NatWest Group plc (NWG)

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?

Investors looking for stocks in the Banks - Foreign sector might want to consider either NatWest Group (NWG) or Nordea Bank AB (NRDBY). But which of these two stocks is more attractive to value investors?

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Shore Capital says NatWest Group PLC (LSE:NWG) second quarter results have once again outpaced market forecasts, prompting the bank's management to raise its full-year targets. Return on tangible equity (RoTE) for the period came in at 17.7%, comfortably ahead of expectations, and NatWest now expects to deliver at least 16.5% for the year as a whole.

NatWest delivered strong Q2 2025 results, clearing analyst expectations on both revenue and profit, and delivering a healthy 17.7% return on tangible equity. The bank's structural hedge continues to reprice into the prevailing yield environment, which is contributing to strong growth in net interest income and earnings. With the shares still trading for less than 1.5x tangible net asset value, the valuation remains attractive.

NatWest Group plc (NYSE:NWG ) Q2 2025 Earnings Conference Call July 25, 2025 4:00 AM ET Company Participants John-Paul Thwaite - Group CEO & Executive Director Katie Murray - Group CFO & Executive Director Conference Call Participants Alvaro Serrano Saenz de Tejada - Morgan Stanley, Research Division Amandeep Singh Rakkar - Barclays Bank PLC, Research Division Amit Goel - Mediobanca—Banca di credito finanziario S.p.A., Research Division Christopher Cant - Bernstein Autonomous LLP Edward Hugo Anson Firth - Keefe, Bruyette, & Woods, Inc., Research Division Guy Stebbings - BNP Paribas Exane, Research Division Jason Clive Napier - UBS Investment Bank, Research Division Jonathan Richard Kuczynski Pierce - Jefferies LLC, Research Division Sheel Shah - JPMorgan Chase & Co, Research Division Operator Good morning, and welcome to NatWest Group's H1 2025 Results Management Presentation.

British lender NatWest plans to double the amount of money it will dedicate to help clients meet decarbonisation and climate goals, saying on Friday that it recognised it needed to do more to support the energy transition.

NatWest Group PLC (LSE:NWG) has raised its full-year profit expectations and boosted its dividend after reporting higher earnings for the first half of 2025, supported by growth in lending, deposits and customer numbers. The lender posted an attributable profit of £2.5 billion for the six months to June, up 28% on the previous year.

NatWest's profit for the first half of the year rose a slightly better-than-expected 18% as it grew loans and deposits, it said on Friday, allowing the British lender to announce a fresh share buyback worth 750 million pounds ($1.01 billion).

NatWest share price rose by over 1% on Thursday after Lloyds Bank, its biggest competitor, published its strong financial results. NWG jumped to a high of 505p, its highest level since July 2nd, and 7.28% from its lowest point this month.

LONDON--(BUSINESS WIRE)--NatWest announced a collaboration with Amazon Web Services and Accenture to transform the way it serves its customers.

NatWest is a transformed, hyper-capitalized bank trading at a discount, with strong profitability, a 4.16% yield, and robust risk management. The market still prices NatWest as a post-crisis bank, but its fundamentals—ROTE >16%, CET1 ≥13.8%, and buybacks—justify a rerating. Q2 results could be the catalyst for a rapid revaluation, especially with the Sainsbury's Bank acquisition and structural hedges boosting net interest income.

Lloyds Banking Group PLC (LSE:LLOY) reports second-quarter results next Thursday, 24 July, with NatWest Group PLC (LSE:NWG) following on Friday, 25 July, with the City analyst consensus pointing to growing profits at both.   Consensus forecasts compiled by the company are for £4.5 billion of net income, up from the £4.4 billion in the first quarter.

Deciding which of Lloyds Banking Group PLC (LSE:LLOY) and NatWest Group PLC (LSE:NWG) is the more profitable bank is "the ultimate question" for City philosophers, said analysts at Keefe, Bruyette and Woods.  In a substantial document devoted to answering this question -- acknowledging that greater philosophers and scientists have pondered the ultimate question of life, from Socrates's examination of wisdom and virtue, to Einstein's betterment of humanity and Deep Thought mulling of the ultimate question of life, the universe and everything -- the US broker ended up upgrading its target prices for both lenders.

NatWest Group PLC (LSE:NWG) has raised €126 million by selling its stake in Permanent TSB Group, an Irish retail and small business lender, in a placing with institutional investors.   The 11.7% stake was disposed of at a placing price of €1.98 per share.

NatWest Group said on Monday it intends to exit its interest in Permanent TSB Group by selling about 63.6 million shares in the Irish bank.