitting $14.96. The company had a trading volume of 44,608,844 shares, compared to its average volume of 64,636,414. NU has a 1 year low of $11.20 and a 1 year high of $18.98. The company’s 50-day simple moving average is $14.57 and its 200-day simple moving average is $13.94. The company has a debt-to-equity ratio of 0.35, a quick ratio of 0.55 and a current ratio of 0.55. The firm has a market capitalization of $72.62 billion, a P/E ratio of 20.23, a P/E/G ratio of 0.62 and a beta of 0.95.

NU (NYSE:NU) last announced its quarterly earnings data on Tuesday, June 30th. The company reported $0.22 earnings per share for the quarter. The business had revenue of $5.88 billion for the quarter. NU had a net margin of 18.65% and a return on equity of 31.59%. As a group, sell-side analysts expect that NU will post 0.86 EPS for the current year.

Insider Activity at NU

In related news, CEO Cristina Junqueira sold 65,000 shares of NU stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $14.71, for a total value of $956,150.00. Following the transaction, the chief executive officer owned 2,542,083 shares in the company, valued at $37,394,040.93. This trade represents a 2.49% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Henrique Camossa Sald Fragelli sold 221,707 shares of the firm’s stock in a transaction on Friday, August 14th. The stock was sold at an average price of $15.81, for a total value of $3,505,187.67. Following the completion of the sale, the insider directly owned 979,446 shares of the company’s stock, valued at $15,485,041.26. The trade was a 18.46% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 386,707 shares of company stock valued at $6,001,588. 1.20% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On NU

Several hedge funds have recently made changes to their positions in the business. Dimensional Fund Advisors LP increased its holdings in shares of NU by 990.3% in the first quarter. Dimensional Fund Advisors LP now owns 298,789 shares of the company’s stock valued at $4,294,000 after purchasing an additional 271,385 shares during the period. Handelsbanken Fonder AB raised its position in NU by 5.6% during the 2nd quarter. Handelsbanken Fonder AB now owns 2,770,572 shares of the company’s stock worth $37,015,000 after buying an additional 146,764 shares during the last quarter. C WorldWide Group Holding A S raised its position in NU by 1,188.4% during the 2nd quarter. C WorldWide Group Holding A S now owns 4,973,457 shares of the company’s stock worth $66,445,000 after buying an additional 4,587,432 shares during the last quarter. Groupe la Francaise lifted its stake in shares of NU by 50.2% in the 2nd quarter. Groupe la Francaise now owns 872,703 shares of the company’s stock worth $11,670,000 after acquiring an additional 291,553 shares during the period. Finally, The Manufacturers Life Insurance Company boosted its holdings in shares of NU by 8.9% in the first quarter. The Manufacturers Life Insurance Company now owns 904,485 shares of the company’s stock valued at $12,997,000 after acquiring an additional 73,818 shares in the last quarter. Institutional investors and hedge funds own 84.02% of the company’s stock.

NU Company Profile

Nubank (NYSE: NU) is a digital financial services company headquartered in São Paulo, Brazil. Founded in 2013, the company was established to simplify banking through technology and expand access to financial services in markets traditionally served by large, conventional institutions.

Nubank offers a range of consumer and business products, including digital bank accounts, credit cards, personal loans, payment services, investment products and insurance. Its platform is designed to allow customers to manage accounts, payments and other financial products through mobile applications and other digital channels.

The company primarily serves customers in Brazil, Mexico and Colombia.