NU Stock: U.S. Bank License May Be the Next Growth Catalyst

On Sept. 30, Nu Holdings Ltd. (NYSE: NU) announced that it had applied for a national bank license in the United States. This is part of the Brazilian-based company’s strategic plan to evolve from a regional platform to a global model.

NU stock is up about 1.3% since the announcement, suggesting that investors are wary of buying the rumor. Even with a favorable regulatory environment in the U.S., it typically takes a minimum of 12 months for the United States to approve a bank charter. For example, it took SoFi Technologies Inc. (NASDAQ: SOFI) about 18 months to be approved for its charter.

As a sector, financial technology (fintech) companies haven’t been the comeback kids in 2025. But several names in the space, like NU stock, have been outperforming other stocks in the financial sector. NU stock is up 28% in 2025 and trades right around its 52-week high. That suggests that there are other reasons that analysts like NU stock, and it could have room to move higher.

NU Stock May Be Undervalued Ahead of Earnings

Nu Holdings will report earnings in mid-November. The consensus estimates are for the company to deliver earnings per share of 15 cents on revenue of $4.02 billion. Both numbers are over 35% higher on a year-over-year basis when the company delivered 11 cents in EPS on revenue of $2.94 billion.

Analysts are forecasting 43% earnings growth in the next 12 months. That leaves room for an upside surprise or for more growth in future quarters. That may also justify the company’s premium valuation at around 32x earnings.

Banking License Could Boost Nu’s Scale and Profitability

Nu’s application for a U.S. bank license is more than just a regulatory milestone. It’s a strategic play to cement its presence in the world’s largest banking market.

If approved, the license would allow Nu to offer full-fledged deposit accounts, credit products, loans, and digital asset custody services directly to U.S. customers. This capability would significantly broaden the company’s revenue base beyond Latin America while leveraging its existing technology and customer-first approach.

The move also positions Nu to tap into the sizable Latin American diaspora in the United States. These customers are already familiar with the Nubank brand and its mobile-first experience.

For investors, this signals that the company is thinking long-term: growth won’t be confined to its current markets. Instead, Nu is laying the foundation for a truly Pan-American digital bank that can compete with U.S.-born fintech companies like Chime, SoFi, and Revolut.

Operationally, the U.S. charter could enhance Nu’s efficiency by giving it direct access to U.S. payment rails and FDIC-insured deposits, reducing reliance on local partners for core banking functions. Combined with its ongoing product expansion and robust customer acquisition, the license could accelerate Nu’s trajectory toward scale, profitability, and global relevance.

Nu Stock Is Not a One-Year Wonder

NU stock has grown approximately 250% in the last three years, which speaks to the company’s strong growth in revenue and earnings. That growth is backed by the company’s ability to significantly increase its customer base (it’s currently increasing its customer base by about one million a month).

The company also continues to roll out new products. Most of those products target their higher-spending, wealthier clients. However, it also recently rolled out a new credit card targeted at users under 18. That’s a key reason Nu’s credit portfolio increased 40% in the last quarter.

The company has reported some higher default rates and lower net interest margin as inflation remains elevated in Brazil. However, for now, the business is growing faster than inflation, which is helping the stock maintain its bullish momentum.

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