WallStSmart

Itau Unibanco Banco Holding SA (ITUB)vsNu Holdings Ltd (NU)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Itau Unibanco Banco Holding SA generates 1887% more annual revenue ($138.95B vs $6.99B). NU leads profitability with a 41.0% profit margin vs 32.3%. ITUB trades at a lower P/E of 10.2x. ITUB earns a higher WallStSmart Score of 76/100 (B+).

ITUB

Strong Buy

76

out of 100

Grade: B+

Growth: 6.0Profit: 8.0Value: 8.0Quality: 5.0

NU

Strong Buy

69

out of 100

Grade: B-

Growth: 10.0Profit: 9.0Value: 8.3Quality: 5.0
Piotroski: 4/9Altman Z: 0.74
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ITUBOvervalued (-10.1%)

Margin of Safety

-10.1%

Fair Value

$8.69

Current Price

$8.21

$0.48 premium

UndervaluedFair: $8.69Overvalued
NUUndervalued (+35.9%)

Margin of Safety

+35.9%

Fair Value

$27.14

Current Price

$14.32

$12.82 discount

UndervaluedFair: $27.14Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ITUB6 strengths · Avg: 9.7/10
P/E RatioValuation
10.2x10/10

Attractively priced relative to earnings

Profit MarginProfitability
32.3%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
37.3%10/10

Strong operational efficiency at 37.3%

Free Cash FlowQuality
$45.01B10/10

Generating 45.0B in free cash flow

Market CapQuality
$86.41B9/10

Large-cap with strong market position

Return on EquityProfitability
21.0%9/10

Every $100 of equity generates 21 in profit

NU6 strengths · Avg: 9.8/10
Return on EquityProfitability
30.3%10/10

Every $100 of equity generates 30 in profit

Profit MarginProfitability
41.0%10/10

Keeps 41 of every $100 in revenue as profit

Operating MarginProfitability
52.1%10/10

Strong operational efficiency at 52.1%

Revenue GrowthGrowth
43.9%10/10

Revenue surging 43.9% year-over-year

EPS GrowthGrowth
60.9%10/10

Earnings expanding 60.9% YoY

Market CapQuality
$68.90B9/10

Large-cap with strong market position

Areas to Watch

ITUB1 concerns · Avg: 4.0/10
EPS GrowthGrowth
2.8%4/10

2.8% earnings growth

NU1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
0.742/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : ITUB

The strongest argument for ITUB centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 32.3% and operating margin at 37.3%. Revenue growth of 11.0% demonstrates continued momentum.

Bull Case : NU

The strongest argument for NU centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 41.0% and operating margin at 52.1%. Revenue growth of 43.9% demonstrates continued momentum.

Bear Case : ITUB

The primary concerns for ITUB are EPS Growth.

Bear Case : NU

The primary concerns for NU are Altman Z-Score.

Key Dynamics to Monitor

ITUB profiles as a mature stock while NU is a growth play — different risk/reward profiles.

NU carries more volatility with a beta of 1.11 — expect wider price swings.

NU is growing revenue faster at 43.9% — sustainability is the question.

ITUB generates stronger free cash flow (45.0B), providing more financial flexibility.

Bottom Line

ITUB scores higher overall (76/100 vs 69/100), backed by strong 32.3% margins and 11.0% revenue growth. NU offers better value entry with a 35.9% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Itau Unibanco Banco Holding SA

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Ita Unibanco Holding SA offers a range of financial products and services in Brazil and internationally. The company is headquartered in So Paulo, Brazil.

Nu Holdings Ltd

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Nu Holdings Ltd. operates in the technology industry. The company is headquartered in Grand Cayman, Cayman Islands.

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