Nationwide Building Society (NBS) AI Stock Analysis

• Market Cap: £1.40B
• Dividend Yield: N/A
• Average Volume (3M): 560.00
• Price to Earnings (P/E): 0.5
• Beta (1Y): 0.07
• Revenue Growth: 24.32%
• EPS Growth: 122.52%
• Country: UK
• Employees: 18,310
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 37.27
• Shares Outstanding: 10,555,500
• 10 Day Avg. Volume: 330
• 30 Day Avg. Volume: 560
• PEG Ratio: <0.01
• Price to Book (P/B): 0.06
• Price to Sales (P/S): 0.07
• P/FCF Ratio: -0.15
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: 14,094.00p ▲(8.00% Upside)

Nationwide Building Society's overall score reflects strong corporate events and a solid financial foundation, offset by technical indicators suggesting potential overbought conditions and concerns over leverage and cash flow. The stock appears undervalued, but the lack of a dividend yield and high leverage are notable risks.

Positive Factors

Revenue Growth

Strong revenue growth indicates expanding market reach and effective product offerings, which can enhance long-term profitability and competitiveness.

Profitability

Improved profitability through better margins suggests efficient operations and cost management, contributing to sustainable financial health.

Equity Position

A strong equity position provides financial stability and flexibility, allowing for strategic investments and resilience against economic fluctuations.

Negative Factors

High Leverage

High leverage can increase financial risk, especially if interest rates rise, potentially impacting cash flow and limiting strategic options.

Negative Cash Flow

Negative cash flow can strain liquidity and hinder the ability to invest in growth opportunities, posing a risk to financial stability.

Cash Generation Concerns

Challenges in converting income to cash can affect operational flexibility and the ability to fund future initiatives, impacting long-term growth.

Nationwide Building Society Business Overview & Revenue Model

Company Description

Nationwide Building Society, together with its subsidiaries, provides retail financial services in the United Kingdom. The company offers current, savings, and individual savings accounts; residential mortgages; overdrafts, personal loans, car loans, and home improvement loans; and credit cards. It also provides loans to registered social landlords, loans made under the private finance initiatives, and commercial real estate loans. In addition, the company offers home, life, income protection, travel, mobile phone, and breakdown insurance; and investment products and services, such as financial planning services. Further, it provides treasury liquidity, derivative, and discretionary services; and mobile and Internet banking services. The company was founded in 1846 and is headquartered in Swindon, the United Kingdom.

How the Company Makes Money

Nationwide Building Society generates revenue primarily through the interest earned on mortgages and loans. As a building society, it collects deposits from members, which are then used to fund lending activities. The interest rate spread between what they pay on deposits and what they charge on loans constitutes a significant portion of their income. Additionally, NBS earns fees from various services, such as account maintenance fees, transaction fees, and insurance products. The organization also engages in partnerships with various financial service providers to offer bundled services, further enhancing its revenue streams. Overall, NBS's mutual model enables it to reinvest earnings into improving member services while maintaining competitive pricing.

Nationwide Building Society Financial Statement Overview

Summary

Nationwide Building Society shows strong revenue growth and profitability, with a solid equity position. However, high leverage and recent negative free cash flow are concerns, suggesting a stable but cautious financial outlook.

Income Statement

Nationwide Building Society showed robust revenue growth over the past years, with a significant increase in total revenue for the latest year. The gross profit margin and net profit margin have improved, indicating enhanced profitability. EBIT and EBITDA margins remain stable, suggesting efficient operations. However, the sharp spike in revenue from the previous year warrants cautious optimism as it may not be sustainable without understanding the underlying drivers.

Balance Sheet

The balance sheet reflects a solid equity base with an improving equity ratio. The debt-to-equity ratio is relatively high, indicating significant reliance on debt financing, which could pose risks if interest rates rise. However, the return on equity is strong, highlighting effective use of equity capital. Overall, the balance sheet shows resilience but with potential leverage risks.

