15 Best Stocks Under $25 to Buy Now

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1. Nu Holdings Ltd. (NYSE:NU)

Share Price as of December 29: $16.66

Number of Hedge Fund Holders: 99

Nu Holdings Ltd. (NYSE:NU) ranks among the best stocks under $25 to buy now. On December 18, Goldman Sachs restated its Buy rating on Nu Holdings Ltd. (NYSE:NU) with a $21 price target, calling it one of its “best ideas” and stressing the digital bank’s solid growth prospects for the upcoming year. The firm anticipates Nu Holdings Ltd. (NYSE:NU) to have another stellar run, with analyst consensus forecasts already up 8% since the company’s Q3 2025 results.

Nu Holdings Ltd. (NYSE:NU) also added 4.3 million customers in the third quarter of 2025, bringing its total to 127 million, a 16% increase year-over-year and highlighting NU’s growing impact in Latin America’s financial sector. The average revenue per active customer (ARPAC) stood at a solid $13, up from $11 last year.

Despite some pressure from rising interest costs, Goldman Sachs believes Nu Holdings Ltd. (NYSE:NU) still has potential to raise its risk-adjusted net interest margins (NIMs). The firm points out that lower risk costs and increased credit ceilings, which will increase loan growth, should counteract this pressure.

Nu Holdings Ltd. (NYSE:NU) is a Brazil-based holding company that provides digital banking services. Its services include customized credit lines, mobile payments, interest-earning savings accounts, investment products, and more.

While we acknowledge the potential of NU to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than NU and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 10 Best Magic Formula Stocks for 2025 and 10 Best Retirement Stocks to Buy According to Hedge Funds.

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