Bull Rankings model

The Bank of N.T. Butterfield & Son Limited (NTB) stock analysis

Banks - Diversified. Scored on the same transparent model behind the daily rankings.

★
NTB
The Bank of N.T. Butterfield & Son Limited · Banks - Diversified
74.1Financial strength
$58.38Oct 13 close$2.3B
1Y Target$66.00Analyst consensus · 3 analysts
5Y Target$83.32Compound horizon
10Y Target$106.86Long-dated conviction
Rev+4.3%
C+
Revenue +4.3% — steady but below market-beating range
P/E10.3x
A-
P/E 10.3 — cheaper than most Financial Services peers (≈25th pctile)
ROE21.1%
A-
ROE 21.1% — a high bar (above 20%)
P/B2.00
B
P/B 2.00 — fair; a premium the market pays for returns
Yield3.5%
B
Yield 3.5% — modest income

Targets: 1-year is analyst consensus where covered, 5- and 10-year are model estimates; the DCF is a cross-check, not a target. Methodology

Financial strength · 74.1 / 100
Profitability91.1
Value (P/B)48.2
Income74.7

A peer-relative read for financials on profitability (ROE), valuation, and covered income — the quality-growth (FCF/ROIC) screen doesn't apply to balance-sheet businesses. Not comparable to the 0–100 quality-growth score shown on other stocks.

Entry · Margin of safety
52-week rangeNear 52-week high
9% off the 12-month high

Model-generatedFrom reported fundamentals, checked against the figures above · Editorial standards

Why now
Banks - Diversified · market cap $2.3b. 9% off the 52-week high of $64.17. PEG 0.57 — paying under fair value for the growth rate. 3 sell-side analysts rate this a Buy with a mean 1-yr target of $66.00 (implying +13% upside).
Moat
Net margin 37% is exceptional — pricing-power territory rare outside premium software, branded staples, and specialty pharma. ROE 21% is above 15% — the equity base is compounding at a rate the market struggles to discount accurately. Financial moat — scale of deposit base / underwriting franchise plus regulatory capital advantages. The largest players compound book value through cycles that erase smaller competitors.
Risk
Regulatory capital risk — stricter capital requirements (CCAR, Basel) can force a dividend cut or a capital raise; the largest banks are most exposed because they're held to the tightest standards.
Horizon
1-3 yr $66.00 (3-analyst consensus) — multiple re-rating thesis requires a catalyst. 5 yr $83.32 at ~7% CAGR — dividend + buyback compounding. 10 yr $106.86 if the moat survives secular pressure.
Score history · NTB

Not enough history yet — the model records NTB's score after each daily run, and the chart appears once a few days have accumulated.

NTB at a glance

FINANCIAL STRENGTH · BANKPROFITABILITY91VALUE48COVERED INCOME7574.1/100 on our peer scale — not the quality-growth score.
ONE-YEAR MOVE VS ITS BETAFLATThis stock+38%Trailing one-year price change. Price history is not an inputto the Bull Rankings score.
PRICE IN ITS 52-WEEK RANGE$58.4LOW $40.6HIGH $64.2Trading at the 75th percentile of its 52-week range ($40.6–$64.2).

Same audited fundamentals as the score, unless a card says otherwise.

Analyst estimate revisions

30-day change+3.0%
90-day change+5.2%
Forward EPS estimate$7.43

Over the last 90 days, what analysts expect NTB to earn is materially higher (+5.2%). The estimate is derived from price and forward P/E captured at the same instant, so a moving share price does not move this number — only a changed forecast does.

Estimates move both ways and are not part of the Bull Rankings score. Biggest movers →

Position sizing · NTB
Shares to buy
34
Position size
$1,985
4.0% of portfolio
Stop price
$43.79
25% below $58.38
$ at risk if stopped
$496.23
budget $500.00 · 1% of portfolio

Math only: excludes commissions, slippage and gap risk. Inputs stay in your browser.

The Bank of N.T. Butterfield & Son Limited (NTB): score, valuation & FAQ

The Bank of N.T. Butterfield & Son Limited (NTB) is a Banks - Diversified company. As a bank, insurer or REIT it runs on a different financial model from the rest of the market, so Bull Rankings grades it on a sector-appropriate card — price-to-book, dividend yield, payout ratio and cash-flow coverage — rather than the 0–100 quality-growth score used elsewhere. The read below is a transparent screen, not a buy recommendation.

Its strongest graded signals are P/E (A-) and ROE (A-).

Is NTB a good stock to buy?

Bull Rankings grades NTB on a sector-appropriate card — price-to-book, dividend yield, payout and cash-flow coverage — rather than a single quality-growth score. That is driven by P/E (A-) and ROE (A-). A score is a quantitative screen of The Bank of N.T. Butterfield & Son Limited's fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.

How does Bull Rankings grade NTB?

As a bank, insurer or REIT, NTB isn't given a quality-growth score — signals like free cash flow, debt-to-equity and P/E don't translate cleanly to a balance-sheet business. Instead it's graded on a sector-appropriate card: price-to-book, dividend yield, payout ratio and operating-cash-flow coverage, where it rates strongest on P/E (A-) and ROE (A-).

Is NTB overvalued or undervalued?

We don't publish a discounted-cash-flow value for NTB, and not because the business is unprofitable. For a lender, insurer or property trust, "free cash flow" measures balance-sheet growth rather than owner earnings — loan originations and repayments run through operating cash flow — so discounting it would produce a confident-looking number with nothing behind it. NTB is judged on book value, return on equity and income cover instead, which is what the financial-strength card shows.

What are the main risks of investing in NTB?

Regulatory capital risk — stricter capital requirements (CCAR, Basel) can force a dividend cut or a capital raise; the largest banks are most exposed because they're held to the tightest standards.

New to these metrics? See the guides and the methodology.

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