NU

Nubank serves 140 million customers with only 10,000 employees. Its competitors serve 100 million with 100,000. "Our competitors have 100 million customers with 100,000 employees and 6,000 branches. So our cost to serve a customer is about 3% of what a traditional incumbent bank is. That means we have so much margin to give back to the customer via no fees, better experience, better interest rates, and overall a better product. That's pre-AI. AI will be an additional multiplication on that efficiency...you could imagine banks that have a billion customers with 5,000 employees. That’s totally within sight." –– V@velez_david

Everyone is chasing stocks that have already run while $MELI is still trading near its 2021 highs despite revenue growing to a ~$40B annual run rate. What also makes Latin America so interesting is consumers already have smartphones and spending power yet e-commerce in Brazil is still only ~12% of retail while financial services remain underserved. Thats why I think $MELI and $NU have years of growth ahead without needing to expand beyond Latin America because both are building the commerce and financial infrastructure for demand that already exists.

"Itaú is at 37, Nu is at 19.5." -F@FedexSTi Fede says no branches alone does not explain $NU's efficiency ratio. The rest is technology and scale. AI handles 60% of support chats in Brazil, at about a dollar a month per customer. With @StockSavvyShay and S@StockMarketNerd.