Nu Holdings (NU) Reports Record Q1 2026 Revenue Surpassing $5B and $871M Net Income

Nu Holdings Ltd. (NYSE:NU) is one of the best low priced stocks to buy for the next 3 years. On May 14, Nu Holdings reported record results for Q1 2026, with revenue surpassing $5 billion for the first time and net income reaching $871 million, representing a 41% year-over-year increase. The company added 4 million customers in the quarter to cross 135 million globally, driven by Brazil expanding past 115 million and Mexico achieving break-even profitability with 15 million customers.

The total credit portfolio expanded 40% year-over-year to $37.2 billion, which outpaced liabilities and pushed the net interest margin to 21.1%. Due to Q1 seasonality and intentional expansions into higher-risk segments, credit loss allowances rose 33% quarter-over-quarter to $1.79 billion, lowering the risk-adjusted NIM to 9.5%. Consequently, the early-stage 15-90 NPL ratio rose to 5.0%, while the 90+ NPL ratio eased slightly by 10 basis points to 6.5%.

Nu Holdings (NU) Reports Record Q1 2026 Revenue Surpassing $5B and $871M Net Income

A key growth driver was Nu Holdings Ltd.’s (NYSE:NU) AI transformation, featuring its proprietary “NuFormer” foundation models currently optimizing real-time credit decisioning in Brazil and Mexico. The company’s AI Private Banker functionalities now serve over 15 million monthly active users, leveraging a cloud-native tech stack and a massive first-party dataset.

Nu Holdings Ltd. (NYSE:NU) operates as a digital banking platform provider. The company provides spending solutions, including Nubank+ Tier, Nu credit and prepaid card, Ultraviolet credit and prepaid card, mobile payment solutions, and Nu Shopping. It also offers transactional Solutions, and savings & investing solutions.

While we acknowledge the risk and potential of NU as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than NU and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 33 Stocks That Should Double in 3 Years and Cathie Wood 2026 Portfolio: 10 Best Stocks to Buy. 

Disclosure: None. Follow Insider Monkey on Google News.

1281292 - 11759070 - 1