15 Best Growth Stocks to Buy for the Next 3 Years

8. Nu Holdings Ltd. (NYSE:NU)

3-Year Revenue CAGR: 86.49%

Number of Hedge Fund Holders: 79

Nu Holdings Ltd. (NYSE:NU) provides a digital banking platform that offers spending solutions that comprise the digitally enabled Nu credit & prepaid card. The company also provides transactional Solutions, such as Nu Personal Accounts and a digital account solution for personal financial activities.

Brazil is a growth-generating region for the company. In 2024, Nu added over 1 million customers per month in Brazil, serving 58% of the population and becoming the third-largest financial institution in the country by customer count. Total deposits in Brazil reached $23.1 billion, which was an 11% sequential increase. The secured lending portfolio in Brazil grew by 615% year-over-year to $1.4 billion, which made up 23% of the total lending portfolio.

JPMorgan analyst Yuri Fernandes recently upgraded the rating on Nu Holdings Ltd. (NYSE:NU) from Neutral to Overweight but lowered the price target from $14 to $13 on April 8. Despite anticipating a challenging 2025 due to a potential slowdown in personal loans, Fernandes believes that the risks are already reflected in the current stock price following the global market sell-off.

White Falcon Capital Management stated the following regarding Nu Holdings Ltd. (NYSE:NU) in its Q4 2024 investor letter:

“Nu Holdings Ltd. (NYSE:NU) has recently corrected due to Brazil’s macroeconomic struggles. Nu reports its earnings in U.S. dollars but generates revenue in Brazilian reais, Mexican pesos, and Colombian pesos. The sharp depreciation of these emerging market currencies, coupled with ongoing macroeconomic uncertainty, is making investors uncomfortable. Our due diligence suggests that Nu remains unaffected. Importantly, we continue to believe that Nu is a rare business with a combination of a large market opportunity, a strong moat driven by its superior cost structure, and a brilliant management team.”