London, June 15, 2026, 11:28 BST
- NatWest traded 1.3% higher at 622.2p late morning in London. Shares pushed up after a strong rally Friday.
- NatWest is back in the market buying its own shares, according to its latest filing. The buyback is still helping earnings per share.
- The Bank of England sets rates June 18, with investors calling it the next big test for equities.
NatWest Group Plc Ticker: NWG:LSE added 8p to 622.2p, a gain of 1.3% by 11:28 BST Monday. Turnover stood at around 3.01 million shares. This followed a strong Friday, when NatWest’s total return was 4.53% and it outperformed the FTSE 100’s 1.63% move. The stock is still trading below the 705.4p year high, but stays in the upper part of its range. Traders are watching for any further upside in UK bank names.
European stocks jumped Monday as oil prices retreated and talk of a US-Iran peace deal took some heat out of markets. The Stoxx 600 set a fresh high. The FTSE 100 climbed to its best level in two months. Bank names like NatWest led after recent strength, with lenders picking up on signs of steadier loan appetite and resilient returns. That move in the banks could stall if markets change their view on rates or on credit risks.
NatWest shares edged up after the bank said it bought about 3.55 million ordinary shares between June 8 and June 11, a June 12 filing showed. The trades were executed by UBS as part of NatWest’s ongoing buyback programme. The bank is cancelling the shares, which is typical in such buybacks. Cutting share count like this generally pushes earnings per share higher if profits hold steady. The filings remain noteworthy.
NatWest shares still follow the bank’s base numbers. For the first quarter, NatWest reported total income excluding notable items of £4.2 billion, with operating profit at £2.0 billion. Return on Tangible Equity was 18.2%. Investors look at that figure when weighing NatWest’s capital use. CEO Paul Thwaite called first-quarter 2026 numbers a “strong performance” and said the bank kept on track for customers and shareholders. For 2026, NatWest kept its guidance for income excluding notable items at the top end of £17.2 billion to £17.6 billion. NatWest Group Investors
Bank of England sets policy again June 18, with Bank Rate holding at 3.75%. UK inflation sits at 2.8%, still over the 2% target. NatWest is seeing stable rates support deposit income and credit quality, but margins remain tight. Higher rates mean wider loan spreads, but raise stress on borrowers. Quicker rate cuts ease the load for households and mortgages, yet narrow what banks earn on loans versus deposits. NatWest is also due to post first-half numbers July 31.
NatWest trades at a price-to-earnings ratio of about 8.8, with a dividend yield near 5.3%. The group continues to return capital. Analysts’ 12-month median target price sits at 730p. Shares are already up 21% over the last year. Roughly 90% of income comes from the UK. The stock could face pressure from softer credit quality, lower rates, or weaker mortgage demand. Valuation leaves NatWest in a reasonable to slightly attractive range for value and income, but shares remain sensitive to rates and are not low risk.
