NWG Stock Analysis: Natwest | NYSE
Banks - Regional | NYSE, USA | Market Cap: 75.921m USD | 12M Return: 29.5% | US6390572070 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 64.6M
EPS Trend: -45.0%
Qual. Beats: 0
Rev. Trend: 85.9%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
NatWest Group plc (NWG) is a UK-headquartered diversified bank that provides banking and financial services to retail, private, and commercial/institutional customers both domestically and internationally. The company operates through three core segments: Retail Banking (current accounts, mortgages, personal lending, and deposits), Private Banking (banking, lending, and wealth management for high-net-worth individuals), and Commercial & Institutional (business banking, mid-market, and corporate/institutional services across the UK and select overseas hubs such as the Channel Islands, Isle of Man, Gibraltar, and Luxembourg).
Founded in 1727 and headquartered in Edinburgh, the group was formerly known as The Royal Bank of Scotland Group plc before rebranding to NatWest Group plc in July 2020. As one of the largest UK-listed retail and commercial banks in the Diversified Banks sub-industry, it operates a universal banking model covering retail deposits and mortgages, wealth management, and wholesale/institutional banking, with a growing emphasis on digital and mobile banking channels.
- UK interest rate cuts compress net interest margins
- UK Treasury share sell-down program caps valuation upside
- Mortgage and retail lending growth supports segment revenue
| Net Income: 6.35b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA 0.68 > 1.0 |
| NWC/Revenue: -1.30k% < 20% (prev -1.27k%; Δ -29.39% < -1%) |
| CFO/TA 0.01 > 3% & CFO 7.07b > Net Income 6.35b |
| Net Debt (-19.0b) to EBITDA (9.61b): -1.98 < 3 |
| Current Ratio: 0.19 > 1.5 & < 3 |
| Outstanding Shares: last quarter (2.01b) vs 12m ago -1.55% < -2% |
| Gross Margin: 58.18% > 18% (prev 53.28%; Δ 4.90% > 0.5%) |
| Asset Turnover: 4.09% > 50% (prev 3.98%; Δ 0.11% > 0%) |
| Interest Coverage Ratio: 0.68 > 6 (EBIT TTM 8.45b / Interest Expense TTM 12.5b) |
| A: -0.53 (Total Current Assets 95.2b - Total Current Liabilities 489b) / Total Assets 745b |
| B: 0.02 (Retained Earnings 15.2b / Total Assets 745b) |
| C: 0.01 (EBIT TTM 8.45b / Avg Total Assets 738b) |
| D: 0.06 (Book Value of Equity 43.8b / Total Liabilities 702b) |
| Altman-Z'' = -3.26 = D |
As of August 22, 2026, the stock is trading at USD 18.62 with a total of 1,932,606 shares traded. Over the past week, the price has changed by -2.51%, over one month by +4.44%, over three months by +19.92% and over the past year by +29.50%.
Current recommended Stop Loss: 18.10 (which is 2.8% or 1.5 ATR below the current price).
Natwest has received a consensus analysts rating of 4.00. Therefore, it is recommended to buy NWG.
- StrongBuy: 1
- Buy: 0
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 21.5 | 15.7% |
P/E Trailing = 9.4554
P/E Forward = 9.5785
P/S = 4.5175
P/B = 1.2914
P/EG = 1.6508
Revenue TTM = 30.2b USD
EBIT TTM = 8.45b USD
EBITDA TTM = 9.61b USD
Long Term Debt = 59.8b USD (from longTermDebt, last fiscal year)
Short Term Debt = 32.2b USD (from shortTermDebt, last quarter)
Debt = 76.2b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -19.0b USD (calculated: Debt 76.2b - CCE 95.2b)
Enterprise Value = 56.9b USD (75.9b + Debt 76.2b - CCE 95.2b)
Interest Coverage Ratio = 0.68 (Ebit TTM 8.45b / Interest Expense TTM 12.5b)
EV/FCF = 9.83x (Enterprise Value 56.9b / FCF TTM 5.79b)
FCF Yield = 10.17% (FCF TTM 5.79b / Enterprise Value 56.9b)
FCF Margin = 19.18% (FCF TTM 5.79b / Revenue TTM 30.2b)
Net Margin = 21.03% (Net Income TTM 6.35b / Revenue TTM 30.2b)
Gross Margin = 58.18% ((Revenue TTM 30.2b - Cost of Revenue TTM 12.6b) / Revenue TTM)
Gross Margin QoQ = 58.25% (prev 59.01%)
Tobins Q-Ratio = 0.08 (Enterprise Value 56.9b / Total Assets 745b)
Interest Expense / Debt = 16.39% (Interest Expense 12.5b / Debt 76.2b)
Taxrate = 24.90% (2.11b / 8.45b)
NOPAT = 6.35b (EBIT 8.45b * (1 - 24.90%))
Current Ratio = 0.19 (Total Current Assets 95.2b / Total Current Liabilities 489b)
Debt / Equity = 1.74 (Debt 76.2b / totalStockholderEquity, last quarter 43.8b)
Debt / EBITDA = -1.98 (Net Debt -19.0b / EBITDA 9.61b)
Debt / FCF = -3.28 (Net Debt -19.0b / FCF TTM 5.79b)
Total Stockholder Equity = 43.1b (last 4 quarters mean from totalStockholderEquity)
RoA = 0.86% (Net Income 6.35b / Total Assets 745b)
RoE = 14.73% (Net Income TTM 6.35b / Total Stockholder Equity 43.1b)
RoCE = 8.21% (EBIT 8.45b / Capital Employed (Equity 43.1b + L.T.Debt 59.8b))
RoIC = 2.21% (NOPAT 6.35b / Invested Capital 287b)
WACC = 10.37% (E(75.9b)/V(152b) * Re(8.43%) + D(76.2b)/V(152b) * Rd(16.39%) * (1-Tc(0.25)))
Discount Rate = 8.43% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -66.12 | Cagr: -12.93%
[DCF] Terminal Value 71.72% ; FCFF base≈3.75b ; Y1≈4.30b ; Y5≈6.33b
[DCF] Fair Price = 22.43 (EV 70.2b - Net Debt -19.0b = Equity 89.2b / Shares 3.97b; r=10.37% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -45.03 | EPS CAGR: -54.05% | SUE: 0.01 | # QB: 0
Revenue Correlation: 85.92 | Revenue CAGR: 10.74% | SUE: 0.77 | # QB: 0
EPS current Quarter (2026-09-30): EPS=0.51 | Chg30d=-0.56% | Revisions=-25% | Analysts=1
EPS current Year (2026-12-31): EPS=1.95 | Chg30d=+3.23% | Revisions=+0% | GrowthEPS=+5.6% | GrowthRev=+8.9%
EPS next Year (2027-12-31): EPS=2.17 | Chg30d=+3.09% | Revisions=+0% | GrowthEPS=+11.0% | GrowthRev=+8.1%