NU vs. XP: A Head-to-Head Stock Comparison

Updated on August 25, 2025

Here’s a clear look at NU and XP, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

Symbol	NU	XP
Company Name	Nu Holdings Ltd.	XP Inc.
Country	Brazil	Cayman Islands
GICS Sector	Financials	Financials
GICS Industry	Banks	Capital Markets
Market Capitalization	65.82 billion USD	8.45 billion USD
Exchange	NYSE	NasdaqGS
Listing Date	December 9, 2021	December 11, 2019
Security Type	Common Stock	Common Stock

Historical Performance

This chart compares the performance of NU and XP by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

NU vs. XP: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

Symbol	NU	XP
5-Day Price Return	13.41%	-7.73%
13-Week Price Return	3.97%	-13.88%
26-Week Price Return	-1.23%	11.89%
52-Week Price Return	-5.74%	-19.77%
Month-to-Date Return	11.46%	-0.59%
Year-to-Date Return	31.47%	35.40%
10-Day Avg. Volume	60.69M	6.19M
3-Month Avg. Volume	60.33M	6.44M
3-Month Volatility	45.35%	32.07%
Beta	1.06	1.10

Profitability

Return on Equity (TTM)

NU

27.49%

Banks Industry

Max: 26.37%
Q3: 15.92%
Median: 12.25%
Q1: 8.69%
Min: 0.15%

NU’s Return on Equity of 27.49% is exceptionally high, placing it well beyond the typical range for the Banks industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

XP

23.24%

Capital Markets Industry

Max: 38.97%
Q3: 21.61%
Median: 13.77%
Q1: 8.31%
Min: -4.25%

In the upper quartile for the Capital Markets industry, XP’s Return on Equity of 23.24% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

NU vs. XP: A comparison of their Return on Equity (TTM) against their respective Banks and Capital Markets industry benchmarks.

Net Profit Margin (TTM)

NU

17.90%

Banks Industry

Max: 54.20%
Q3: 35.70%
Median: 28.97%
Q1: 22.53%
Min: 6.98%

Falling into the lower quartile for the Banks industry, NU’s Net Profit Margin of 17.90% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

XP

28.02%

Capital Markets Industry

Max: 66.67%
Q3: 35.11%
Median: 23.49%
Q1: 13.63%
Min: -15.18%

XP’s Net Profit Margin of 28.02% is aligned with the median group of its peers in the Capital Markets industry. This indicates its ability to convert revenue into profit is typical for the sector.

NU vs. XP: A comparison of their Net Profit Margin (TTM) against their respective Banks and Capital Markets industry benchmarks.

Operating Profit Margin (TTM)

NU

24.64%

Banks Industry

Max: 63.35%
Q3: 44.59%
Median: 37.24%
Q1: 28.25%
Min: 13.37%

NU’s Operating Profit Margin of 24.64% is in the lower quartile for the Banks industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

XP

33.11%

Capital Markets Industry

Max: 86.40%
Q3: 46.46%
Median: 32.80%
Q1: 18.32%
Min: -21.87%

XP’s Operating Profit Margin of 33.11% is around the midpoint for the Capital Markets industry, indicating that its efficiency in managing core business operations is typical for the sector.

NU vs. XP: A comparison of their Operating Profit Margin (TTM) against their respective Banks and Capital Markets industry benchmarks.

Profitability at a Glance

Symbol	NU	XP
Return on Equity (TTM)	27.49%	23.24%
Return on Assets (TTM)	4.27%	1.42%
Net Profit Margin (TTM)	17.90%	28.02%
Operating Profit Margin (TTM)	24.64%	33.11%
Gross Profit Margin (TTM)	43.42%	--

Financial Strength

Current Ratio (MRQ)

NU

0.18

Banks Industry

Max: --
Q3: --
Median: --
Q1: --
Min: --

For the Banks industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

XP

0.20

Capital Markets Industry

Max: 3.76
Q3: 1.89
Median: 1.01
Q1: 0.54
Min: -0.41

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

NU vs. XP: A comparison of their Current Ratio (MRQ) against their respective Banks and Capital Markets industry benchmarks.

Debt-to-Equity Ratio (MRQ)

NU

4.18

Banks Industry

Max: 4.75
Q3: 2.62
Median: 1.02
Q1: 0.39
Min: 0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Banks industry.

XP

4.20

Capital Markets Industry

Max: 6.62
Q3: 2.84
Median: 1.02
Q1: 0.32
Min: 0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

NU vs. XP: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Banks and Capital Markets industry benchmarks.

