Goldman Sachs maintained its positive outlook on Greek banks despite a 1.5% drop in quarterly net-profit earnings in 2025 due to lower trading performance.
The U.S.-based investment bank highlights that trends in net interest rate revenues, quality assets, and capital generation remain solid, thus justifying its outlook on the Greek banking sector.
According to Goldman Sachs, the recommendations for Alpha Bank, National Bank of Greece, and Piraeus Bank remain at “buy,” while the recommendation for Eurobank is “neutral.” The new price targets for bank stocks are as follows: Alpha Bank €4.20 (from €4.00), National Bank of Greece €15.10 (from €14.40), Piraeus Bank €8.00 (from €8.10), and Eurobank €3.50 (from €3.60). The upside potential for Alpha Bank stands at 15%, while for National Bank of Greece and Piraeus Bank it is 11%. Eurobank shows a small negative potential (-1%) based on its current share price.
Goldman Sachs notes that valuations in the sector remain attractive, as Greek banks trade at roughly 1.2 times the 2026 tangible book value for a 14% ROTE, whereas the corresponding European average is 1.4 times for 15%.
The sector continues to strengthen its fundamentals, with stable capital, high returns, and a solid organic growth rate. Despite some isolated pressures observed in the third quarter, the overall profile of Greek banks remains among the most attractive in Europe.
The investment bank revised its outlook on earnings per share (EPS) downward (roughly 3%) for 2025, citing lower trading performance.
Source: tovima.com
