National Australia Bank (NABZY)
OTHER OTC:NABZY
Want to see NABZY full AI Analyst Report?
Top Page
National Australia Bank
(OTC:NABZY)
Select Model
Select Model
Rating:55Neutral
Price Target:
$14.50
â–²(3.72% Upside)
Action:Reiterated
Date:05/04/26
The score is held back mainly by volatile cash generation and weaker earnings quality (margin compression and lower net income) alongside a clearly bearish technical trend. These are partly offset by a supportive dividend yield and a cautiously constructive earnings-call outlook featuring underlying growth, cost/productivity actions, and solid liquidity/capital despite higher provisioning and a large one-off charge.
Positive Factors
Stable Low-Cost Funding Mix
NAB’s deposit-funded lending mix (84% of lending funded by customer deposits) reduces reliance on wholesale markets and funding volatility. This durable funding advantage supports net interest margin stability, lowers refinancing risk, and underpins consistent lending capacity over the medium term.
Negative Factors
Volatile Cash Generation
Multi-year swings in operating and free cash flows undermine confidence in NAB’s ability to consistently self-fund dividends, remediation costs, or investment. Persistent volatility complicates planning, increases reliance on capital markets in stress, and weakens predictability of shareholder returns over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Stable Low-Cost Funding Mix
NAB’s deposit-funded lending mix (84% of lending funded by customer deposits) reduces reliance on wholesale markets and funding volatility. This durable funding advantage supports net interest margin stability, lowers refinancing risk, and underpins consistent lending capacity over the medium term.
Read all positive factors
National Australia Bank (NABZY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$80.17B
Dividend Yield3.92%
Average Volume (3M)9.49K
Price to Earnings (P/E)12.0
Beta (1Y)0.54
Revenue Growth-6.91%
EPS Growth-9.67%
CountryUS
Employees39,976
SectorFinancial
Sector Strength70
IndustryBanks - Diversified
Share Statistics
EPS (TTM)0.99
Shares Outstanding6,135,214,000
10 Day Avg. Volume9,359
30 Day Avg. Volume9,489
Financial Highlights & Ratios
PEG Ratio-3.36
Price to Book (P/B)2.14
Price to Sales (P/S)2.30
P/FCF Ratio19.52
Enterprise Value/Market Cap3.79
Enterprise Value/Revenue5.35
Enterprise Value/Gross Profit14.88
Enterprise Value/Ebitda32.46
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)0.77
Revenue Forecast (FY)$15.89B
National Australia Bank Business Overview & Revenue Model
Company Description
National Australia Bank Limited provides financial services to individuals and businesses in Australia, New Zealand, and internationally. It operates through Business and Private Banking, Personal Banking, Corporate and Institutional Banking, and ...
How the Company Makes Money
NAB primarily makes money by earning interest and fees from providing banking products and services. Its largest earnings driver is typically net interest income: the bank pays interest to customers and markets on funding sources (such as customer...
National Australia Bank Earnings Call Summary
Earnings Call Date:May 03, 2026
(Q2-2026)
| Next Earnings Date:Nov 05, 2026
Earnings Call Sentiment Positive
The call presents a cautiously positive outlook: strong underlying business momentum (notably in business lending, deposit growth, proprietary home lending and customer advocacy) and solid liquidity/capital positions underpin confidence. However, material one-off software capitalization changes, higher credit impairment provisioning (including a $300m forward-looking top-up), margin pressures in some lending areas, and heightened macro/geopolitical uncertainty introduce near-term headwinds. Management actions to bolster capital and balance sheet resilience were emphasized and operating performance excluding the large notable remained constructive.Positive Updates
Underlying Profit and Cash Earnings Growth (Ex-Notables)
Underlying profit (excluding the large software capitalization notable) rose 6.4% half-on-half; cash earnings excluding the notable item grew 2.3%.
Negative Updates
Large One-off Software Capitalization Charge
A change to the software capitalization policy resulted in a one-off accelerated amortization charge of $1.35 billion booked through operating expenses in H1, materially impacting statutory profit and increasing the proportion of investment spend expensed (OpEx ratio forecast around 50% in H2).
Read all updates
Q2-2026 Updates
Positive
Negative
Underlying Profit and Cash Earnings Growth (Ex-Notables)
Underlying profit (excluding the large software capitalization notable) rose 6.4% half-on-half; cash earnings excluding the notable item grew 2.3%.
