Nationwide Building SocietyLSE:NBS 61 ROE % is 6.90% as of Mar. 2026, which is 4% above its 10-year median of 6.62. GuruFocus rates LSE:NBS with a GF Score™ of 61/100 and a GF Value™ of £177.75 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,527 Banks companies, Nationwide Building Society ranks worse than 80.94% on this metric.
The historical rank and industry rank for Nationwide Building Society's ROE % or its related term are showing as below:
LSE:NBS'
s ROE % Range Over the Past 10 Years
Min: 2.79 Med: 6.62 Max: 12.32
Current: 5.18
During the past 13 years, Nationwide Building Society's highest ROE % was 12.32%. The lowest was 2.79%. And the median was 6.62%.
LSE:NBS's ROE % is ranked worse than 80.94% of 1527
companies
in the Banks industry
Industry Median: 10.23
vs LSE:NBS: 5.18
Nationwide Building Society (LSE:NBS) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is two times the semi-annual (Mar. 2026) net income data. The Revenue data used here is two times the semi-annual (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Nationwide Building Society ROE % Competitor Comparison
For the Banks - Regional subindustry, Nationwide Building Society's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Nationwide Building Society ROE % vs Banks Industry
For the Banks industry and Financial Services sector, Nationwide Building Society's ROE % distribution charts can be found below:
* The bar in red indicates where Nationwide Building Society's ROE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is two times the semi-annual (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Nationwide Building Society (LSE:NBS) has a ROE % of 6.90% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Nationwide Building Society and its competitors. This is near median its historical median of 6.62. Over the past decade, Nationwide Building Society's ROE % has ranged from 2.79 to 12.32. According to the industry distribution chart, Nationwide Building Society ranks #1236 out of 1527 companies in the Banks industry, placing it in the top 80.9%.
Is Nationwide Building Society's ROE % too high?
Nationwide Building Society's current ROE % of 6.90% is near median its 10-year median of 6.62. Over the past 10 years, this metric has ranged from a low of 2.79 to a high of 12.32. The Banks industry median ROE % is 10.23. Nationwide Building Society's value of 6.90% is 32.6% below this industry median. Based on the distribution chart, Nationwide Building Society ranks #1236 out of 1527 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, Nationwide Building Society has a GF Score™ of 61/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nationwide Building Society's ROE % compare to competitors?
According to the Banks industry distribution chart, Nationwide Building Society ranks #1236 out of 1527 companies for ROE %. This places Nationwide Building Society in the lower half of its industry. The industry median ROE % is 10.23. Nationwide Building Society's value of 6.90% is 32.6% below this benchmark. Historically, Nationwide Building Society's own ROE % has ranged from 2.79 to 12.32 over the past decade. While the company's 10-year median is 6.62 vs. the industry median of 10.23, Nationwide Building Society has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Banks company?
The median ROE % among Banks companies is 10.23, based on 1,527 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Nationwide Building Society's current ROE % of 6.90% is 32.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Nationwide Building Society and its competitors. For the Banks industry, the median ROE % is 10.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nationwide Building Society's current ROE % is 6.90%, which is near median its own 10-year median of 6.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nationwide Building Society stock overvalued right now?
Based on GuruFocus' analysis, Nationwide Building Society (LSE:NBS) is currently considered Modestly Undervalued. The stock's GF Value™ is £177.75, compared to a current price of £129.00 — trading 27.4% below its estimated fair value. The current ROE % is 6.90%, which is near median its 10-year median of 6.62 and 32.6% below the Banks industry median of 10.23. Nationwide Building Society's overall GF Score™ is 61/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Nationwide Building Society (LSE:NBS), the current ROE % is 6.90% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Nationwide Building Society (LSE:NBS) Overvalued in 2026?
Based on GuruFocus' analysis, Nationwide Building Society stock appears to be undervalued.
The current stock price of £129.00 is trading 27.4% below its estimated GF Value™ of £177.75.
GuruFocus considers Nationwide Building Society to be Modestly Undervalued.
Key valuation signals for LSE:NBS:
ROE %: 6.90% (near median its 10-year median of 6.62)
GF Value™: £177.75 vs. price of £129.00 (27.4% below fair value)
Industry Position: 32.6% below the Banks median (#1236 of 1527)
No single metric tells the full story. See the LSE:NBS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nationwide Building Society is engaged in providing financial services. Its products include current accounts, savings accounts, loans, credit cards, mortgages, investments, and insurance products.
61GF Score
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