Nationwide Building Society (NBS) AI Stock Analysis

• Market Cap: £1.38B
• Dividend Yield: N/A
• Average Volume (3M): 560.00
• Price to Earnings (P/E): 0.5
• Beta (1Y): 0.11
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: 13,768.00p ▲(5.50% Upside)

Nationwide Building Society's overall stock score reflects a stable financial performance with strong revenue growth and profitability. However, high leverage and recent negative cash flow trends pose risks. The technical analysis indicates bearish momentum, while the corporate events suggest strategic financial strengthening. The low P/E ratio may indicate undervaluation, but the lack of a dividend yield is a drawback for income investors.

Nationwide Building Society Business Overview & Revenue Model

Company Description

Nationwide Building Society (NBS) is the largest building society in the United Kingdom, operating primarily in the financial services sector. Established in 1846, the organization offers a wide array of products and services, including savings accounts, mortgages, personal loans, and insurance. As a mutual society, NBS is owned by its members, which allows it to prioritize customer satisfaction and competitive rates over shareholder profits.

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 demonstrates strong revenue growth and profitability, along with a solid equity position. However, the company's high leverage and recent negative free cash flow raise caution. The financial performance is promising, but sustainability and cash flow management are key areas to monitor.

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	9.45B	16.27B	4.67B	9.32B	5.04B	4.54B
Gross Profit	7.56B	5.18B	4.74B	9.32B	5.04B	4.54B
EBITDA	1.98B	2.89B	2.23B	-57.00M	0.00	0.00
Net Income	999.00M	2.30B	1.30B	1.66B	1.25B	618.00M
Balance Sheet
Total Assets	282.35B	367.88B	271.92B	271.89B	272.35B	254.91B
Cash, Cash Equivalents and Short-Term Investments	28.80B	29.48B	25.16B	25.95B	30.82B	17.70B
Total Debt	55.58B	54.24B	54.89B	61.17B	72.07B	64.36B
Total Liabilities	265.73B	347.39B	254.23B	256.32B	257.99B	242.14B
Stockholders Equity	16.62B	19.72B	17.69B	15.57B	14.36B	12.78B
Cash Flow
Free Cash Flow	847.00M	-8.31B	7.08B	1.80B	1.07B	937.00M
Operating Cash Flow	927.00M	-7.91B	7.17B	2.14B	1.35B	1.28B
Investing Cash Flow	958.00M	10.77B	792.00M	-4.21B	-4.96B	-7.95B
Financing Cash Flow	5.50B	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: Negative
• MACD: Positive
• 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 above the 20-day moving average (MA) of 13040.00, above the 50-day MA of 13012.00, and below the 200-day MA of 13096.50, indicating a neutral trend. The MACD of 10.96 indicates Positive momentum. The RSI at 89.85 is Negative, neither overbought nor oversold. The STOCH value of 56.67 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
OSB	77 Outperform	£1.94B	7.73	12.04%	6.35%	-7.30%	-27.83%
LLOY	76 Outperform	£52.44B	15.46	8.08%	3.81%	-22.85%	-21.12%
PAG	73 Outperform	£1.54B	8.07	14.68%	5.04%	6.25%	10.48%
ARBB	71 Outperform	£148.11M	9.13	6.22%	5.83%	1.68%	-46.69%
MTRO	68 Neutral	£733.89M	6.92	9.14%	―	-29.12%	964.19%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
NBS	61 Neutral	£1.38B	0.52	12.71%	―	24.32%	122.52%

Nationwide Building Society Corporate Events

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.

Nationwide Issues £400M Subordinated Notes to Boost Capital

Nationwide Building Society has announced the issuance of £400 million Fixed Rate Reset Tier 2 Subordinated Notes due July 2036 under its $35 billion European Note Programme. This move is part of Nationwide’s strategy to strengthen its capital base, potentially enhancing its financial stability and market competitiveness.

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 Confirms Compliance Post-Virgin Money Acquisition

Nationwide Building Society has confirmed its compliance with post-offer intention statements following its acquisition of Virgin Money UK PLC, as required by the City Code on Takeovers and Mergers. This acquisition has strengthened Nationwide’s market position, connecting it with one in three people in the UK and expanding its reach in the financial services sector.

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 Restructures Boards to Streamline Governance

Nationwide Building Society has announced a restructuring of the boards of Virgin Money and Clydesdale Bank to align with its own governance structure, effective 30 September 2025. This move aims to streamline decision-making and governance across the combined group, with key appointments including Kevin Parry as Chairman and Chris Rhodes joining the Nationwide Board as an executive director. The changes reflect Nationwide’s strategy to integrate its recent acquisition of Virgin Money, enhancing its market position and operational efficiency.

