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With a market capitalization of $49.4 billion, Nubank parent company, Nu Holdings (NU) has emerged as a disruptive force in Latin American banking. It operates a digital banking platform, providing a wide range of financial products such as no-fee credit cards, personal loans, and savings accounts.
Founded in 2013, Nu Holdings is a relative newcomer amongst bank stocks, but it has capitalized on the rapidly expanding digital finance market. Because of its growth potential and disruptive nature, the stock has earned a spot in famous investor Warren Buffett’s Berkshire Hathaway (BRK.B) portfolio. Buffett’s investment strategy focuses on buying undervalued companies with strong fundamentals. NU has a 0.3% weighting in the portfolio.