Natwest Group PLC (NWG:LN)

NatWest Group PLC (NWG:LN)

Financials/Banks Price: 222.90 GBX Report Date: October 1, 2021 Business Description and Key Statistics

NatWest Group is engaged in provision of banking and financial Current YTY % Chg services to personal, business and commercial customers. Co.'s reportable operating segments include: retail banking; Ulster Bank Revenue LFY (M) 13,840 -24.9 RoI - serves individuals and businesses in the Republic of Ireland; EPS Diluted LFY -0.06 -95.5 commercial banking - serves start-up, SME, commercial and corporate customers; private banking - serves individuals and their Market Value (M) 25,767 business interests; RBS International- serves retail, commercial, corporate customers, and financial institution customers; NatWest Shares Outstanding LFY (000) 11,560,000 markets - helps Co.'s corporate and institutional customers Book Value Per Share 3.69 manage their financial risks safely and achieve their goals; and central items and other - includes corporate functions. EBITDA Margin % Net Margin % -1.5 Website: www.natwestgroup.com Long-Term Debt / Capital % ICB Industry: Financials Dividends and Yield TTM 0.03 - 1.35% ICB Subsector: Banks Payout Ratio TTM % 100.0 Address: P.O. Box 1000;Gogarburn Edinburgh 60-Day Average Volume (000) 20,014 GBR 52-Week High & Low 224.90 - 107.50 Employees: 59,900 Price / 52-Week High & Low 0.99 - 2.07

Price, Moving Averages & Volume

230.7 230.7 NatWest Group PLC is currently trading at 222.90 which is 4.7% above its 50 day 214.7 214.7 moving average price of 212.82 and 15.2% above its 198.6 198.6 200 day moving average price of 193.53.

182.5 182.5 NWG:LN is currently 0.9% below its 52-week high price of 224.90 and is 107.3% above 166.5 166.5 its 52-week low price of 107.50. Over the past 52- 150.4 150.4 weeks, NWG:LN is up 107.4% while on a calendar year-to- date basis it is up 33.0%. 134.3 134.3 The Relative Strength Index (RSI) indicator for NWG:LN is 118.3 118.3 currently 63.35. An RSI value of 70 and above is considered 102.2 102.2 overbought and 30 and below 10/20 11/20 12/20 1/21 2/21 3/21 4/21 5/21 6/21 7/21 8/21 9/21 oversold. Volume (000) 115,231 115,231

86,433 86,433

57,636 57,636

28,838 Mean (20103.78) 28,838

40 40 10/20 11/20 12/20 1/21 2/21 3/21 4/21 5/21 6/21 7/21 8/21 9/21

Price Price (50-Day Simple Moving Average) Price (200-Day Simple Moving Average)

Financials/Banks Price: 222.90 GBX Report Date: October 1, 2021 Price Performance, Technical Indicators & Risk Metrics

Difference Price Performance % Change vs FTSE 350 Technical Indicators 1-Day % -0.89 -0.16 50-Day Average Price 212.82 1-Week % 2.44 3.21 Price / 50-Day Average 1.05 4-Week % 4.16 6.67 200-Day Average Price 193.53 52-Week % 107.35 85.67 Price / 200-Day Average 1.15 RSI - Relative Strength Index 63.35 Quarter-to-Date % -0.89 -0.16

Year-to-Date % 32.96 23.59 Risk Metrics Last Month % 5.54 6.74 Price Volatility 5.97 Last Quarter % 10.68 9.59 Sharpe Ratio 0.08 Last Calendar Year % -30.23 -17.24 Sortino Ratio 0.12

5-Year Price Performance vs. FTSE 350

NatWest Group PLC Current: 1.23 CAGR: 4.2% Over the past five years, FTSE 350 Index Current: 1.20 CAGR: 3.7% NatWest Group PLC's stock price is up 22.5% which is 1.7 1.7 2.5% above the FTSE 350 Index performance of 20.1% over the same period. 1.6 1.6 NatWest Group PLC's cumulative annualized growth 1.5 1.5 rate (CAGR) over the five year period has been 4.2% while that of the FTSE 350 Index 1.4 1.4 has been 3.7%.

