Natwest Group Plc Stock Return On Equity
| NWG Stock | USD 7.76 0.06 0.78% |
Natwest Group PLC fundamentals help investors to digest information that contributes to Natwest Group's financial success or failures. It also enables traders to predict the movement of Natwest Stock. The fundamental analysis module provides a way to measure Natwest Group's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Natwest Group stock.
| Last Reported | Projected for Next Year | ||
| Return On Equity | 0.14 | 0.08 |
Natwest | Return On Equity |
Natwest Group PLC Company Return On Equity Analysis
Natwest Group's Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
Current Natwest Group Return On Equity | 0.12 |
Most of Natwest Group's fundamental indicators, such as Return On Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Natwest Group PLC is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Natwest Return On Equity Driver Correlations
Understanding the fundamental principles of building solid financial models for Natwest Group is extremely important. It helps to project a fair market value of Natwest Stock properly, considering its historical fundamentals such as Return On Equity. Since Natwest Group's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Natwest Group's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Natwest Group's interrelated accounts and indicators.
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For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
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Natwest Total Stockholder Equity
Total Stockholder Equity |
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Based on the latest financial disclosure, Natwest Group PLC has a Return On Equity of 0.1172. This is 91.92% lower than that of the Banks sector and significantly higher than that of the Financials industry. The return on equity for all United States stocks is 137.81% lower than that of the firm.
Natwest Return On Equity Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Natwest Group's direct or indirect competition against its Return On Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Natwest Group could also be used in its relative valuation, which is a method of valuing Natwest Group by comparing valuation metrics of similar companies.Natwest Group is currently under evaluation in return on equity category among related companies.
Natwest Group Current Valuation Drivers
We derive many important indicators used in calculating different scores of Natwest Group from analyzing Natwest Group's financial statements. These drivers represent accounts that assess Natwest Group's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Natwest Group's important valuation drivers and their relationship over time.
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Market Cap | 58.6B | 40.0B | 48.8B | 52.9B | 47.6B | 30.2B | |
| Enterprise Value | (9.3B) | (74.5B) | (120.5B) | (85.7B) | (98.5B) | (93.6B) |
Natwest Fundamentals
| Return On Equity | 0.12 | |||
| Return On Asset | 0.0064 | |||
| Profit Margin | 0.31 % | |||
| Operating Margin | 0.40 % | |||
| Current Valuation | (4.02 B) | |||
| Shares Outstanding | 4.36 B | |||
| Shares Owned By Institutions | 1.28 % | |||
| Number Of Shares Shorted | 10.14 M | |||
| Price To Earning | 11.25 X | |||
| Price To Book | 0.65 X | |||
| Price To Sales | 2.13 X | |||
| Revenue | 25.47 B | |||
| Gross Profit | 12.98 B | |||
| EBITDA | 575 M | |||
| Net Income | 4.51 B | |||
| Cash And Equivalents | 375.84 B | |||
| Cash Per Share | 38.46 X | |||
| Total Debt | 127.26 B | |||
| Book Value Per Share | 4.34 X | |||
| Cash Flow From Operations | (13.37 B) | |||
| Short Ratio | 6.07 X | |||
| Earnings Per Share | 1.17 X | |||
| Price To Earnings To Growth | 0.55 X | |||
| Target Price | 8.18 | |||
| Number Of Employees | 61.8 K | |||
| Beta | 1.35 | |||
| Market Capitalization | 33.58 B | |||
| Total Asset | 692.67 B | |||
| Retained Earnings | 21.53 B | |||
| Annual Yield | 0.06 % | |||
| Net Asset | 692.67 B | |||
| Last Dividend Paid | 0.17 |
About Natwest Group Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Natwest Group PLC's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Natwest Group using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Natwest Group PLC based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Natwest Group Investors Sentiment
The influence of Natwest Group's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Natwest. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to Natwest Group's public news can be used to forecast risks associated with an investment in Natwest. The trend in average sentiment can be used to explain how an investor holding Natwest can time the market purely based on public headlines and social activities around Natwest Group PLC. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Natwest Group's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Natwest Group's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Natwest Group's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Natwest Group.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Natwest Group in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Natwest Group's short interest history, or implied volatility extrapolated from Natwest Group options trading.
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Try AI Portfolio ArchitectCheck out Natwest Group Piotroski F Score and Natwest Group Altman Z Score analysis. You can also try the Fundamental Analysis module to view fundamental data based on most recent published financial statements.
Complementary Tools for Natwest Stock analysis
When running Natwest Group's price analysis, check to measure Natwest Group's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Natwest Group is operating at the current time. Most of Natwest Group's value examination focuses on studying past and present price action to predict the probability of Natwest Group's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Natwest Group's price. Additionally, you may evaluate how the addition of Natwest Group to your portfolios can decrease your overall portfolio volatility.
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Is Natwest Group's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Natwest Group. If investors know Natwest will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Natwest Group listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.21) | Dividend Share 0.17 | Earnings Share 1.17 | Revenue Per Share 3.08 | Quarterly Revenue Growth (0.11) |
The market value of Natwest Group PLC is measured differently than its book value, which is the value of Natwest that is recorded on the company's balance sheet. Investors also form their own opinion of Natwest Group's value that differs from its market value or its book value, called intrinsic value, which is Natwest Group's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Natwest Group's market value can be influenced by many factors that don't directly affect Natwest Group's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Natwest Group's value and its price as these two are different measures arrived at by different means. Investors typically determine if Natwest Group is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Natwest Group's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.