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 Restructures Board for Enhanced Governance

Nationwide Building Society has announced a significant restructuring of the boards of Virgin Money UK PLC and Clydesdale Bank, aligning them with Nationwide’s board to create a more efficient governance structure. This change, effective 30 September 2025, includes the appointment of several key directors and aims to streamline decision-making across the combined group, enhancing operational efficiency and governance. The move signifies an important step in integrating the Nationwide and Virgin Money businesses, potentially impacting stakeholders by improving the coherence and agility of the group’s 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 Announces Strategic Board Restructuring

Nationwide Building Society has announced significant board changes as part of its strategy to align the boards of Virgin Money and Clydesdale Bank with its own. This restructuring, effective from 30 September 2025, involves several resignations and new appointments, including key roles such as the Chairman and Chief Financial Officer. The changes are intended to streamline decision-making and governance across the combined group, reflecting Nationwide’s ongoing integration efforts with Virgin Money. The announcement underscores Nationwide’s commitment to enhancing operational efficiency and governance, with implications for improved strategic alignment and potential benefits for stakeholders.

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 $1 Billion in Senior Preferred Notes

Nationwide Building Society has announced the issuance of $700 million in fixed rate senior preferred notes and $300 million in floating rate senior preferred notes, both due in 2030. These issuances are part of its $25 billion Senior Preferred, Senior Non-Preferred, and Subordinated Medium-Term Note Program, indicating a strategic move to strengthen its financial position and liquidity, potentially impacting its market presence 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.

Nationwide Building Society Issues €1.5 Billion in Covered Bonds

Nationwide Building Society has announced the issuance of two series of regulated covered bonds under its €45 billion Global Covered Bond Programme. The issuance includes €1 billion in fixed rate covered bonds due January 2029 and €500 million in fixed rate covered bonds due September 2032. These bonds are guaranteed by Nationwide Covered Bonds LLP, reflecting the company’s strategic efforts to strengthen its financial position and provide secure investment opportunities for stakeholders.

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 CHF 175 Million Covered Bonds

Nationwide Building Society has announced the issuance of CHF 175,000,000 in fixed-rate covered bonds, due in September 2032, under its €45 billion Global Covered Bond Programme. This move signifies Nationwide’s strategic efforts to strengthen its financial position and enhance its funding capabilities, potentially impacting its market standing and providing assurance to stakeholders about its long-term financial commitments.

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 to Redeem Senior Non-Preferred Notes

Nationwide Building Society has announced its decision to redeem in full its JPY 4,000,000,000 Fixed Rate Reset Senior Non-Preferred Notes due in October 2026. The redemption will occur on 30 October 2025, after which the notes will be cancelled, and no further interest payments will be made. Additionally, Nationwide will request the cancellation of the notes’ listing on the FCA’s Official List and their admission to trading on the London Stock Exchange. This move reflects the company’s strategic financial management and could impact stakeholders by altering the company’s debt profile and market presence.

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 €1 Billion in Senior Notes

Nationwide Building Society has announced the issuance of €1 billion in Senior Preferred Notes with a 3.125% interest rate, due in August 2032. This issuance is part of its larger $35 billion European Note Programme, indicating a strategic move to strengthen its financial position and enhance its market offerings.

Nationwide Building Society Enhances Funding with €45 Billion Bond Programme Supplement

Nationwide Building Society has announced the publication of a supplement related to its €45 billion Global Covered Bond Programme, which has been approved by the Financial Conduct Authority. This development is significant for Nationwide as it enhances its funding capabilities and strengthens its position in the financial markets, potentially impacting stakeholders by providing more robust investment opportunities.

Nationwide Publishes Annual Report for Covered Bonds LLP

Nationwide Building Society has published the Annual Report and Financial Statements for its Nationwide Covered Bonds LLP for the year ending 31 March 2025. This release is part of their €45 billion Global Covered Bond Programme, which is a significant component of their financial operations, potentially impacting their market position and stakeholder interests.

Nationwide Building Society Updates $35 Billion European Note Programme

Nationwide Building Society has updated its U.S.$35 billion European Note Programme, with the new Base Prospectus approved by the Financial Conduct Authority. This update is significant for the company’s financial operations, potentially enhancing its funding capabilities and market presence in Europe.