Over the past year, NatWest 1.3 1.3 Group PLC's stock price NWG:LN performance of 107.4% has 1.2 ^NMX:LN 1.2 outperformed that of the FTSE 350 Index by 85.7%. On a year-to-date basis, NatWest 1.1 1.1 Group PLC's stock price performance of 33.0% has 1.0 1.0 outperformed the FTSE 350 Index by 23.6%.

0.9 0.9 Over the past week, NatWest Group PLC's stock price performance of 2.4% has 0.8 0.8 outperformed that of the FTSE 350 Index by 3.2%. 0.7 0.7

0.6 0.6

0.5 0.5 2017 2018 2019 2020 2021 2022

Financials/Banks Price: 222.90 GBX Report Date: October 1, 2021 Growth and Profitability Metrics

5-Year 10-Year Historical Growth 3-Year 5-Year 10-Year Profitability Current Average Average Revenues % -4.8 -3.9 -10.6 Gross Margin % Revenues Per Share % -5.5 -4.8 -16.6 EBITDA Margin % EBITDA % Pre-Tax Margin % -2.6 7.3 -3.1 EPS Diluted % -54.6 999.9 999.9 Net Margin % -1.5 -0.9 -12.5 Free Cash Flow % -9.2 189.3 -0.8 Return on Equity % 0.3 0.1 -13.9 Cash from Operations % -9.1 99.6 4.2 Return on Capital % -0.4 0.5 -1.8 Book Value % -3.2 -4.3 -6.0 Return on Assets % 0.0 0.0 -0.3

Revenue (M) NatWest Group PLC's cumulative annualized revenue Current: 13840.00 Median: 16063.00 High: 18429.00 Low: 13840.00 CAGR: -3.5% growth rate over the charted 19,346.8 19,346.8 18,429.0 period is -3.5%. This compares to cumulatative 17,434.7 16,656.0 17,434.7 annualized growth of -4.8% 15,945.0 16,063.0 over the past 3 years. 15,522.6 15,522.6 13,840.0 13,610.6 13,610.6 2017 2018 2019 2020 2021 NatWest Group PLC's EPS Diluted cumulative annualized EPS Current: -0.06 Median: 0.06 High: 0.26 Low: -0.69 CAGR: 0.0% growth rate over the charted 0.45 0.45 period is 0.0%. This compares 0.26 0.13 to cumulatative annualized 0.06 0.06 -0.06 0.06 growth of -54.6% over the past 3 years. -0.34 -0.34 -0.60 -0.73 -0.73 2016 2017 2018 2019 2020 2021

Net Profit Margin % NatWest Group PLC's net profit margin of -1.5% is 0.6% Current: -1.49 Median: 4.66 High: 16.94 Low: -43.25 CAGR: -0.4% below the period's mean net 19.9 19.9 margin of -0.9%. During the Mean (-0.86) charted period, the observed -2.1 -2.1 net profit margin high and low were 16.9% and -43.2% -24.2 -24.2 respectively.

-46.3 -46.3 2016 2017 2018 2019 2020 2021 NatWest Group PLC's return Return on Equity % on equity of 0.3% is 0.2% Current: 0.30 Median: 1.50 High: 6.90 Low: -13.30 CAGR: 0.1% above the period's mean 7.9 7.9 return on equity of 0.1%. During the charted period, the 0.5 Mean (0.08) 0.5 observed ROE high and low were 6.9% and -13.3% respectively. -6.9 -6.9

-14.3 -14.3 2016 2017 2018 2019 2020 2021

Financials/Banks Price: 222.90 GBX Report Date: October 1, 2021 Valuation Metrics

