Nu Holdings Ltd. (NYSE:NU) is one of top cheap stocks with Strong Buy ratings on Wall Street. BofA downgraded Nu Holdings Ltd. (NYSE:NU) to Underperform from Neutral on June 2, bringing the price target on the stock down to $10 from $16. The firm told investors in a research note that CFO Guilherme Lago’s departure adds to the company’s concerns, adding that it sees the news as a “negative surprise”. The firm believes that Lago was one of Nu Holdings Ltd.’s most important executives, and thus, the timing of the CFO transition adds uncertainty. BofA contended that this holds especially true in a backdrop where the company is navigating a more challenging phase for credit in Brazil and pursuing expansion into Colombia, Mexico, and the United States.
BofA previously cut the price target on Nu Holdings Ltd. to $16 from $17 on May 21, maintaining a Neutral rating on the shares and stating that quarterly results disappointed for “a second consecutive quarter”.
Headquartered in George Town, Cayman Islands, Nu Holdings Ltd. is a provider of digital banking services.
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