Why Is NU Stock Rising Today?

• The company said the decision reflects its strong capital generation and confidence in its business.
• Earlier this week, BofA Securities downgraded the stock and called a change in the company’s CFO a ‘Negative Surpise’
• BofA said leadership transition creates uncertainty amid a challenging credit environment in Brazil.

Shares of Nu Holdings (NU) are set to post their first gains of the month after climbing over 4% on Thursday, as investors cheered a $1 billion share repurchase announcement, following a tumultuous few sessions after a leadership shakeup.

NU stock declined more than 11% over the past three sessions, falling to its lowest since May 2025.

$1B Buyback Over 12 Months

On Thursday, Nu’s Board of Directors authorized a share repurchase program of up to $1 billion, with buybacks expected over the next 12 months.

The company said the decision reflects its strong capital generation and confidence in its business, adding that investments in growth initiatives across Brazil, Mexico, Colombia, and the United States will remain fully funded.

BofA Calls CFO Change A “Negative Surprise" 

Nu shares came under pressure earlier this week after BofA Securities downgraded the stock to ‘Underperform’ from ‘Neutral’ and slashed its price target to $10 from $16, according to The Fly.

The move followed the company’s announcement that former Visa executive Rob Livingston will succeed Guilherme Lago as chief financial officer next month. BofA said the news was a “negative surprise.” 

The brokerage said Lago was a key figure in Nu’s growth story, helping lead its IPO, maintain financial discipline, and serve as a primary point of contact for investors. The firm believes the leadership transition creates uncertainty as the company navigates a challenging credit environment in Brazil.

What Is Retail Saying About NU’s Buyback Offer?

Retail sentiment surrounding NU ticker on Stocktwits remained in the ‘extremely bullish’ territory over the past 24 hours, as message volumes remained ‘extremely high.’

One user expects the stock to climb to $13 on the back of the share buyback.

Another user called it a move in the right direction.

The stock has declined 30% so far this year.

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