5-Year 10-Year 5-Year 10-Year Current Median Median Current Median Median

Price / EPS TTM 99.9 40.6 99.0 Earnings Yield % 0.46 2.51 -9.45

Price / Sales 2.0 1.7 1.6 Free Cash Flow Yield % 100.00 52.53 0.00

Price / Operating Cash Flow 27.7 19.7 99.9 Dividend Yield % 1.35

Price / Book Value 0.6 0.6 0.6 Enterprise Value / EBITDA

Price / EPS TTM NatWest Group PLC is trading at 99.90 times its EPS Current: 99.90 Median: 40.63 High: 99.90 Low: 4.41 CAGR: 0.0% generated during the latest 104.7 104.7 fiscal year. This multiple is above the historically observed 69.7 69.7 median of 40.63, while high and low observations have Median (40.63) been 99.90 and 4.41. 34.6 34.6

-0.4 -0.4 2017 2018 2019 2020 2021 Price / Sales NatWest Group PLC is trading at a Price to Sales ratio of 1.95 Current: 1.95 Median: 1.69 High: 2.24 Low: 0.71 CAGR: 8.3% based on sales generated 2.32 2.32 during the latest fiscal year. This ratio is above the 1.76 Median (1.69) 1.76 historically observed median ratio of 1.69, while high and low observations have been 1.19 1.19 2.24 and 0.71.

0.63 0.63 2016 2017 2018 2019 2020 2021 NatWest Group PLC is trading Price / Book Value at a Price to Book ratio of 0.60 Current: 0.60 Median: 0.58 High: 0.75 Low: 0.27 CAGR: 8.5% based on book value at the 0.8 0.8 latest fiscal year end. This ratio is above the historically observed median of 0.58, 0.6 Median (0.58) 0.6 while high and low observations have been 0.75 0.4 0.4 and 0.27.

0.2 0.2 2016 2017 2018 2019 2020 2021 NatWest Group PLC has a Free Cash Flow Yield % Free Cash Flow Yield of Current: 100.00 Median: 52.53 High: 100.00 Low: 0.00 CAGR: 14.9% 100.00% based on free cash 105.0 105.0 flow generated during the latest fiscal year. This value is above the historically observed 68.3 68.3 Median (52.53) median yield of 52.53%, while high and low observations 31.7 31.7 have been 100.00 and 0.00.

-5.0 -5.0 2017 2018 2019 2020 2021

Financials/Banks Price: 222.90 GBX Report Date: October 1, 2021 Dividends Data

Dividends Per Share TTM 0.03 Payout Ratio TTM % 100.00% Dividend Yield TTM % 1.35%

Rate Ex Date Record Date Payment Date Currency Note 0.030 25-03-2021 26-03-2021 04-05-2021 GBP FINAL GROSS 0.030 26-03-2020 27-03-2020 04-05-2020 GBP BOARD HAS DECIDED TO CANCEL THE FINAL AND SPECIAL DIVIDEND PAYMENTS 0.050 26-03-2020 27-03-2020 04-05-2020 GBP BOARD HAS DECIDED TO CANCEL THE FINAL AND SPECIAL DIVIDEND PAYMENTS 0.020 15-08-2019 16-08-2019 20-09-2019 GBP INTERIM GROSS 0.120 15-08-2019 16-08-2019 20-09-2019 GBP SPECIAL GROSS 0.035 21-03-2019 22-03-2019 30-04-2019 GBP FINAL GROSS 0.075 21-03-2019 22-03-2019 30-04-2019 GBP SPECIAL GROSS 0.020 23-08-2018 24-08-2018 12-10-2018 GBP INTERIM GROSS

Dividend Growth and Yield

Dividends Per Share TTM NatWest Group PLC's trailing 12-month dividend per share Current: 0.03 Median: 0.11 High: 0.25 Low: 0.02 CAGR: 15.9% is 0.03 and its dividend has 0.26 0.26 grown at a cumulative annualized rate of 15.9% over 0.22 0.22 the charted period. This compares to dividend growth 0.18 0.18 of -62.50% over the past year and cumulative annualized growth of % over the past 3 0.13 0.13 years.

