Nubank applies for U.S. national bank charter in expansion move

SÃO PAULO - Brazilian digital banking platform Nubank (NYSE:NU), currently valued at $77 billion and trading near its 52-week high of $16.43, has applied for a national bank charter with the U.S. Office of the Comptroller of the Currency (OCC), the company announced Tuesday in a press release. According to InvestingPro analysis, the stock appears overvalued at current levels.

The application represents a preliminary step in the fintech giant’s potential expansion beyond Latin America, where it currently serves nearly 123 million customers across Brazil, Mexico, and Colombia. The company’s ambitious expansion comes amid impressive growth, with InvestingPro data showing a 55.76% stock price return over the past six months and maintaining a "GOOD" overall financial health score.

If approved, the charter would allow Nubank to eventually offer deposit accounts, credit cards, lending services, and digital asset custody to U.S. customers. The company indicated this move would initially help serve its existing U.S.-based customers before potentially expanding to the broader market.

"Today, our core focus remains on delivering growth in our existing markets, where we continue to see substantial opportunities for expansion," said David Vélez, founder and CEO of Nu Holdings.

Cristina Junqueira, co-founder and Chief Growth Officer, has relocated to the United States to lead the emerging U.S. business as CEO. The U.S. operation will be structured as a fully owned subsidiary of Nu Holdings.

The company has assembled a board for its U.S. business that includes Roberto Campos Neto, former President of the Central Bank of Brazil, as Chairman; Brian Brooks, former Acting Comptroller of the Currency; and three other executives with financial and regulatory experience.

In Mexico, Nubank’s subsidiary received authorization to become a bank in April 2025 and is awaiting final operational approval.

Founded in 2013, Nubank reported $3.7 billion in revenue for Q2 2025, representing 40% year-over-year growth. The company has been publicly traded on the New York Stock Exchange since 2021, maintaining a P/E ratio of 27.94 and demonstrating strong revenue growth of 20.69% over the last twelve months. For deeper insights into Nubank’s financial health and growth prospects, investors can access comprehensive analysis through InvestingPro’s detailed research reports, which cover over 1,400 US-listed companies.

The company worked with advisors Klaros Group and legal counsel Davis Polk & Wardwell LLP in preparing the application, according to the press release.

In other recent news, Nu Holdings reported strong financial results for the second quarter of 2025. The company achieved revenues of $3.7 billion, exceeding the forecasted $3.16 billion, and reported a net income of $637 million. Despite these positive earnings, the stock saw a decline in after-hours trading. In terms of analyst activity, BofA Securities raised its price target for Nu Holdings from $14 to $16, maintaining a Neutral rating. Wolfe Research also increased its price target to $17, citing the company’s growth and maintaining an Outperform rating. Meanwhile, Rothschild Redburn reiterated a Buy rating with a price target of $18, highlighting the potential impact of Armando Herrera’s appointment as CEO of Nubank Mexico. These developments indicate ongoing interest and varied opinions among analysts regarding Nu Holdings’ future prospects.

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