Latest Ratios: P/E Ratio 10.6x · EV/EBITDA 2.8x · ROE 21.4%. (2012–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $2.3B | $2.1B | $1.6B | $1.6B | $1.5B | $1.9B | $1.6B | $2.0B | $1.7B | $2.0B | $1.6B |
| Enterprise Value | $735M | $546M | $-159790625 | $29M | $-442171400 | $-107387750 | $-1534514000 | $-419543820 | $-163394250 | $594M | $-425230160 |
| P/E Ratio → | 10.62 | 9.11 | 7.76 | 6.99 | 6.95 | 11.69 | 10.74 | 11.22 | 8.96 | 13.15 | 26.64 |
| P/S Ratio | 3.79 | 3.48 | 2.83 | 2.70 | 2.69 | 3.83 | 3.39 | 3.73 | 3.42 | 4.48 | 3.83 |
| P/B Ratio | 2.16 | 1.85 | 1.61 | 1.57 | 1.72 | 1.95 | 1.61 | 2.06 | 1.98 | 2.45 | 2.19 |
| P/FCF | 9.03 | 8.29 | 6.75 | 6.41 | 7.73 | 8.07 | 9.45 | 8.76 | 6.32 | 11.27 | 9.26 |
| P/OCF | 8.23 | 7.56 | 6.21 | 5.25 | 6.78 | 7.56 | 8.42 | 7.96 | 5.90 | 10.41 | 8.75 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.90 | -0.27 | 0.05 | -0.80 | -0.22 | -3.28 | -0.79 | -0.32 | 1.32 | -1.04 |
| EV / EBITDA | 2.75 | 2.05 | -0.61 | 0.11 | -1.71 | -0.46 | — | — | -0.61 | 11.76 | -8.12 |
| EV / EBIT | 3.09 | 2.30 | -0.72 | 0.13 | -2.03 | -0.65 | — | — | -0.84 | — | — |
| EV / FCF | — | 2.14 | -0.66 | 0.12 | -2.30 | -0.46 | -9.16 | -1.85 | -0.59 | 3.33 | -2.53 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 75.9% | 75.9% | 71.1% | 76.0% | 90.6% | 95.8% | 100.0% | 100.0% | 100.0% | 100.0% | 99.9% |
| Operating Margin | 29.8% | 29.8% | 27.0% | 29.7% | 35.9% | 31.8% | — | — | 43.3% | 0.0% | 0.0% |
| Net Profit Margin | 29.0% | 29.0% | 26.5% | 29.6% | 35.3% | 31.2% | 29.3% | 33.3% | 38.2% | 34.2% | 28.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 21.4% | 21.4% | 21.4% | 24.1% | 23.2% | 16.6% | 15.1% | 19.2% | 22.9% | 20.0% | 15.9% |
| ROA | 1.6% | 1.6% | 1.6% | 1.6% | 1.4% | 1.1% | 1.0% | 1.4% | 1.8% | 1.4% | 1.1% |
| ROIC | 14.9% | 14.9% | 14.3% | 15.9% | 14.9% | 10.8% | — | — | 16.9% | 0.0% | 0.0% |
| ROCE | 3.1% | 3.1% | 15.9% | 18.0% | 18.1% | 2.1% | — | — | 3.7% | 0.0% | 0.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.03 | 0.03 | 0.19 | 0.10 | 0.20 | 0.18 | 0.17 | 0.15 | 0.16 | 0.14 | 0.16 |
| Debt / EBITDA | 0.15 | 0.15 | 0.73 | 0.38 | 0.67 | 0.73 | — | — | 0.53 | 2.31 | 2.23 |
| Net Debt / Equity | — | -1.37 | -1.77 | -1.54 | -2.23 | -2.06 | -3.18 | -2.50 | -2.17 | -1.72 | -2.79 |
| Net Debt / EBITDA | -5.87 | -5.87 | -6.87 | -5.90 | -7.48 | -8.54 | — | — | -7.14 | -28.05 | -37.90 |
| Debt / FCF | — | -6.15 | -7.41 | -6.29 | -10.02 | -8.52 | -18.61 | -10.61 | -6.91 | -7.94 | -11.79 |
| Interest Coverage | 1.23 | 1.23 | 0.94 | 1.27 | 3.97 | 6.61 | -1.81 | -0.81 | 7.94 | -3.17 | -3.18 |
Net cash position: cash ($1.6B) exceeds total debt ($39M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 516.92 | 516.92 | 0.36 | 0.37 | 0.39 | 0.50 | 12.76 | 453.37 | 1225.95 | 0.59 | 0.59 |
| Quick Ratio | 516.92 | 516.92 | 0.36 | 0.37 | 0.39 | 0.50 | 12.76 | 453.37 | 1225.95 | 0.59 | 0.59 |
| Cash Ratio | 305.92 | 305.92 | 0.16 | 0.14 | 0.16 | 0.16 | 9.82 | 304.91 | 404.97 | 0.16 | 0.21 |
| Asset Turnover | — | 0.06 | 0.06 | 0.06 | 0.04 | 0.03 | 0.03 | 0.04 | 0.05 | 0.04 | 0.04 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 3.2% | 3.7% | 4.8% | 5.5% | 5.9% | 4.6% | 5.6% | 4.7% | 4.8% | 3.5% | 1.2% |
| Payout Ratio | 33.5% | 33.5% | 36.8% | 38.2% | 40.8% | 53.7% | 60.4% | 52.9% | 42.9% | 45.5% | 16.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 9.4% | 11.0% | 12.9% | 14.3% | 14.4% | 8.6% | 9.3% | 8.9% | 11.2% | 7.6% | 3.8% |
| FCF Yield | 11.1% | 12.1% | 14.8% | 15.6% | 12.9% | 12.4% | 10.6% | 11.4% | 15.8% | 8.9% | 10.8% |
| Buyback Yield | 6.4% | 6.9% | 9.4% | 5.6% | 0.3% | 1.0% | 5.5% | 4.1% | 2.8% | 0.0% | 0.0% |
| Total Shareholder Yield | 9.5% | 10.6% | 14.3% | 11.1% | 6.1% | 5.6% | 11.1% | 8.8% | 7.6% | 3.5% | 1.2% |
| Shares Outstanding | — | $42M | $45M | $49M | $50M | $50M | $51M | $54M | $56M | $55M | $50M |
Includes 30+ ratios · 14 years · Updated daily
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Quick answers to the most common questions about buying NTB stock.