Interest Coverage Ratio (TTM)

NU

-0.91

Banks Industry

Max: --
Q3: --
Median: --
Q1: --
Min: --

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks industry.

XP

7.81

Capital Markets Industry

Max: 126.03
Q3: 60.98
Median: 11.77
Q1: 4.95
Min: -36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

NU vs. XP: A comparison of their Interest Coverage Ratio (TTM) against their respective Banks and Capital Markets industry benchmarks.

Financial Strength at a Glance

Symbol	NU	XP
Current Ratio (MRQ)	0.18	0.20
Quick Ratio (MRQ)	0.18	0.15
Debt-to-Equity Ratio (MRQ)	4.18	4.20
Interest Coverage Ratio (TTM)	-0.91	7.81

Growth

Revenue Growth

NU vs. XP: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

NU vs. XP: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

NU

0.00%

Banks Industry

Max: 10.27%
Q3: 5.83%
Median: 3.81%
Q1: 2.50%
Min: 0.00%

NU currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

XP

7.57%

Capital Markets Industry

Max: 10.26%
Q3: 4.86%
Median: 2.78%
Q1: 1.22%
Min: 0.00%

With a Dividend Yield of 7.57%, XP offers a more attractive income stream than most of its peers in the Capital Markets industry, signaling a strong commitment to shareholder returns.

NU vs. XP: A comparison of their Dividend Yield (TTM) against their respective Banks and Capital Markets industry benchmarks.

Dividend Payout Ratio (TTM)

NU

0.00%

Banks Industry

Max: 147.07%
Q3: 80.55%
Median: 54.40%
Q1: 35.71%
Min: 0.00%

NU has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

XP

172.60%

Capital Markets Industry

Max: 200.72%
Q3: 101.92%
Median: 57.97%
Q1: 32.36%
Min: 0.00%

XP’s Dividend Payout Ratio of 172.60% is in the upper quartile for the Capital Markets industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

NU vs. XP: A comparison of their Dividend Payout Ratio (TTM) against their respective Banks and Capital Markets industry benchmarks.

Dividend at a Glance

Symbol	NU	XP
Dividend Yield (TTM)	0.00%	7.57%
Dividend Payout Ratio (TTM)	0.00%	172.60%

Valuation

Price-to-Earnings Ratio (TTM)

NU

28.53

Banks Industry

Max: 20.05
Q3: 12.65
Median: 10.21
Q1: 7.54
Min: 2.74

At 28.53, NU’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Banks industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

XP

9.51

Capital Markets Industry

Max: 58.89
Q3: 31.00
Median: 18.54
Q1: 12.09
Min: 5.24

In the lower quartile for the Capital Markets industry, XP’s P/E Ratio of 9.51 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

NU vs. XP: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Banks and Capital Markets industry benchmarks.

Price-to-Sales Ratio (TTM)

NU

5.11

Banks Industry

Max: 5.06
Q3: 2.98
Median: 2.24
Q1: 1.59
Min: 0.45

The P/S Ratio is often not a primary valuation tool in the Banks industry.

XP

2.66

Capital Markets Industry

Max: 14.49
Q3: 7.41
Median: 4.68
Q1: 2.25
Min: 0.04

XP’s P/S Ratio of 2.66 aligns with the market consensus for the Capital Markets industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

NU vs. XP: A comparison of their Price-to-Sales Ratio (TTM) against their respective Banks and Capital Markets industry benchmarks.

Price-to-Book Ratio (MRQ)

NU

6.90

Banks Industry

Max: 2.18
Q3: 1.36
Median: 1.09
Q1: 0.81
Min: 0.20

At 6.90, NU’s P/B Ratio is at an extreme premium to the Banks industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

XP

2.63

Capital Markets Industry

Max: 9.48
Q3: 4.94
Median: 2.42
Q1: 1.21
Min: 0.38

XP’s P/B Ratio of 2.63 is within the conventional range for the Capital Markets industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

NU vs. XP: A comparison of their Price-to-Book Ratio (MRQ) against their respective Banks and Capital Markets industry benchmarks.

Valuation at a Glance

Symbol	NU	XP
Price-to-Earnings Ratio (TTM)	28.53	9.51
Price-to-Sales Ratio (TTM)	5.11	2.66
Price-to-Book Ratio (MRQ)	6.90	2.63
Price-to-Free Cash Flow Ratio (TTM)	13.78	3.61