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NKSHNational Bankshares, Inc.
$36.20$231M
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  4. Financial Ratios

National Bankshares, Inc. (NKSH) Financial Ratios

Latest Ratios: P/E Ratio 14.5x · EV/EBITDA 8.3x · ROE 9.3%. (1996–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

NKSH Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$231M$213M$177M$191M$241M$223M$203M$296M$253M$316M$302M
Enterprise Value$171M$154M$69M$104M$170M$84M$69M$209M$197M$252M$208M
P/E Ratio →14.5413.4723.1512.169.3110.9312.6316.9515.7022.3920.21
P/S Ratio2.702.502.242.793.864.173.915.484.976.476.29
P/B Ratio1.251.151.131.361.971.161.011.611.331.711.70
P/FCF15.2114.0828.6213.588.559.8716.9616.6113.6429.4617.89
P/OCF12.8911.9218.7512.278.189.7314.7215.7012.8228.7617.24

P/E links to full P/E history page with 30-year chart

NKSH EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—1.810.871.522.721.571.333.873.875.164.33
EV / EBITDA8.307.476.745.355.253.323.489.7410.0911.8610.43
EV / EBIT8.948.047.585.575.353.403.6110.0810.5312.3711.01
EV / FCF—10.1711.187.416.023.715.7711.7110.6123.4912.31

NKSH Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin65.1%65.1%55.8%70.2%93.9%94.9%84.9%86.1%90.3%91.2%87.9%
Operating Margin22.5%22.5%11.5%27.4%50.8%46.1%36.9%38.3%36.7%41.7%39.3%
Net Profit Margin18.6%18.6%9.6%23.0%41.5%38.2%30.9%32.4%31.7%28.8%31.1%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE9.3%9.3%5.1%11.9%16.5%10.4%8.4%9.3%8.6%7.8%8.5%
ROA0.9%0.9%0.4%0.9%1.5%1.3%1.1%1.4%1.3%1.1%1.2%
ROIC8.4%8.4%4.6%10.6%15.2%9.4%7.5%8.3%7.5%8.4%8.1%
ROCE10.6%10.6%5.8%13.1%18.6%11.5%9.0%10.2%9.3%10.5%10.1%

NKSH Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity———————————
Debt / EBITDA———————————
Net Debt / Equity—-0.32-0.69-0.62-0.58-0.72-0.67-0.47-0.30-0.35-0.53
Net Debt / EBITDA-2.87-2.87-10.51-4.46-2.21-5.49-6.74-4.07-2.89-3.02-4.72
Debt / FCF—-3.91-17.44-6.17-2.53-6.15-11.18-4.90-3.03-5.98-5.58
Interest Coverage0.640.640.270.8710.307.953.282.803.714.944.54

Net cash position: cash ($59M) exceeds total debt ($0)

NKSH Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio0.050.050.090.470.480.560.530.470.460.380.39
Quick Ratio0.050.050.090.470.480.560.530.470.460.380.39
Cash Ratio0.040.040.070.060.050.090.100.080.050.060.09
Asset Turnover—0.050.040.040.040.030.030.040.040.040.04
Inventory Turnover———————————
Days Sales Outstanding———————————

NKSH Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield4.2%4.5%5.2%7.8%3.7%4.0%4.4%3.1%3.3%2.6%2.7%
Payout Ratio60.7%60.7%121.5%94.2%34.5%43.2%56.0%51.7%52.1%57.8%54.0%

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield6.9%7.4%4.3%8.2%10.7%9.2%7.9%5.9%6.4%4.5%4.9%
FCF Yield6.6%7.1%3.5%7.4%11.7%10.1%5.9%6.0%7.3%3.4%5.6%
Buyback Yield0.0%0.0%0.0%0.0%2.6%6.0%0.8%6.3%0.0%0.0%0.0%
Total Shareholder Yield4.2%4.5%5.2%7.8%6.3%10.0%5.3%9.3%3.3%2.6%2.7%
Shares Outstanding—$6M$6M$6M$6M$6M$6M$7M$7M$7M$7M

Key Metrics

Growth RegimeStable
ProfitabilityModerate
Balance SheetHealthy
Cash FlowStable
Top Statement Risk

Geographic CRE Concentration

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Valuation Reflects Conservative Franchise Stability

As reported in recent market data, NKSH trades at a P/B ratio of 1.30, which suggests that investors are pricing the bank as a stable, low-growth franchise rather than a high-octane growth vehicle, particularly when compared to the broader regional peer group's valuation multiples.

