The 4 Business Segments Driving RBS’ Stock Value
The Royal Bank of Scotland (RBS) Group (NYSE:RBS) offers a variety of banking and financial service products to customers located across the globe. The firm operates in the United Kingdom, the United States, and internationally through its two principal subsidiaries, The Royal Bank of Scotland plc (the Royal Bank) and National Westminster Bank plc (NatWest). Competitors include Citigroup (NYSE:C), Barclays (NYSE:BCS), Bank of America (NYSE:BAC), UBS (NYSE:UBS) and JPMorgan Chase (NYSE:JPM).
Our price estimate for RBS stock, at $13.43, is in line with the stock’s current market price.
The 4 Most Important Business Segments for RBS
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1) Sales, Trading & Investment Banking – represents 30% of the company’s stock value
RBS’ sales, trading, and investment banking operations provide an extensive array of services like debt and equity financing, risk management and investment services. The division is organized along six principal business lines – money markets, interest rates, currencies & commodities, equities, credit markets, and portfolio management & origination.
See the top forecasts for the sales, trading, & investment banking division
2) RBS & NatWest U.K. Consumer Banking – 21%
RBS’ U.K. consumer banking segment offers banking products and related financial services to the retail market. It serves customers through the RBS and NatWest networks of branches and ATMs in the United Kingdom, and offers products like current accounts, mortgages, credit/charge cards, and deposit accounts.
See the top forecasts for the RBS &NatWest UK consumer banking division
3) Citizens and Charter One U.S. Banking – 13%
RBS provides retail and commercial banking services in the U.S. through the Citizens and Charter One brands. Services are offered through a branch network that includes 12 states, in addition to non-branch offices in other states.
See the top forecasts for the Citizens and Charter One U.S. banking division
4) U.K. Business Banking – 13%
RBS is a leading provider of banking, finance, and risk management services to the corporate and SME sectors in the United Kingdom. Products offered also include asset financing through the Lombard brand.
See the top forecasts for the U.K. business banking division