Euroxx Securities Raises Price Targets for Greek Banks
Looking ahead to the next three years, Euroxx predicts that Greek banks will lead in dividend payouts, with distribution yields exceeding 10%.
Looking ahead to the next three years, Euroxx predicts that Greek banks will lead in dividend payouts, with distribution yields exceeding 10%.
Bank of America (BofA) recently increased its target prices for several Greek banks, with the target price for Eurobank raised to €2.84 from €2.76.
Specifically, 98% of the Greeks surveyed stated that the country must to adapt to climate change, with 60% saying that priority should be given to these adjustment measures
JP Morgan reiterated its analysis of DTCs, prompted by Piraeus Bank’s plan to accelerate their amortization
Greek banks, it notes, are focused on mitigating the impact through strategic efforts like loan growth, increased fee income, and lower-than-anticipated deposit betas for 2026.
Alpha Bank, Eurobank, National Bank, and Piraeus Bank are the Greek banks likely to record historical highs in profitability, paving the way for even greater shareholder rewards in 2025, with 35% of 2024 profits expected to be returned
He also noted that the Recovery and Resilience Fund has seen over 50% of its funds absorbed, with more than 20% having been directed into the real economy.
Axia, one of the foreign analysts, considers the dividend approval as a crucial step towards the normalization of Greek banks post the 2010-2015 crisis.
DB attributes the robust performance to multiple factors, including significantly improved profitability and resilience, as well as enhanced market liquidity following the allocation of shares of the Hellenic Financial Stability Fund (HFSF).
Kostis Hatzidakis emphasized the government's dual role in the new era for the banking system: ensuring conditions for a resilient banking system and fostering competition among banks, akin to practices in advanced European nations.
The unexpected note is a positive indication, as Moody's is considered one of the most rigorous of the systemic rating agencies and the only one so far that has not assigned an investment grade to Greece
In Greece, the discussions between the four systemic groups and the system supervisor regarding the distribution of dividends from last year's profits are reaching their final stages, with favorable terms
It is also stressed that until the upcoming November U.S. elections, there is substantial opportunity to mark the formal end of the crisis in the banking sector, with the complete return of the system to the private sector.
Optimism pervaded discussions about dividend distribution from 2023 profits, with talks with regulators in preliminary stages.
What were the main questions that revolved around the course of the Greek banks
Positive prospects are opening up in the Greek banking sector
Increase spending on health, education, supporting the vulnerable – Risks from rising property prices, interest rates, inflation and climate change
Greek banks posted a strong Q3 2023 overall with improved trends in organic earnings before provisions
Investment grade recovery for sovereign debt eases risks, central banker says
The areas of concern for bank administrations
The beginning was made with Eurobank
What the American giant spells out in its report
JP Morgan maintains the overweight position
The agency's main conclusions
The three pending issues in the banking sector
How target prices are formed
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