Purple Reign, or how Nubank built AI moat competitors can’t touch 🤖💜🏦; LatAm's e-commerce crown jewel’s 3Q 2025, or MercadoLibre investment case Wall Street completely missed 🛍️🇺🇾
FinTech is Eating the World, 19 November
Hey Everyone,
Good day & happy Wednesday! Today, all eyes are on two of the most powerful FinTech companies from Latin America. We’re diving deep into Nubank and how Brazil’s digital banking juggernaut built an AI moat competitors cannot touch (deep dive into NU’s 3Q 2025, breaking down the most important facts & figures, understanding what they mean, and why you should be bullish on NU) and MercadoLibre and its investment case Wall Street’s short-term thinking completely missed (deep dive into MELI 0.00%↑ latest 3Q 2025 financials, breaking down the most important facts & figures, understanding what they mean & why MercadoLibre is worth your time and money in 2025 and beyond). So let’s just jump straight into the underrated stuff 🌶️
Purple Reign, or how Nubank built an AI moat competitors can’t touch 🤖💜🏦
Following the money 🤑 Latin America’s digital banking juggernaut Nubank NU 0.00%↑ just delivered another quarter of exceptional execution, posting $783M net income (+39% YoY FXN) while achieving a record 31% ROE. Let that sink in 🤯
Among other things, Q3 2025 results perfectly demonstrate its ability to combine hypergrowth with profitability at scale.
The company now serves a whopping 127M customers (16% YoY growth) across Brazil, Mexico, and Colombia, representing 60% penetration of Brazil’s adult population, establishing near-monopolistic market leadership in digital banking while maintaining an 83% activity rate. Nobody comes even close here.
More impressively, with revenues reaching a record $4.2B (+39% YoY FXN), gross profit margin expanding to 43.5%, and efficiency ratio improving to 27.7%, Nubank’s unit economics and operating leverage continue strengthening as the platform scales.
Let’s dive deeper into Nubank’s 3Q 2025, break down the most important facts & figures, understand what they mean, and why you should be bullish on NU in the years to come.
