National Australia Bank Limited (NAB.AX) stock analysis

In our weekly check, National Australia Bank Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 15 pass, warnings: 1, red flags: 9.

About National Australia Bank Limited

National Australia Bank Limited is a Financial Services company (Banks - Diversified) based in Australia, listed on ASX as NAB.AX.

What our checks show for NAB.AX

Red flags

• The net margin fell by 19.2 points over 5 years, to 11.2%: the company keeps less of each sale as profit.
• The gross margin fell by 47.5 points, to 33.2%: costs are rising faster than prices.
• Analysts expect revenue to shrink about 27.2% a year.
• The dividend takes 102% of profit: little cushion if profit falls.
• The stock has fallen as much as 67% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 5.3 years.
• Return on capital (ROCE) is only 2.2%.

Warning signs

• Net profit fell 0.6% a year over the last 3 years.

Strengths

• Operating cash flow is 1.26x net profit: the profit arrives as real cash.
• Analysts expect the net margin to improve by 22.3 points from today's 11.2%.
• Revenue grew 32.6% a year over the last 3 years.
• Free cash flow is 11.8% of revenue: cash for dividends, buybacks or growth.
• A large company: market value $90.41 billion.
• Actively traded: about 4.8 million shares a day.

Next earnings report: 2026-11-05

Similar companies

WBC.AX · BBVA · ANZ.AX · BMO · QNBK.QA · UBS

Questions

What grade does National Australia Bank Limited (NAB.AX) have?

In our weekly check, National Australia Bank Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 15 pass, warnings: 1, red flags: 9. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of NAB.AX stock?

This week's biggest flags for National Australia Bank Limited: Margins falling, Gross margin falling, Weak revenue forecast. In total 10 of 25 checks show a warning or a red flag.

What does National Australia Bank Limited do?

National Australia Bank Limited is a Financial Services company (Banks - Diversified) based in Australia, listed on ASX as NAB.AX.

When does National Australia Bank Limited report earnings next?

The next earnings report is expected on 2026-11-05. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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