I haven't seen "nugu" be used as a term of endearment. I've seen it more used as an insult or put down. Usually in the context of "Artist X is a nugu compared to Artist Y, therefore not worthy of any attention"
You can downvote me all you like, I don't give a damn, but I will say this:
ANYONE who use the word "nugu" to discredit/insult ANY Kpop group or singer, is an idiot and a fake Kpop/Music fan! The fact that people use this word means, they don't know shit about the music industry, and they ONLY interested in overhyped, mainstream singers/groups! Not to mention, they use this word to feel better, especially when a so called "nugu" makes better music and perform better than their faves.
I really hate when people use "nugu" in an insulting way. Especially when they use it to put down any idol or artist who isn't some international star or something. People really use nugu to discredit artists and it's really infuriating
You know international fans have embraced making "nugu" into an anti-insult when groups we love, like Craxy, release an album with the title track "Nugudom" ROFL
Fine, it became an insult (apparently?) among K-nets, but at least for Americans we tend to have a soft spot for underdogs. Americans and Europeans also really like rock and jazz, unlike most Koreans, according to recent polls which put those 2 genres at the bottom of the list in terms of Koreans' taste, and I think that's where you also get that disjoin between how groups are viewed at home and abroad.