NU Stock Rallies 23% in October: Is There Still Room for More Gains?

NU rallied 23.1% in October, driven by Brazil's presidential election and the company's first billion-dollar quarterly profit. The move puts the Nu Holdings stock back in focus for traders weighing whether the run has more room.

The fundamental case rests on scale. NU now counts 139 million customers and is expanding operations in Mexico and the U.S. Zacks Investment Research says the stock trades at a reasonable valuation discount to peers, which supports the argument that the rally has not fully repriced the story.

The risks are specific. Rising delinquencies and U.S. expansion costs both weigh on the outlook, and Zacks recommends a cautious approach. Interpretation: after a 23.1% monthly gain, the stock has less cushion if credit quality deteriorates or expansion spending outpaces revenue. A billion-dollar quarter sets a high bar for the next report, so any slip in earnings momentum would test the premium that October's move built in.

The tickers SOFI and CHYM sit in the same fintech-focused watchlist context, but the source provides no performance data for either, so NU's move stands on its own.