0.09 0.09

0.05 0.05

0.01 0.01 2016 2017 2018 2019 2020 2021

Dividend Yield TTM % NatWest Group PLC's current dividend yield is 1.35% based Current: 1.35 Median: 5.96 High: 22.71 Low: 0.74 CAGR: 15.9% on trailing 12 month 23.81 23.81 dividends. The current yield is below the historically observed 19.78 19.78 median of 5.96% and, over the charted time period, the 15.75 15.75 observed high yield has been 22.71% and the observed low yield has been 0.74%. 11.73 11.73

7.70 7.70

3.67 3.67

-0.36 -0.36 2017 2018 2019 2020 2021

Financials/Banks Price: 222.90 GBX Report Date: October 1, 2021 ICB Subsector Peer Comparisons

Price Change Year to Date % Price Change Last Calendar Year % 0.0 12.4 24.8 37.2 49.5 -42.2 -30.1 -18.0 -5.9 6.2

JSC Halyk Bank 47.3 Unicredito SpA 4.0

-3.5 JSC VTB Bank 41.9 Santander UK Plc JSC Halyk Bank -12.7 NatWest Group PLC 33.0 BNP Paribas (France) -17.2 Peer Group Average 26.1 Peer Group Average -18.8 BNP Paribas (France) 25.3 Axis Bank Ltd -20.3 Axis Bank Ltd 22.5 NatWest Group PLC -30.2

10.1 Santander UK Plc JSC VTB Bank -34.8

HSBC Holdings Plc 2.6 HSBC Holdings Plc -36.0

0.0 12.4 24.8 37.2 49.5 -42.2 -30.1 -18.0 -5.9 6.2

Price / EPS TTM Price / Book Value 0.0 26.1 52.2 78.3 104.4 0.0 13.1 26.2 39.3 52.4

NatWest Group PLC 99.9 JSC Halyk Bank 49.9 JSC VTB Bank 49.9 Turkiye Is Bankasi AS 99.9 Banca Carige SpA 47.5 JSC Halyk Bank 99.9 Turkiye Is Bankasi AS 41.6 99.9 Banca Carige SpA Peer Group Average 19.9 Peer Group Average 63.9 Unicredito SpA 3.6

3.5 Unicredito SpA 60.4 Santander UK Plc Svenska Handelsbanken 1.2 HSBC Holdings Plc 27.9 BNP Paribas (France) 0.6 Svenska Handelsbanken 13.0 NatWest Group PLC 0.6 BNP Paribas (France) 10.3 HSBC Holdings Plc 0.6

0.0 26.1 52.2 78.3 104.4 0.0 13.1 26.2 39.3 52.4

EPS 5-Year Growth Rate % Revenue 5-Year Growth Rate % -270.5 62.2 395.0 727.7 1,060.4 -21.0 -11.0 -1.0 9.0 19.0

17.2 NatWest Group PLC 999.9 JSC Halyk Bank Axis Bank Ltd 9.7 131.7 Peer Group Average Svenska Handelsbanken 0.9 0.2 Banca Carige SpA 27.1 JSC VTB Bank HSBC Holdings Plc -0.6 14.9 JSC Halyk Bank Peer Group Average -1.5 -3.6 BNP Paribas (France) 0.8 Turkiye Is Bankasi AS NatWest Group PLC -3.9 -0.8 Svenska Handelsbanken Santander UK Plc -5.6 -6.5 HSBC Holdings Plc -20.3 BNP Paribas (France) Unicredito SpA -8.5 -100.0 Unicredito SpA Banca Carige SpA -15.9 -270.5 62.2 395.0 727.7 1,060.4 -21.0 -11.0 -1.0 9.0 19.0

