$NU : 30% CAGR for your portfolio for the next 3-5 years!

16 Jul

- NU is a big name in the LATAM.
- LATAM is expected to grow significantly in next decade with digitalization as the strongest theme.
- Let's talk about fundamentals:

Year | 2025| 2026| 2027 | 2028
EPS | 0.56 | 0.77 | 1.05 | 1.45
EPS growth% | 31.99% | 37.71% | 36.05% | 38.58%

For a company growing EPS at 30%+ deserves a forward p/e of 30

Base Case Stock Value ( Forward p/e = 30 ):
Year | 2025| 2026| 2027 | 2028
fair value | $16.8 | $23 | $31 | $43

Bear Case ( Forward p/e = 20 )
Year | 2025| 2026| 2027 | 2028
fair value | $11.2 | $15.4 | $21 | $29

Bull Case ( Forward p/e = 35 )
Year | 2025| 2026| 2027 | 2028
fair value | $19.6 | $26.95 | $36.75 | $50

17 Jul

Nota

Morgan Stanley : Rating Overweight and Price Target : $18

19 Jul

Nota

On 18 July 2025, EWZ sold off. Brazil equities were weak perhaps because of trade war between Brazil & US.

It appears that the breakout which was imminent has been delayed. Watching it carefully

23 Jul

Nota

- NU had a fake breakout. Macro pressures have weighed in and delayed break out. If brazil hits a deal with US then it could be a tailwind but currently it's a headwind

23 Jul

Nota

Time is running out, trend is turning bearish from bullish. Monitoring it closely

3 Ogo

Nota

- Failed breakout, unable to find buyers given the tariff by Trump on Brazil.
- Will likely revisit support levels at 9 & 10

27 Ogo

Nota

breakout is in process!