Goldman Sachs Stands Firm: Nu Holdings Still a Top Pick Despite Recent Decline

Nu Holdings (NU) stock has experienced a significant decline in recent months, dropping from an all-time high of $18.95 in January to around $13.43 currently.

Despite this pullback, Goldman Sachs analysts remain optimistic about the company's outlook, believing that the recent valuation reset may be temporary rather than a deterioration in underlying fundamentals.

The analysts highlight Nu's expanding customer base, with 139 million global customers as of Q2, and its strong presence in Brazil, where it has nearly 118 million users.

Nu is also making progress in other Latin American markets, including Mexico and Colombia, where it has attracted 15.8 million and 5 million users respectively.