Financials/Banks Price: 222.90 GBX Report Date: October 1, 2021 Abbreviations: CAGR - Cumulative annual growth rate. EBIT - Earnings before interest and taxes. EBITDA - Earnings before interest, taxes, depreciation & amortization. LFY - Last fiscal year M - Million LON - London Stock Exchange

Definitions: Market Value - Weekly Price times latest Shares Outstanding times any applicable ADR factor. Revenue - Sum of the last four quarters of Revenues. Revenue Per Share - Sum of the last four quarters of Total Revenue divided by Weighted Average Shares Outstanding. Operating EPS LFY - EPS excluding non-recurring, non-operating items, fiscal year aligned TTM value. 60-Day Average Volume (000) - The average of the last 60 daily volume values in thousands of shares. Price 52-Week High - The high closing price from the last 52 weeks of daily closing prices. Price 52-Week Low - The low closing price from the last 52 weeks of daily closing prices. Price / 52-Week High - Latest price divided by the high price from the past 52 weeks of daily closing prices. Price / 52-Week Low - Latest price divided by the low price from the past 52 weeks of daily closing prices. 50-Day Average Price - Mean of last 50 daily closing prices. 200-Day Average Price - Mean of last 200 daily closing prices. Price / 50-Day Average Price - Latest closing price divided by mean of last 50 daily closing prices, as a percentage. Price / 200-Day Average Price - Latest closing price divided by mean of last 200 daily closing prices, as a percentage. Relative Strength Index - Relative Strength Index or RSI measures the magnitude of gains over a given time period against the magnitude of losses over that period. The equation is RSI = 100 - 100 / (1 + RS) where RS = (total gains / n) / (total losses / n) and n = number of RSI periods. In this item, 14 days is used and one year of daily prices are considered. A value of 30 or below may imply oversold and 70 or above may imply overbought. Price Volatility - The standard deviation of the last 20 days of daily closing prices. Sharpe Ratio - The 5 year average of the excess monthly return over the risk - free rate(1 - month T - bill) over the 5 year standard deviation of the same series. Sortino Ratio - The same calculation as the Sharpe Ratio but with positive excess returns set to zero for the standard deviation denominator, so only negative volatility weighs in. Dividends Per Share TTM - Sum of the last four quarters of Dividends Per Share. Payout Ratio - Dividends Per Share TTM divided by Operating EPS TTM. Dividend Yield TTM % - Sum of the last four quarter of Dividends Per Share divided by Weekly Price. EBITDA - Sum of the last four quarters of EBITDA (Operating Income + Depreciation & Amortization). Free Cash Flow - Sum of the last four quarters Net Cash from Operations minus Capital Expenditures (Purchase of Property, Plant & Equipment), from the Cash Flow Statement. Book Value Per Share - Total Common Equity last quarter divided by Shares Outstanding last quarter. Gross Margin % - Sum of the last four quarters Gross Profit divided by the sum of the last four quarters Revenues. EBITDA Margin % - Sum of the last four quarters EBITDA divided by the sum of the last four quarters Revenues. Pre-Tax Margin % - Sum of the last four quarters of Earnings Before Taxes divided by sum of the last four quarters Revenues. Net Profit Margin % - Sum of the last four quarters of Operating EPS divided by sum of the last four quarters Revenues Per Share. Return on Equity % - Sum of the last four quarters of Operating EPS divided by the average of the last four quarters Book Value. Return on Capital % - Sum of the last four quarters of Operating EPS divided by the average of the last four quarters Total Capital Per Share. Return on Assets % - Sum of the last four quarters of Operating EPS divided by the average of the last four quarters Total Assets Per Share. Price / EPS TTM - Weekly Price divided by the sum of the last four quarters of Operating EPS (capped at 99.9). Price / Sales - Weekly Price divided by Revenues Per Share TTM. Price / Book Value - Weekly Price divided by Book Value Per Share last quarter. Book Value Per Share is Total Common Equity last quarter divided by Shares Outstanding last quarter (capped at 49.9). Free Cash Flow Yield % - Free Cash Flow Per Share TTM divided by Weekly Price. Enterprise Value - Market Value plus Total Debt last year plus Preferred Equity last year minus Cash & Cash Equivalents last year. Enterprise Value / Sales - Enterprise Value divided by the sum of the last four quarters of Revenue. Enterprise Value / EBITDA - Enterprise Value divided by EBITDA TTM. Enterprise Value / EBIT - Enterprise Value divided by trailing four quarters of Operating Income. Enterprise Value / Free Cash Flow- Enterprise Value divided by the sum of the last four quarters of Free Cash Flow. Russell 1000 Index - The largest 1,000 stocks by market cap, the index comprehensively covers the US large cap universe. EPS 5-Year Growth Rate % is capped at 999.9%. Revenue 5-Year Growth Rate % is capped at 999.9%.

