NATWEST GROUP PLC -SPON ADR (NWG)
US6390572070 - ADR
NWG gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 412 industry peers in the Banks industry. NWG may be in some trouble as it scores bad on both profitability and health. NWG has a decent growth rate and is not valued too expensively. NWG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
NWG had positive earnings in the past year.
In the past year NWG has reported a negative cash flow from operations.
Of the past 5 years NWG 4 years were profitable.
In multiple years NWG reported negative operating cash flow during the last 5 years.
1.2 Ratios
NWG has a worse Return On Assets (0.63%) than 70.39% of its industry peers.
The Return On Equity of NWG (11.83%) is better than 78.40% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.63% | ||
| ROE | 11.83% | ||
| ROIC | N/A |
ROA(3y)0.49%
ROA(5y)0.36%
ROE(3y)9.35%
ROE(5y)6.7%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of NWG (28.52%) is better than 71.36% of its industry peers.
NWG's Profit Margin has improved in the last couple of years.
The Operating Margin and Gross Margin are not available for NWG so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 28.52% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5Y20.09%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
NWG does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for NWG has been reduced compared to 1 year ago.
NWG has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, NWG has a worse debt to assets ratio.
2.2 Solvency
A Debt/Equity ratio of 2.80 is on the high side and indicates that NWG has dependencies on debt financing.
NWG has a Debt to Equity ratio of 2.80. This is amonst the worse of the industry: NWG underperforms 94.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.8 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC2.68%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
NWG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.38%, which is quite good.
The Earnings Per Share has been growing by 8.51% on average over the past years. This is quite good.
Looking at the last year, NWG shows a quite strong growth in Revenue. The Revenue has grown by 9.64% in the last year.
Measured over the past years, NWG shows a small growth in Revenue. The Revenue has been growing by 1.64% on average per year.
EPS 1Y (TTM)8.38%
EPS 3YN/A
EPS 5Y8.51%
EPS growth Q2Q8.9%
Revenue 1Y (TTM)9.64%
Revenue growth 3Y10.21%
Revenue growth 5Y1.64%
Revenue growth Q2Q-4.06%
3.2 Future
NWG is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.53% yearly.
The Revenue is expected to grow by 0.82% on average over the next years.
EPS Next Y-21.94%
EPS Next 2Y-7.82%
EPS Next 3Y-1.53%
EPS Next 5YN/A
Revenue Next Year-6.14%
Revenue Next 2Y-1.23%
Revenue Next 3Y0.44%
Revenue Next 5Y0.82%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
NWG is valuated cheaply with a Price/Earnings ratio of 5.89.
Based on the Price/Earnings ratio, NWG is valued cheaply inside the industry as 93.20% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 28.28. NWG is valued rather cheaply when compared to this.
NWG is valuated cheaply with a Price/Forward Earnings ratio of 7.55.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NWG indicates a rather cheap valuation: NWG is cheaper than 87.62% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.88. NWG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.89 | ||
| Fwd PE | 7.55 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.69
EPS Next 2Y-7.82%
EPS Next 3Y-1.53%
5. Dividend
5.1 Amount
NWG has a Yearly Dividend Yield of 5.61%, which is a nice return.
NWG's Dividend Yield is rather good when compared to the industry average which is at 3.78. NWG pays more dividend than 88.59% of the companies in the same industry.
NWG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.61% |
5.2 History
On average, the dividend of NWG grows each year by 19.77%, which is quite nice.
NWG has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)19.77%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
38.76% of the earnings are spent on dividend by NWG. This is a low number and sustainable payout ratio.
DP38.76%
EPS Next 2Y-7.82%
EPS Next 3Y-1.53%
NATWEST GROUP PLC -SPON ADR
NYSE:NWG (5/3/2024, 7:09:37 PM)
7.78
+0.04 (+0.52%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap33.93B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.61% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.89 | ||
| Fwd PE | 7.55 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.63% | ||
| ROE | 11.83% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | 28.52% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.8 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)8.38%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-21.94%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9.64%
Revenue growth 3Y10.21%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y