Fears over the UK budget have hung over the banking sector for months, but Deutsche Bank argues that the worry is starting to look overdone. The note's central point is that, whatever the chancellor announces, markets are likely to move on quickly to the next catalyst: the Bank of England's forthcoming capital review.
Does NatWest Group (NWG) have what it takes to be a top stock pick for momentum investors? Let's find out.
PMT, NWG, PAHC, CNC and ACNB have been added to the Zacks Rank #1 (Strong Buy) List on October 31, 2025.
Does NatWest Group (NWG) have what it takes to be a top stock pick for momentum investors? Let's find out.
NatWest Group plc (NYSE:NWG ) Q3 2025 Earnings Call October 24, 2025 4:00 AM EDT Company Participants Paul Thwaite - Group CEO & Executive Director Katie Murray - Group CFO & Executive Director Conference Call Participants Benjamin Caven-Roberts - Goldman Sachs Group, Inc., Research Division Sheel Shah - JPMorgan Chase & Co, Research Division Aman Rakkar - Barclays Bank PLC, Research Division Alvaro de Tejada - Morgan Stanley, Research Division Christopher Cant - Bernstein Autonomous LLP Jonathan Richard Pierce - Jefferies LLC, Research Division Guy Stebbings - BNP Paribas Exane, Research Division Robert Noble - Deutsche Bank AG, Research Division Benjamin Toms - RBC Capital Markets, Research Division Edward Hugo Firth - Keefe, Bruyette, & Woods, Inc., Research Division Andrew Coombs - Citigroup Inc., Research Division Presentation Operator Good morning, and welcome to the NatWest Group Q3 Results 2025 Management Presentation. Today's presentation will be hosted by CEO, Paul Thwaite; and CFO, Katie Murray.
NatWest Group PLC (LSE:NWG) shares rose 3% early on Friday after the lender upgraded its forecasts for the year, reporting another quarter of higher income and profit driven by steady lending and strong customer activity. The bank now expects 2025 income, excluding one-off items, to reach about £16.3 billion, with a return on tangible equity above 18%; both higher than previous guidance.
The high-street bank reported a jump in operating pretax profit as it raised revenue and profitability guidance for the second time this year.
NatWest Group PLC (LSE:NWG) has raised its forecasts for the year after posting another quarter of rising income and profit, helped by steady lending and firm customer activity across its businesses. The bank now expects to earn around £16.3 billion in income for 2025, excluding one-off items, and to achieve a return on tangible equity, a measure of how efficiently it turns capital into profit, of more than 18%.
NatWest reported a 30% rise in third-quarter profit on Friday and upgraded its performance target for the year, as it grew loans and assets in its wealth business while avoiding hefty charges for mis-selling car finance that hurt rivals.
The FTSE 100 Index remained under pressure this week as investors reflected on the latest UK macro data, such as GDP, jobs, and industrial and manufacturing production. It retreated to a low of £9,436, down from the all-time high of £9,575.
NatWest has improved fundamentals, a safer balance sheet, and strong capital returns, but shares are now fairly valued after recent gains. NII growth remains resilient despite UK rate cuts, supported by lending, structural hedges, and lower deposit costs, while non-interest revenue is weak. Operating expenses are rising faster than revenues, and loan loss provisions have increased, pressuring earnings growth despite robust RoTE and capital ratios.
Dividends are one of the best benefits to being a shareholder, but finding a great dividend stock is no easy task. Does NatWest (NWG) have what it takes?