The Bank of N.T. Butterfield & Son Limited's current P/E ratio is 10.6x. The historical average is 11.3x. This places it at the 50th percentile of its historical range.
The Bank of N.T. Butterfield & Son Limited's current EV/EBITDA is 2.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 4.6x.
The Bank of N.T. Butterfield & Son Limited's return on equity (ROE) is 21.4%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 16.4%.
Based on historical data, The Bank of N.T. Butterfield & Son Limited is trading at a P/E of 10.6x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
The Bank of N.T. Butterfield & Son Limited's current dividend yield is 3.15% with a payout ratio of 33.5%.
The Bank of N.T. Butterfield & Son Limited has 75.9% gross margin and 29.8% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
The Bank of N.T. Butterfield & Son Limited's Debt/EBITDA ratio is 0.1x, indicating low leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Rate plateau compresses NIM
Premium Multiple, Offshore Discount
NTB trades at 2.18x tangible book, a premium to US regional peers, yet its P/E of 10.7x implies the market still applies an offshore risk discount. According to recent market data, the forward P/E of 9.76x suggests modest earnings growth expectations.
The P/B of 2.18x is well above the peer average of roughly 1.3x, indicating the market recognizes NTB's franchise value and sticky deposit base. However, the P/E discount to US peers like WSFS (15.7x) suggests lingering jurisdictional concerns. The implied ROTCE from the current multiple appears to be in the mid-teens, which is achievable given the bank's historical ROE of 5-6% and high leverage, but the market may be pricing in a structural premium for stability rather than growth.
ROE Masked by Excess Liquidity
ROE has hovered near 5% over the past year, but this understates core earning power given the bank's 8% equity-to-assets ratio and 86% of assets in cash and securities. As reported in NTB's financial statements, the low NIM of 0.7% reflects this excess liquidity.
DuPont decomposition shows that ROE is driven by high leverage (12.5x assets/equity) and a modest asset yield, but the NIM is artificially depressed by the large securities portfolio. The fee income mix, which spiked to 32.6% in 2025Q4 but fell to 14.6% in 2026Q2, adds volatility. The provision charge in 2026Q2 reduced ROE by roughly 100bps, suggesting that normalized profitability is higher than reported. Investors should focus on pre-provision net revenue, which declined sharply in 2026Q2, as a more stable indicator of franchise strength.
NIM Plateau, Efficiency Spike
NIM has been flat at 0.6-0.7% for ten quarters, indicating the rate tailwind has faded, while the efficiency ratio deteriorated to 68.7% in 2026Q2 from 45.7% in 2025Q4. Based on NTB's reported figures, this spike reflects a sharp revenue decline, not cost inflation.
The efficiency ratio's deterioration is primarily due to a 2% YoY revenue contraction, as costs remained relatively stable. This suggests operating leverage is now working against the bank as NII growth slows. The low NIM is a structural feature of the excess liquidity, but if the bank deploys more of its cash into higher-yielding loans, NIM could expand. However, the loan-to-deposit ratio remains low, indicating management's caution in lending.
Fortress Capital, Return Capacity
Equity-to-assets improved to 8% in 2026Q2, up from 7% a year ago, reflecting strong capital retention and a conservative posture. According to NTB's balance sheet, this fortress capital base supports continued aggressive capital return via dividends and buybacks.
The bank's capital ratios are well above regulatory minimums, and the high level of excess liquidity suggests it could return more capital without compromising safety. The consistent share buybacks, averaging $37M per quarter, indicate management's commitment to shareholder returns. However, the $39.4M provision in 2026Q2 may signal emerging credit stress, which could absorb capital if losses materialize. Investors should monitor whether the provision is a one-off or the start of a trend.
Provision Spike Raises Caution
Loan loss provisions swung to a $39.4M charge in 2026Q2, reversing a $177K benefit in the prior quarter, the largest charge in the past year. As reported in NTB's income statement, this may indicate emerging credit stress in its island mortgage portfolios.
The provision spike is notable given the bank's historically pristine asset quality. While the charge is modest relative to total loans, it could signal a deterioration in the Bermuda or Cayman economies, possibly tied to tourism or international business flows. The lack of a secondary market for distressed mortgages in these jurisdictions may prolong recovery timelines, making reserve adequacy crucial. Investors should watch for further provisioning in coming quarters and any commentary on specific sectors driving the charge.
P/E Misleads on Provisions
The most misapplied ratio for NTB is P/E, as its earnings are volatile due to provision swings and AOCI impacts. According to recent financial statements, the 2026Q2 provision charge distorted net income, making the trailing P/E of 10.7x appear artificially low.
P/E is unreliable for banks with large securities portfolios and credit provisions, as these can cause earnings to swing independently of core operations. For NTB, the $39.4M provision in 2026Q2 reduced EPS significantly, but this is not indicative of ongoing earning power. Instead, investors should use P/TBV and ROTCE, which better capture the franchise value and capital efficiency. Additionally, adjusting for AOCI unrealized losses on the $10.9B securities portfolio would provide a clearer picture of tangible book value and true capital strength.