x

Economy

JPMorgan Hopeful on Greek Banks, Upgrades Piraeus to “Overweight”

September 16, 2022

ATHENS – JPMorgan upgraded Piraeus Bank to ‘overweight’ and stated it was optimistic on Greece’s four big banks as published by Reuters, through a research report published on September 13.

In the past three months, Greek bank shares have decreased by around 25 per cent and despite the solid progress in operating performance, the sector remains unacknowledged due to EU-wide recession fears.

“Piraeus has undergone a remarkable operational turnaround and cut 20 billion euros of NPEs (non-performing exposures) from its balance sheet since end-2020, while visibly improving its revenue and cost structure,” the report said.

Piraeus Bank has surpassed its business plan and has raised its fully-loaded Core Equity Tier 1 target to 11% from 10%.

JPMorgan said Piraeus’ share valuations at 3.1 times 2023 expected price-to-earnings and 0.2 times price-to-tangible book value looked very attractive, noting they remained at levels when the bank’s NPE ratio was close to 50% and it had a 2 billion euro CoCo instrument on its balance sheet, according to Reuters.

“We think this is unwarranted and see 100% upside potential, among the highest in our CEEMEA Banks coverage,” JPMorgan added in the report.

JPMorgan has an ‘overweight’ rating on all four Greek banks, including Alpha, National, and Eurobank, confirming its positive outlook on the sector to reflect cleaned up balance sheets and above-trend growth.

RELATED

ATHENS - The New Democracy's ballot paper was presented at a special event at the Athens Auditorium on Monday.

Top Stories

Columnists

A pregnant woman was driving in the HOV lane near Dallas.

General News

NEW YORK – Meropi Kyriacou, the new Principal of The Cathedral School in Manhattan, was honored as The National Herald’s Educator of the Year.

Video

New York Greek Independence Parade Honors 1821 and Grim Anniversary for Cyprus (Vid & Pics)

NEW YORK – The New York Greek Independence Parade on Fifth Avenue, commemorating the 203rd anniversary of the Greek Revolution of 1821, was held in an atmosphere of emotion and pride on April 14.

NEW YORK  — The historic hush money trial of Donald Trump got underway Monday with the arduous process of selecting a jury to hear the case charging the former president with falsifying business records in order to stifle stories about his sex life.

ATHENS - The New Democracy's ballot paper was presented at a special event at the Athens Auditorium on Monday.

JERUSALEM  — Israel’s military chief said Monday that his country will respond to Iran’s weekend attack, but he did not elaborate on when and how as world leaders urged Israel not to retaliate, trying to avoid a spiral of violence in the Middle East.

FRANKLIN, TN – After the amazing success of first two Annual Greek Adoptee Reunions in Nashville, TN, in August 2022 and in their homeland of Greece in October 2023, Greek-born adoptees are poised to converge on Louisville, KY, for the Third Annual Greek Adoptee Reunion, June 20-22.

Enter your email address to subscribe

Provide your email address to subscribe. For e.g. [email protected]

You may unsubscribe at any time using the link in our newsletter.