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• NU Holdings stock was on track for its biggest single-day gain since August 2022 and its highest level in more than five months.
• The rally followed Nu Holdings’ report of quarterly net income exceeding $1 billion for the first time.
• In addition to the net income milestone, Susquehanna also noted customer growth, higher ARPAC and improving margins.

Shares of Nu Holdings (NU) rallied in morning trade on Friday, on track to clock its biggest single-day gain in four years, after the Brazilian digital banking company reported its first quarterly net income above $1 billion.

In a note to investors cited by TheFly, Susquehanna lifted its target to $16 from $13 while maintaining a ‘Neutral’ rating. The firm said Nu delivered a strong second quarter (Q2), with net income topping $1 billion for the first time, customer growth reaching 139 million and average revenue per active customer (ARPAC) expanding to roughly $17.

Susquehanna also pointed to meaningful margin improvement, driven by continued portfolio growth, a shift toward higher-yielding unsecured lending and Nu’s deliberate expansion into higher-risk, higher-return credit segments.

NU stock rose over 13% in morning trade and was among the top trending tickers on Stocktwits at the time of writing. If those gains hold, the shares are on track to reach their highest level in more than five months and post their biggest single-day percentage gain since August 2022.

Nu Holdings Revenue, Net Income Surge

Nu’s revenue increased 39% year-over-year to nearly $5.88 billion, topping the roughly $5.48 billion consensus estimate, according to Koyfin. Net income reached $1.1 billion, up 49% year-over-year and marking the first time the company has crossed the $1 billion threshold in a single quarter.

Customer growth remained another major driver. Nu added roughly 4 million customers during the quarter, bringing its global customer base to 139 million. In Brazil, Nu had about 118 million customers, while its Mexican customer base reached 15.8 million. The company also surpassed five million customers in Colombia.

How Is Retail Feeling About NU Stock?

On Stocktwits, retail sentiment around NU Holdings rose to ‘extremely bullish’ from ‘bullish’ territory over the past day, while chatter jumped to ‘extremely high’ from ‘normal’ levels.

One retail investor estimated that NU Holdings’ pace of customer additions works out to roughly 44,000 people per day, which is “approximately a baseball stadium’s worth of people every single day.”

Another user highlighted the “massive earnings quarter,” pointing to Nu’s customer growth and execution and forecasting a fresh 52-week high by year-end.

NU stock is down nearly 7% this year but has gained almost 30% in the last 12 months.

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