Title

Earning Preview: Nu Holdings Ltd. this quarter’s revenue is expected to increase by 14.32%, and institutional views are bullish

Abstract

Nu Holdings Ltd. will release its quarterly results Post Market on February 25, 2026, with consensus pointing to solid year-over-year growth in revenue, EBIT, and adjusted EPS; investors will focus on margin durability and mix shifts in core income lines.

Market Forecast

Consensus expectations indicate Nu Holdings Ltd. will report approximately $3.76 billion in revenue this quarter, with adjusted EPS of $0.19 and EBIT near $1.33 billion; year-over-year growth is projected at 14.32% for revenue, 66.63% for EBIT, and 61.41% for adjusted EPS, while gross profit margin and net margin forecasts have not been disclosed. The main business—the income and gains from financial instruments—remains the central revenue engine, and management’s prior disclosures imply stable performance supported by balanced monetization across interest and fee lines. The most promising line remains fees and commissions, which delivered $595.24 million last quarter and is positioned to benefit from scale and engagement effects amid the broader forecast of 14.32% year-over-year revenue growth.

Last Quarter Review

Nu Holdings Ltd. reported $4.17 billion in revenue (up 41.78% year-over-year), GAAP net profit attributable to the parent company of $782.00 million with a net profit margin of 40.76%, adjusted EPS of $0.17 (up 41.67% year-over-year), and gross profit margin was not disclosed. A notable highlight was net profit growth on a sequential basis, with quarter-on-quarter expansion of 22.87%. In the main business lines, income and gains from financial instruments contributed $3.58 billion (85.74% of total revenue), while fees and commissions added $595.24 million; overall revenue expanded 41.78% year-over-year, underscoring diversified monetization at scale.

Current Quarter Outlook

Main Business: Income and Gains from Financial Instruments

Nu Holdings Ltd.’s primary revenue engine is the income and gains from financial instruments, which accounted for $3.58 billion last quarter, representing 85.74% of total revenue. This concentration underscores the importance of loan yields, portfolio mix, and asset repricing dynamics to this quarter’s outcome. The forecasted $3.76 billion in total revenue alongside $1.33 billion in EBIT implies continued monetization of this line, with operating leverage supporting the projected 66.63% year-over-year EBIT growth. Within this framework, the company’s net profit margin of 40.76% last quarter provides a reference for investors evaluating margin durability; while forward net margin is not formally projected, the combination of revenue growth and EBIT expansion points to operating efficiency as a central theme. Key watch items include the balance of interest income against funding costs and the cadence of asset quality metrics, which together shape risk-adjusted income capture in the current quarter.

Most Promising Segment: Fees and Commissions

Fees and commissions generated $595.24 million last quarter and continue to represent the largest growth potential outside the core interest-driven line. The market’s forecast for adjusted EPS growth of 61.41% year-over-year implies that higher-margin fee products and services can contribute meaningfully to overall profitability if engagement and utilization remain resilient. This quarter, attention will center on the breadth of monetized services across the existing customer base and the scaling effects of distribution, as incremental fee revenue can expand earnings without materially increasing funding or credit risk. Given the anticipated 14.32% year-over-year increase in total revenue, fees and commissions have a clear pathway to expand in absolute terms, even if mix shifts modestly with core interest income; stronger execution here can amplify operating leverage and translate into outsized EPS sensitivity.

Stock Price Drivers This Quarter

Three elements stand out as the most consequential for Nu Holdings Ltd.’s stock this quarter: top-line trajectory versus consensus, margin resilience versus last quarter’s 40.76% net margin, and the earnings translation captured in adjusted EPS. First, revenue delivery versus the $3.76 billion forecast will anchor the near-term reaction, especially if the outcome signals accelerating engagement or mix benefits that can sustain growth beyond this reporting period. Second, the durability of margins—though not formally guided for gross or net margins—remains the fulcrum for valuation, as any deviation from last quarter’s margin profile can lead to outsized moves due to the forecast’s dependence on operating leverage and cost discipline. Third, the realization of $0.19 in adjusted EPS against the backdrop of a 61.41% year-over-year growth forecast will be parsed for sustainability, with investors evaluating whether earnings strength stems from recurring monetization across interest and fee lines or from transient factors that may not carry forward. Across these drivers, the linkage between income generation, cost control, and credit performance is likely to define the equity narrative this quarter.

Analyst Opinions

The majority view is bullish based on the coverage collected within the current-year timeframe: Wolfe Research maintained a Buy rating on Nu Holdings Ltd. with a price target of $18.00, indicating positive expectations for the upcoming results. This stance aligns with the company’s forecast metrics—revenue at $3.76 billion (up 14.32% year-over-year), EBIT at $1.33 billion (up 66.63% year-over-year), and adjusted EPS at $0.19 (up 61.41% year-over-year)—which together suggest meaningful operating leverage and earnings scalability. From an analytical standpoint, the Buy rating underscores confidence in the earnings translation from the main income line and the incremental contributions of fee-based monetization, with margin quality the key validation point. If reported results demonstrate that earnings expansion is grounded in sustainable unit economics—evidenced by balanced growth across interest income and fees without disproportionate pressure on risk costs—then the projected EPS trajectory can support favorable revisions and potentially reduce uncertainty around forward profitability. Conversely, if earnings delivery relies on non-recurring or volatile components, the valuation response could hinge on guidance clarity; however, Wolfe’s stance implicitly favors traction in recurring lines, which remains consistent with the forecast vector of stronger EBIT and EPS growth relative to revenue. In sum, the prevailing institutional perspective within the collected window points to strength into the print, with the emphasis on execution against the forecast and the consistency of margin outcomes shaping the investment narrative in the near term.