Greater margin pressure than Ord Minnett envisaged within National Australia Bank's FY21 result caused a -1% miss on revenue against the broker's estimate. There was a -3% miss on a cash net profit basis, while the 67cps final dividend was a beat on the analyst's 65cps.

Nonetheless, Ord Minnett lifts its pre-provision earnings forecasts by 2% to reflect greater comfort with costs, stronger period-end loan balances and improved markets volatility. Target price rises to $31.40 from $29.50. Accumulate rating is unchanged.

Sector: Banks.

Target price is $31.40.Current Price is $29.79. Difference: $1.61 - (brackets indicate current price is over target). If NAB meets the Ord Minnett target it will return approximately 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2021 Acquisdata Pty Ltd., source FN Arena