Analysts have been under intense pressure in recent months as they try to make sense of the impact of Covid-19 on companies like Natwest (LON:NWG).
As one of just 200 shares in the UK market valued at more than £1.0 billion (its market cap is £13,430m), Natwest is well covered by analysts who will know better than most how the economic conditions will affect it.
So how have the shares performed over the past year?
On a 12 month basis, the Natwest share price has seen an absolute move of -41.7%. On a relative basis - which take into account the movement of the wider market - the shares have moved by -30.0% over the past year and by -36.3% over the past six months.
But what now?
Do analysts rate it as a buy, sell or hold?
Regardless of recent performance, the main question is what the future holds. In uncertain economic conditions, it's often difficult to get an accurate view. The good news is that analysts generally have a solid understanding of the market's biggest businesses, so they are well-placed to make predictions. That shows up in their Buy, Hold and Sell recommendations.
Among the analysts covering Natwest, there are currently:
1 Buy recommendations
7 Hold recommendations
0 Sell recommendations
With this kind of information, it's possible to start forming a view about the outlook for any share. A combination of recent price performance and analyst recommendations gives you a flavour of whether the market is expecting a bright future - or whether there are causes for concern.
It's also worth looking at the profile of the stock to understand whether it has strong positive exposure to important factors like Quality, Value and Momentum. On that basis, Stockopedia currently classifies Natwest as a value trap. You can read more about what that means here.
There are all sorts of factors that could affect Natwest's share price this year – we simplify them into easy to understand scores with our Stockopedia StockReport. Click here to take a look at the StockReport for Natwest – you might discover some surprising things you didn’t know.