Read all positive updates
Company Guidance
The guidance and outlook communicated on the call emphasized resilient near‑term positioning while flagging cautious provisioning and balance‑sheet strengthening: underlying profit rose 6.4% (cash earnings ex‑notables +2.3%), revenue +3.1%, NIM up ~3bps (lending margin -4bps) with a 3bps benefit from the deposit‑replicating portfolio and an estimated ~5bps replicating return into H2; operating expenses were down 0.5% ex‑notable with $199m of productivity savings (target >$450m FY) and investment spend ~ $1.8bn (≈50% expensed in H2); credit impairment charge was $706m (18bps of loans) including a $300m forward‑looking provision top‑up (forward‑looking collective provisions now $1.93bn; collective provisions ≈1.35% of CRWA; total provisions ≈1.68% of CRWA); CET1 was 11.65% (down 5bps) and the 1.5% DRP discount plus partial underwriting is expected to raise ≈$1.8bn (~+40bps) to a pro‑forma ~12.05%; interim dividend $0.85 (72.5% payout ex‑notables, within 65–75% policy); liquidity metrics remained strong (LCR 132%, NSFR 116%) and term issuance was $19.6bn H1 (FY issuance ~ $36bn); momentum statistics cited included business lending GLAs +11.5% YoY to $306bn, business credit growth 6.9% this half, transaction account balances +10.8%, $14bn growth in at‑call balances in H1, proprietary drawdowns up to 47.7% (50% in March), offset/redraw +9% YoY, and segment underlying profits: B&PB +5.4%, C&IB +1.7%, Personal +3.7%, BNZ flat.National Australia Bank Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
64
Positive
Cash Flow
41
Neutral
| Breakdown | TTM | Sep 2025 | Sep 2024 | Sep 2023 | Sep 2022 | Sep 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 56.77B | 58.68B | 20.62B | 19.83B | 18.45B | 16.93B |
| Gross Profit | 20.39B | 19.50B | 20.62B | 20.63B | 18.45B | 16.68B |
| EBITDA | 9.35B | 10.00B | 0.00 | 0.00 | 10.86B | 10.11B |
| Net Income | 5.87B | 6.58B | 6.96B | 7.41B | 6.89B | 6.36B |
Balance Sheet | ||||||
| Total Assets | 1.14T | 1.11T | 1.08T | 1.06T | 1.06T | 925.97B |
| Cash, Cash Equivalents and Short-Term Investments | 1.76B | 167.24B | 112.94B | 120.20B | 144.53B | 109.21B |
| Total Debt | 189.00B | 290.45B | 296.68B | 196.31B | 486.90B | 169.84B |
| Total Liabilities | 1.08T | 1.05T | 1.02T | 997.58B | 996.09B | 863.19B |
| Stockholders Equity | 60.24B | 63.09B | 61.45B | 61.15B | 59.03B | 62.78B |
Cash Flow | ||||||
| Free Cash Flow | -772.78M | 6.92B | -37.22B | -27.89B | 27.14B | -99.00M |
| Operating Cash Flow | 585.00M | 8.29B | -35.78B | -17.54B | 28.22B | 759.00M |
| Investing Cash Flow | -5.70B | -5.56B | 4.69B | -4.21B | -8.70B | -3.69B |
| Financing Cash Flow | -877.52M | 2.65B | 9.92B | -2.18B | 6.01B | -22.05B |
National Australia Bank Technical Analysis
Negative
13.98
Price Trends
14.53
Negative
14.78
Negative
14.07
Negative
Market Momentum
-0.44
Positive
36.15
Neutral
8.95
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NABZY, the sentiment is Negative. The current price of 13.98 is above the 20-day moving average (MA) of 13.63, below the 50-day MA of 14.53, and below the 200-day MA of 14.07, indicating a bearish trend. The MACD of -0.44 indicates Positive momentum. The RSI at 36.15 is Neutral, neither overbought nor oversold. The STOCH value of 8.95 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NABZY.
National Australia Bank Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | $127.22B | 8.87 | 18.94% | 3.27% | -10.12% | 13.24% | |
71 Outperform | $85.58B | 10.46 | 12.71% | 4.14% | 10.57% | 19.15% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
65 Neutral | $231.99B | 11.96 | 12.04% | 1.80% | 1.28% | 16.35% | |
64 Neutral | $62.39B | 3.74 | 14.55% | 3.67% | 7.21% | 26.24% | |
62 Neutral | $80.33B | 6.17 | 9.46% | 1.71% | 12.95% | 21.64% | |
55 Neutral | $80.17B | 11.97 | 9.88% | 3.92% | -6.91% | -9.67% |
* Financial Sector Average
NABZY
National Australia Bank
13.44
1.94
16.86%
BBVA
Banco Bilbao
22.71
7.91
53.43%
BCS
Barclays
23.97
6.67
38.58%
ING
ING Groep
30.66
10.21
49.90%
NWG
NatWest Group
15.79
2.46
18.44%
WFC
Wells Fargo
75.92
4.11
5.72%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.