NatWest Group (NYSE:NWG) Issues Quarterly Earnings Results

NatWest Group (NYSE:NWG) posted its earnings results on Friday. The company reported $0.48 earnings per share for the quarter, beating the consensus estimate of $0.44 by $0.04, Zacks reports. NatWest Group had a net margin of 18.59% and a return on equity of 13.05%. The firm had revenue of $5.59 billion during the quarter, compared to the consensus estimate of $5.80 billion.

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

• Upgraded guidance and strong Q1 results: Income rose 6.9% to £4.2bn, EPS increased 15.5% to £0.179 and ROTE was 18.2%, and management now expects 2026 income at the top end of the £17.2–£17.6bn range (ex Evelyn Partners).
• Broad-based balance-sheet growth: Customer lending grew 6.6% YoY to £400bn, deposits rose 2.6% to £445bn, AUM increased 16.9% to £57bn, and client assets & liabilities exceeded £900bn, in line with the 2028 CAL target.
• Productivity and cost progress driven by tech: The group delivered over £100m of Q1 cost savings, lowered its cost/income ratio to 46.5%, and says over 40% of its code is now written by AI, enabling much faster product delivery.
• Macro-driven provisioning and impairment: Management now assumes Bank Rate at 3.75% for 2026 with higher inflation, and took an additional £140m provisioning charge in Q1 (impairment 26bps including scenario adjustments), reflecting prudence that may weigh on near-term profits.
• Strong capital and strategic M&A: CET1 was 14.3% with 65bps capital generation in Q1 and an expectation of ~200bps pre-distribution this year, while the Evelyn Partners acquisition is progressing toward a Q2 close (subject to regulatory approval).

NatWest Group Trading Down 3.2%

Shares of NWG stock opened at $15.41 on Friday. The stock has a market cap of $61.48 billion, a price-to-earnings ratio of 8.19, a price-to-earnings-growth ratio of 0.86 and a beta of 0.95. The company has a quick ratio of 1.04, a current ratio of 1.04 and a debt-to-equity ratio of 0.14. NatWest Group has a fifty-two week low of $12.76 and a fifty-two week high of $19.35. The firm’s 50 day moving average price is $15.75 and its two-hundred day moving average price is $16.33.

NatWest Group Announces Dividend

The firm also recently declared a dividend, which will be paid on Tuesday, May 5th. Shareholders of record on Friday, March 20th will be given a dividend of $0.621 per share. This represents a yield of 895.0%. The ex-dividend date of this dividend is Friday, March 20th. NatWest Group’s payout ratio is 64.36%.

NatWest Group News Roundup

Here are the key news stories impacting NatWest Group this week:

• Positive Sentiment: Profit and EPS beat — NatWest reported first?quarter profit up ~12% year?on?year and posted an EPS beat (reported $0.48 vs. ~$0.44 consensus), showing underlying profitability and helping support valuation multiples. NatWest posts first quarter profit rise of 12%
• Positive Sentiment: Guidance upgraded — Management raised 2026 income guidance (saying income could reach the top end of its range) on loan growth and benefits from the structural hedge, which frames a constructive medium?term revenue outlook. U.K. Bank NatWest Expects Income at Top End of Range
• Neutral Sentiment: Conference materials available — Management commentary, the earnings slide deck and the call recording are posted for investors wanting detail on drivers (loan volumes, cost control, and AI/productivity initiatives). Useful for modelling but not an immediate catalyst. Listen to Conference Call / View Slide Deck
• Negative Sentiment: Total income shortfall — Reported total income (c. £4.2bn) was ~2% below Street expectations, driven by a ~7% shortfall in non?interest income, a material reason some analysts marked down near?term upside. NatWest falls as income outlook raised but not as much as City analysts predicted
• Negative Sentiment: One?off Iran war provision — The bank took a provision related to the Iran war, which dents headline earnings and adds uncertainty over potential future charges. That helped temper investor enthusiasm despite the profit beat. NatWest’s first-quarter profit rises 12%, takes Iran war provision

Analysts Set New Price Targets

NWG has been the subject of several recent research reports. Barclays restated an “equal weight” rating on shares of NatWest Group in a report on Wednesday, January 7th. Keefe, Bruyette & Woods downgraded shares of NatWest Group from a “moderate buy” rating to a “hold” rating in a report on Monday, April 20th. BNP Paribas Exane upgraded shares of NatWest Group from a “strong sell” rating to a “hold” rating in a report on Friday, February 27th. Weiss Ratings reissued a “buy (b)” rating on shares of NatWest Group in a research report on Tuesday, April 21st. Finally, Zacks Research cut shares of NatWest Group from a “strong-buy” rating to a “hold” rating in a research report on Monday, April 13th. One investment analyst has rated the stock with a Buy rating and five have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Hold”.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. AQR Capital Management LLC lifted its position in shares of NatWest Group by 47.0% during the first quarter. AQR Capital Management LLC now owns 281,646 shares of the company’s stock worth $3,357,000 after purchasing an additional 90,057 shares in the last quarter. NewEdge Advisors LLC lifted its position in shares of NatWest Group by 14,445.1% during the first quarter. NewEdge Advisors LLC now owns 14,836 shares of the company’s stock worth $177,000 after purchasing an additional 14,734 shares in the last quarter. Goldman Sachs Group Inc. lifted its position in shares of NatWest Group by 7.6% during the first quarter. Goldman Sachs Group Inc. now owns 6,474,908 shares of the company’s stock worth $77,181,000 after purchasing an additional 455,538 shares in the last quarter. Jane Street Group LLC acquired a new position in shares of NatWest Group during the first quarter worth $2,282,000. Finally, Focus Partners Wealth lifted its position in shares of NatWest Group by 70.6% during the first quarter. Focus Partners Wealth now owns 24,251 shares of the company’s stock worth $290,000 after purchasing an additional 10,034 shares in the last quarter. 1.27% of the stock is owned by institutional investors and hedge funds.

NatWest Group Company Profile

NatWest Group plc is a major UK-based banking and financial services group headquartered in Edinburgh, Scotland. The company traces its roots to the Royal Bank of Scotland, founded in 1727, and adopted the NatWest Group name in 2020 as part of a strategic refocus on its NatWest brand. NatWest Group is listed on the London Stock Exchange and also has American depositary shares trading on the New York Stock Exchange under the symbol NWG.

The group provides a broad range of banking services across retail, private, commercial, corporate and institutional segments.