StockStory Highlights Nubank as a Profitable Stock to Buy, Flags ArcBest and Centrus Energy as Stocks to Sell

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2▲1 ▼2Impact / 5
Summary · why it matters

StockStory has identified Nubank as a profitable stock worth buying, while recommending investors avoid ArcBest and Centrus Energy. Nubank, the Latin American digital banking platform, boasts a trailing 12-month GAAP operating margin of 22.1%, annual revenue growth of 40.6% over the past two years, and earnings per share increasing 53% annually, with a stellar return on equity. In contrast, ArcBest, a freight delivery company, has a thin 2.2% operating margin, declining earnings per share of 2% annually over five years, and eroding returns on capital. Centrus Energy, a uranium supplier, operates with a modest revenue base of $452.3 million, a gross margin of 32.5%, and an EBITDA margin that fell by 38.7 percentage points over five years. Nubank trades at 13.1 times forward P/E, while ArcBest and Centrus Energy trade at 22.5 times and 38.6 times forward P/E, respectively.

Impact on assets 3

Industrials▼
ArcBest Corp
ARCB
▼ NegativeCapitalrelevance

StockStory flags ArcBest as a stock to sell due to thin margins, declining earnings, and eroding returns.

Energy Transition & Power Demand▼
Centrus Energy Corp.
LEU
▼ NegativeCapitalrelevance

StockStory flags Centrus Energy as a stock to sell due to modest revenue, low gross margin, and falling EBITDA margin.

Digital Finance & Tokenization▲
Nu Holdings Ltd
NU
▲ PositiveCapitalrelevance

StockStory highlights Nubank as a profitable stock to buy with strong margins, revenue growth, and earnings growth.