National Australia Bank Limited

ASX:NAB Stock Report

Market Cap: AU$126.2b

National Australia Bank Valuation

Is NAB undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of NAB when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: NAB (A$41.44) is trading below our estimate of future cash flow value (A$42.15)

Significantly Below Future Cash Flow Value: NAB is trading below future cash flow value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NAB?

Key metric: As NAB is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for NAB. This is calculated by dividing NAB's market cap by their current earnings.
What is NAB's PE Ratio?
PE Ratio17.9x
EarningsAU$7.07b
Market CapAU$126.23b

Price to Earnings Ratio vs Peers

How does NAB's PE Ratio compare to its peers?

The above table shows the PE ratio for NAB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.6x
WBC Westpac Banking
19.5x4.19%AU$133.5b
ANZ ANZ Group Holdings
18.4x8.03%AU$108.3b
CBA Commonwealth Bank of Australia
27x2.49%AU$280.4b
BFL BSP Financial Group
9.4xn/aAU$3.7b
NAB National Australia Bank
17.9x4.50%AU$126.8b

Price-To-Earnings vs Peers: NAB is good value based on its Price-To-Earnings Ratio (17.9x) compared to the peer average (18.6x).

Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Earnings Ratio vs Industry

How does NAB's PE Ratio compare vs other companies in the Global Banks Industry?

12 CompaniesPrice / EarningsEstimated GrowthMarket Cap
NAB 17.9xIndustry Avg. 10.7xNo. of Companies210PE0612182430+
12 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: NAB is expensive based on its Price-To-Earnings Ratio (17.9x) compared to the Global Banks industry average (10.7x).

Price to Earnings Ratio vs Fair Ratio

What is NAB's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NAB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17.9x
Fair PE Ratio20.9x

Price-To-Earnings vs Fair Ratio: NAB is good value based on its Price-To-Earnings Ratio (17.9x) compared to the estimated Fair Price-To-Earnings Ratio (20.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst NAB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentAU$41.44
AU$41.72
+0.67%
14.07%AU$50.64AU$30.00n/a14
Mar ’27AU$49.02
AU$42.07
-14.18%
14.52%AU$50.64AU$30.00n/a14
Feb ’27AU$43.37
AU$39.19
-9.63%
13.27%AU$47.00AU$29.00n/a14
Jan ’27AU$42.31
AU$38.07
-10.02%
11.56%AU$46.31AU$29.00n/a14
Dec ’26AU$39.85
AU$37.99
-4.67%
11.87%AU$46.31AU$29.00n/a14
Nov ’26AU$43.62
AU$36.76
-15.72%
12.33%AU$46.16AU$29.00n/a14
Oct ’26AU$44.01
AU$36.58
-16.88%
12.56%AU$45.52AU$29.00n/a13
Sep ’26AU$42.54
AU$35.51
-16.53%
12.10%AU$42.50AU$29.00n/a13
Aug ’26AU$38.44
AU$33.79
-12.10%
9.64%AU$39.14AU$28.01n/a13
Jul ’26AU$39.70
AU$33.53
-15.55%
9.91%AU$39.14AU$28.01n/a13
Jun ’26AU$38.00
AU$33.53
-11.77%
9.91%AU$39.14AU$28.01n/a13
May ’26AU$36.00
AU$33.28
-7.57%
8.49%AU$37.50AU$29.07n/a13
Apr ’26AU$34.38
AU$32.54
-5.36%
10.37%AU$37.50AU$26.50n/a13
Mar ’26AU$35.30
AU$33.49
-5.12%
11.10%AU$38.00AU$26.50AU$49.0213
Feb ’26AU$40.14
AU$34.11
-15.01%
12.12%AU$38.90AU$26.50AU$43.3713
Jan ’26AU$37.10
AU$33.53
-9.62%
11.45%AU$38.40AU$26.50AU$42.3113
Dec ’25AU$39.10
AU$33.52
-14.28%
10.74%AU$38.40AU$26.50AU$39.8514
Nov ’25AU$38.21
AU$32.86
-14.00%
10.71%AU$38.00AU$26.50AU$43.6214
Oct ’25AU$37.13
AU$32.98
-11.17%
10.23%AU$38.00AU$26.50AU$44.0115
Sep ’25AU$38.17
AU$32.46
-14.95%
9.16%AU$36.00AU$26.50AU$42.5415
Aug ’25AU$38.05
AU$31.98
-15.96%
8.88%AU$35.69AU$26.50AU$38.4415
Jul ’25AU$36.07
AU$31.86
-11.66%
8.73%AU$35.69AU$26.50AU$39.7015
Jun ’25AU$33.91
AU$31.80
-6.23%
8.85%AU$35.69AU$26.50AU$38.0015
May ’25AU$33.79
AU$31.00
-8.26%
8.90%AU$34.30AU$25.75AU$36.0014
Apr ’25AU$34.64
AU$30.97
-10.59%
9.07%AU$34.10AU$25.75AU$34.3814
Mar ’25AU$34.04
AU$30.51
-10.38%
9.38%AU$34.10AU$25.75AU$35.3014
AU$41.72
Fair Value
0.7% undervalued intrinsic discount
14
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/03/31 13:53
End of Day Share Price 2026/03/31 00:00
Earnings2025/12/31
Annual Earnings2025/09/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

National Australia Bank Limited is covered by 23 analysts. 13 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Nicholas McGarrigleBarrenjoey Markets Pty Limited
Craig StaffordBarrenjoey Markets Pty Limited
Jonathan MottBarrenjoey Markets Pty Limited