The current P/B multiple of 1.30 indicates that the market assigns a modest premium to the bank's tangible book value, likely reflecting the perceived stickiness of its university-town deposit base. However, the forward P/E of 11.70 implies that investors remain cautious regarding the bank's ability to significantly expand its return on tangible equity from current levels.

ROE Constrained by Capital Efficiency

Based on quarterly financial figures, NKSH's ROE has hovered in the low single digits, reaching 2.7% in 2026Q1, which indicates that the bank's profitability is currently constrained by a high equity-to-assets ratio and limited leverage relative to its regional banking peers.

The DuPont decomposition suggests that while the bank maintains a stable NIM, the overall ROE is dampened by a conservative balance sheet structure that prioritizes capital adequacy over aggressive asset utilization. This suggests that management's focus remains on long-term preservation rather than maximizing short-term returns for shareholders.

Margin Expansion Amidst Operational Discipline

According to recent quarterly filings, NKSH has successfully expanded its NIM from 0.5% in 2024Q3 to 0.7% in 2026Q1, demonstrating an effective ability to manage funding costs despite the broader interest rate volatility that has pressured many regional financial institutions.

The efficiency ratio, which fluctuated between 39% and 43% over the last several quarters, suggests that the bank is maintaining a disciplined cost structure while navigating the complexities of its localized market. Investors should monitor whether this efficiency can be sustained as the bank potentially increases technology spending to remain competitive.

Fortress Balance Sheet Limits Growth

As evidenced by the consistent equity-to-assets ratio of 0.10 through 2026Q1, NKSH maintains a robust capital position that provides a significant buffer against potential credit losses, though this conservative stance may be limiting the bank's overall return on equity potential.

The bank's capital adequacy appears well above regulatory minimums, which provides management with substantial flexibility for capital returns or defensive positioning. However, this high level of capitalization may indicate an under-utilization of the balance sheet, warranting further investigation into potential future capital deployment strategies.

P/E Ratio Obscures Provisioning Volatility

The P/E ratio is the most commonly misapplied metric for NKSH, as it fails to account for the significant impact of CECL-driven provision volatility on earnings, which can artificially distort the bank's perceived profitability in any given quarter.

Investors should instead focus on P/TBV, as it provides a more accurate reflection of the bank's underlying value by stripping out the noise of accounting-based credit provisions. Relying on P/E may lead to erroneous conclusions about the bank's earnings power, especially during periods of economic uncertainty where provisions are subject to management's forward-looking assumptions.

Download Financial Ratios Data

Includes 30+ ratios · 30 years · Updated daily

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NKSH — Frequently Asked Questions

Quick answers to the most common questions about buying NKSH stock.

What is National Bankshares, Inc.'s P/E ratio?

National Bankshares, Inc.'s current P/E ratio is 14.5x. The historical average is 14.1x. This places it at the 69th percentile of its historical range.

What is National Bankshares, Inc.'s EV/EBITDA?

National Bankshares, Inc.'s current EV/EBITDA is 8.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 6.3x.

What is National Bankshares, Inc.'s ROE?

National Bankshares, Inc.'s return on equity (ROE) is 9.3%. The historical average is 11.8%.

Is NKSH stock overvalued?

Based on historical data, National Bankshares, Inc. is trading at a P/E of 14.5x. This is at the 69th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is National Bankshares, Inc.'s dividend yield?

National Bankshares, Inc.'s current dividend yield is 4.17% with a payout ratio of 60.7%.

What are National Bankshares, Inc.'s profit margins?

National Bankshares, Inc. has 65.1% gross margin and 22.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.