Nu Holdings Q2 Earnings Preview: Take Advantage Of A Clear Catalyst And A Compelling Valuation

Nu Holdings is upgraded to a strong buy ahead of Q2 2026, citing the best entry point since April 2024. Desenrola 2.0, Brazil’s consumer debt relief program, is a key catalyst, with NU leading 40% of renegotiated debt volume. Expected benefits include improved NPLs by 40–50 bps, NIM up 70 bps QoQ, and potential $18 million unlocked in provisions. Valuation is compelling at 15x forward earnings, with a 26% upside to 19x, supported by strong medium-term catalysts and a safety margin.