Cash Flow

The cash flow statement shows substantial fluctuations, with negative free cash flow in the latest year due to high capital expenditures and operational cash outflows. Despite this, the company had positive cash flows in previous years. The ratio of operating cash flow to net income is concerning, suggesting potential issues in cash generation. While there are periods of strong cash flow, the recent negative trends are a risk.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	18.40B	16.27B	4.67B	9.32B	5.04B	4.54B
Gross Profit	0.00	5.18B	4.74B	9.32B	5.04B	4.54B
EBITDA	942.00M	2.89B	2.23B	-57.00M	0.00	0.00
Net Income	2.22B	2.30B	1.30B	1.66B	1.25B	618.00M
Balance Sheet
Total Assets	377.47B	367.88B	271.92B	271.89B	272.35B	254.91B
Cash, Cash Equivalents and Short-Term Investments	35.27B	29.48B	25.16B	25.95B	30.82B	17.70B
Total Debt	65.68B	54.24B	54.89B	61.17B	72.07B	64.36B
Total Liabilities	358.92B	347.39B	254.23B	256.32B	257.99B	242.14B
Stockholders Equity	18.34B	19.72B	17.69B	15.57B	14.36B	12.78B
Cash Flow
Free Cash Flow	-27.95B	-8.31B	7.08B	1.80B	1.07B	937.00M
Operating Cash Flow	-27.84B	-7.91B	7.17B	2.14B	1.35B	1.28B
Investing Cash Flow	10.32B	10.77B	792.00M	-4.21B	-4.96B	-7.95B
Financing Cash Flow	-7.79B	1.44B	-9.31B	-2.79B	16.72B	9.96B

Nationwide Building Society Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13050.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:NBS, the sentiment is Positive. The current price of 13050 is below the 20-day moving average (MA) of 13112.50, below the 50-day MA of 13075.00, and below the 200-day MA of 13061.25, indicating a bullish trend. The MACD of 53.78 indicates Negative momentum. The RSI at 88.75 is Negative, neither overbought nor oversold. The STOCH value of 61.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:NBS.

Nationwide Building Society Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LRE	76 Outperform	£1.50B	8.36	15.18%	11.03%	8.78%	-38.83%
LLOY	69 Neutral	£64.14B	15.52	8.08%	3.41%	-22.85%	-21.12%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
NBS	66 Neutral	£1.40B	0.55	12.71%	―	24.32%	122.52%
PAG	65 Neutral	£1.67B	9.74	12.70%	4.74%	-4.98%	3.02%
MTRO	62 Neutral	£896.83M	8.46	9.14%	―	-29.12%	964.19%
ARBB	59 Neutral	£141.23M	8.71	6.22%	5.68%	1.68%	-46.69%

Nationwide Building Society Corporate Events

Nationwide Issues £500m Senior Non-Preferred Notes Under European Programme

Nationwide Building Society has published the final terms for a new £500m Fixed Rate Reset Senior Non-Preferred Notes issuance due December 2033, launched under its existing US$35bn European Note Programme. The move underscores Nationwide’s continued use of wholesale funding markets to support its balance sheet and regulatory capital structure, providing additional term funding that may strengthen its financial resilience and flexibility in line with its long-term funding strategy.

The most recent analyst rating on (GB:NBS) stock is a Hold with a £14094.00 price target. To see the full list of analyst forecasts on Nationwide Building Society stock, see the GB:NBS Stock Forecast page.

Nationwide Names Mike Rogers as Next Chair After Virgin Money Integration

Nationwide Building Society has announced that veteran financial services executive Mike Rogers will succeed Kevin Parry OBE as chair of Nationwide, Virgin Money UK and Clydesdale Bank, joining the board as an independent non-executive director and deputy chair on 1 April 2026 before taking over as chair in mid-July, subject to member approval at the 2026 AGM. Rogers, who currently chairs Admiral Group and Experian and has held senior roles at LV= and Barclays, is being positioned to guide the enlarged mutual group through its next phase following the Virgin Money acquisition, with the board highlighting his retail banking, mutual governance and risk expertise, while Parry is credited with reshaping the society’s strategy, boosting member value and strengthening its position in mortgages, savings, current accounts and newer areas such as unsecured lending and business banking.

The most recent analyst rating on (GB:NBS) stock is a Hold with a £14094.00 price target. To see the full list of analyst forecasts on Nationwide Building Society stock, see the GB:NBS Stock Forecast page.

