NatWest Group (NYSE:NWG) Issues Quarterly Earnings Results, Hits Expectations

NatWest Group (NYSE:NWG) posted its quarterly earnings data on Friday. The company reported $0.51 EPS for the quarter, meeting analysts’ consensus estimates of $0.51, FiscalAI reports. The firm had revenue of $6.08 billion for the quarter, compared to the consensus estimate of $6.18 billion. NatWest Group had a net margin of 20.10% and a return on equity of 14.01%.

Here are the key takeaways from NatWest Group’s conference call:

• Broad-based growth continued: customer assets and liabilities rose 14.2% year over year, with lending up 7.7%, mortgage share increasing to 12.7%, and Commercial & Institutional lending particularly strong in infrastructure, renewables, housing and technology.
• Third-quarter income excluding notable items increased 3.1% to £4.6 billion, while costs rose 2.8%; the cost-income ratio improved to 45.1% and return on tangible equity reached 21.6%. Management maintained its 2026 income guidance of approximately £17.9 billion.
• Evelyn Partners integration is reportedly on track, with assets under management and administration more than doubling to £132.4 billion and £1 billion of net inflows since completion. Management also expects structural-hedge income to be more than £1 billion higher in 2027 than in 2026.
• Management expects broadly stable net interest margin in 2027, as structural-hedge benefits are offset by mortgage repricing, lending mix, deposit competition and increased wholesale funding. Average interest-earning assets are expected to grow more closely in line with lending as surplus liquidity is replaced with additional funding.
• Credit performance remains strong, with the nine-month impairment rate at 21 basis points and full-year guidance below 25 basis points. Capital generation reached 208 basis points in the quarter, the CET1 ratio was 13.5% after dividend accrual, and the bank plans to announce its next buyback with full-year results in February.

NatWest Group Stock Performance

NYSE NWG traded down $1.64 during trading hours on Friday, reaching $15.37. The company’s stock had a trading volume of 4,845,391 shares, compared to its average volume of 3,993,597. The company has a current ratio of 1.03, a quick ratio of 1.04 and a debt-to-equity ratio of 0.15. The business has a 50-day simple moving average of $18.02 and a 200 day simple moving average of $17.09. NatWest Group has a 52 week low of $13.76 and a 52 week high of $19.42. The stock has a market cap of $61.01 billion, a PE ratio of 7.63, a PEG ratio of 0.78 and a beta of 0.94.

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on NWG. Wall Street Zen downgraded shares of NatWest Group from a “buy” rating to a “hold” rating in a research report on Sunday, August 9th. Morgan Stanley raised shares of NatWest Group from an “equal weight” rating to an “overweight” rating in a research report on Wednesday, September 2nd. Keefe, Bruyette & Woods upgraded NatWest Group from a “hold” rating to a “moderate buy” rating in a research note on Friday, July 17th. Weiss Ratings lowered NatWest Group from a “buy (b+)” rating to a “buy (b)” rating in a report on Friday, October 23rd. Finally, Barclays upgraded NatWest Group from an “equal weight” rating to an “overweight” rating in a research note on Tuesday, October 13th. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and three have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy”.

About NatWest Group

NatWest Group plc is a United Kingdom-based banking and financial services company. Through brands including NatWest, Royal Bank of Scotland, Ulster Bank and Coutts, it provides current accounts, savings products, mortgages, personal loans, credit cards, insurance and other financial services to individuals and households.

The group also serves small and medium-sized businesses, larger companies and institutional clients. Its commercial and institutional banking activities include lending, transaction banking, cash management, payments, trade finance, capital markets services and risk-management solutions.