Should You Follow Cathie Wood in Buying the Nu Holdings Stock Dip?
The Brazilian fintech star is turning heads after a post-earnings sell-off.
Nu Holdings (NYSE: NU) investors ended this past trading week on a downtick. The fast-growing Brazilian fintech stock plummeted 19% on Friday after the company posted a disappointing financial update.
There were a few pressure points in Nu's fourth-quarter results. However, an interesting growth investing icon was buying in Friday's deluge as many investors were selling: Ark Invest co-founder and CEO Cathie Wood. Nu was the only stock purchased for her ARK Fintech Innovation ETF (NYSEMKT: ARKF) on Friday, and it was one of only two stocks that Ark bought across all of its exchange-traded funds on Friday. It added to existing positions in both cases.
Should you join Wood in buying the parent company of Nubank following last week's deluge? Let's take a closer look at the Ark purchase, what tripped Nu up, and whether the fresh results are an alarm or a dinner bell.
