Why Buffett-Backed Nu Holdings Stock Is Rising Tuesday

Nu Holdings Ltd NU shares are trading higher Tuesday after the company reported strong first-quarter financial results. 

What Happened: Nu said first-quarter revenue nearly doubled on a year-over-year basis to $1.6 billion, which beat consensus estimates of $1.54 billion, according to Benzinga Pro. The company reported profits of $141.8 million, significantly improved from a loss of $45.1 million in the comparable quarter.

Nu added 4.5 million customers during the quarter and 19.5 million year-over-year, bringing total customers up to 79.1 million globally. 

Monthly average revenue per active customer increased to $8.60, up 30% year-over-year. 

"We have an exceptional capital position and excess liquidity, operate a low-cost platform, and continue to increase our product portfolio and customer engagement," said David Vélez, founder and CEO of Nubank.

As previously reported by Benzinga, Berkshire Hathaway's Warren Buffett invested $500 million in Nubank in mid-2021 and added to the position right before the company went public.

Check This Out: Nu Holdings Q1 Earnings Highlights: Bank Backed By Warren Buffett Posts Record Revenue, Gains Customers In Latin America

NU Price Action: Nu Holdings shares were up 5.75% at $6.44 at the time of publication, according to Benzinga Pro.

Photo: Thomas Breher from Pixabay.