Nationwide Strengthens Board Oversight With Appointment of Audit Veteran Guy Bainbridge

Nationwide Building Society has announced the appointment of veteran audit and banking specialist Guy Bainbridge as a non-executive director on the boards of Nationwide, Virgin Money and Clydesdale Bank from 1 February 2026, with a planned transition to Chair of the Audit Committee after the 2026 AGM, subject to regulatory approval. Bainbridge, a former senior KPMG banking audit partner and current audit committee chair at Manulife Financial and ICE Clear Europe, brings more than four decades of experience in bank auditing and governance, and his appointment is intended to bolster Nationwide’s audit and risk oversight as it integrates Virgin Money and strengthens its position in UK retail financial services; he will replace outgoing non-executive directors Anand Aithal and David Bennett, both stepping down at the end of 2025 after contributing to the group’s strategic direction and governance.

The most recent analyst rating on (GB:NBS) stock is a Hold with a £14094.00 price target. To see the full list of analyst forecasts on Nationwide Building Society stock, see the GB:NBS Stock Forecast page.

Nationwide Building Society Updates Financial Documentation

Nationwide Building Society has announced the publication of a supplement to its previously issued Registration Document and Base Prospectuses, which have been approved by the Financial Conduct Authority. This update pertains to its significant financial programs, including the U.S. $35 billion European Note Programme and the €45 billion Global Covered Bond Programme, among others. The supplement’s approval and publication are crucial for maintaining transparency and compliance, potentially impacting the company’s financial operations and stakeholder confidence.

The most recent analyst rating on (GB:NBS) stock is a Hold with a £14094.00 price target. To see the full list of analyst forecasts on Nationwide Building Society stock, see the GB:NBS Stock Forecast page.

Nationwide Building Society Passes 2025 Bank of England Stress Test

Nationwide Building Society has successfully passed the Bank of England’s 2025 Capital Stress Test, demonstrating resilience with a CET1 ratio of 14.5% and a leverage ratio of 4.8%, both comfortably above the regulatory requirements. This outcome indicates that Nationwide does not need to revise its capital plan or take additional actions, reinforcing its stability and commitment to supporting the financial stability objectives of the Bank of England and the Financial Policy Committee.

The most recent analyst rating on (GB:NBS) stock is a Hold with a £13768.00 price target. To see the full list of analyst forecasts on Nationwide Building Society stock, see the GB:NBS Stock Forecast page.

Nationwide Building Society Releases Supplement to Financial Documents

Nationwide Building Society has published a supplement to its previously released Registration Document and Base Prospectuses, which has been approved by the Financial Conduct Authority. This update pertains to its significant financial programmes, including the U.S.$35 billion European Note Programme, €45 billion Global Covered Bond Programme, and U.S.$25 billion Medium-Term Note Programme, reflecting the company’s ongoing efforts to maintain transparency and compliance in its financial operations.

The most recent analyst rating on (GB:NBS) stock is a Hold with a £13768.00 price target. To see the full list of analyst forecasts on Nationwide Building Society stock, see the GB:NBS Stock Forecast page.

Nationwide Building Society Releases Interim Results for 2025

Nationwide Building Society has released its Interim Results for the six-month period ending 30 September 2025. This announcement provides stakeholders with insights into the company’s financial performance and operational status, potentially impacting its market positioning and stakeholder confidence.

The most recent analyst rating on (GB:NBS) stock is a Hold with a £13768.00 price target. To see the full list of analyst forecasts on Nationwide Building Society stock, see the GB:NBS Stock Forecast page.

Nationwide Building Society Issues £500 Million Covered Bonds

Nationwide Building Society has announced the publication of the final terms for a new issuance of £500 million in fixed-rate covered bonds, part of its €45 billion Global Covered Bond Programme. This issuance, guaranteed by Nationwide Covered Bonds LLP, is set to mature in October 2030 and reflects the company’s ongoing efforts to secure funding and maintain its financial stability, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (GB:NBS) stock is a Hold with a £13768.00 price target. To see the full list of analyst forecasts on Nationwide Building Society stock, see the GB:NBS Stock Forecast page.