Financials/Banks Price: 222.90 GBX Report Date: October 1, 2021

Disclaimer:

© 2021 London Stock Exchange Group plc and its applicable group undertakings (the “LSE Group”). The LSE Group includes (1) FTSE International Limited (“FTSE”), (2) Frank Russell Company (“Russell”), (3) FTSE Global Debt Capital Markets Inc. and FTSE Global Debt Capital Markets Limited (together, “FTSE Canada”), (4) MTSNext Limited (“MTSNext”), (5) Mergent, Inc. (“Mergent”), (6) FTSE Fixed Income LLC (“FTSE FI”) and (7) The Yield Book Inc (“YB”). All rights reserved.

FTSE Russell® is a trading name of FTSE, Russell, FTSE Canada, MTSNext, Mergent, FTSE FI, YB. “FTSE®”, “Russell®”, “FTSE Russell®”, “MTS®”, “FTSE4Good®”, “ICB®”, “Mergent®”, “The Yield Book®” and all other trademarks and service marks used herein (whether registered or unregistered) are trademarks and/or service marks owned or licensed by the applicable member of the LSE Group or their respective licensors and are owned, or used under licence, by FTSE, Russell, MTSNext, FTSE Canada, Mergent, FTSE FI, YB. FTSE International Limited is authorised and regulated by the Financial Conduct Authority as a benchmark administrator.

All information is provided for information purposes only. All information and data contained in this publication is obtained by the LSE Group, from sources believed by it to be accurate and reliable. Because of the possibility of human and mechanical error as well as other factors, however, such information and data is provided "as is" without warranty of any kind. No member of the LSE Group nor their respective directors, officers, employees, partners or licensors make any claim, prediction, warranty or representation whatsoever, expressly or impliedly, either as to the accuracy, timeliness, completeness, merchantability of any information or of results to be obtained from the use of FTSE Russell indexes or data or the fitness or suitability of the FTSE Russell indexes or data for any particular purpose to which they might be put. Any representation of historical data accessible through FTSE Russell indexes or data is provided for information purposes only and is not a reliable indicator of future performance.

No responsibility or liability can be accepted by any member of the LSE Group nor their respective directors, officers, employees, partners or licensors for (a) any loss or damage in whole or in part caused by, resulting from, or relating to any error (negligent or otherwise) or other circumstance involved in procuring, collecting, compiling, interpreting, analysing, editing, transcribing, transmitting, communicating or delivering any such information or data or from use of this document or links to this document or (b) any direct, indirect, special, consequential or incidental damages whatsoever, even if any member of the LSE Group is advised in advance of the possibility of such damages, resulting from the use of, or inability to use, such information.

No member of the LSE Group nor their respective directors, officers, employees, partners or licensors provide investment advice and nothing contained in this document or accessible through FTSE Russell indexes or data, including statistical data and industry reports, should be taken as constituting financial or investment advice or a financial promotion.

No part of this information may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without prior written permission of the applicable member of the LSE Group. Use and distribution of the LSE Group data requires a licence from FTSE, Russell, FTSE Canada, MTSNext, Mergent, FTSE FI, YB, and/or their respective licensors.