What’s new? It is no secret Greece’s economic and political outlook has improved tremendously post the pandemic and energy crises. Banks have cleaned up their balance sheets; the govt budget produced a primary surplus; debt/GDP went down -23ppt; GDP is expected to grow double the Euro area rate; and voters just re-elected a pro-growth/reforms administration….
’If you cannot explain it simply, then you do not understand it well enough.’’ Testing ourselves, we share our understanding of each Greek investment case we cover within a few lines. Conclusions: Our base case scenario is materializing, i.e., Mitsotakis administration renewing its mandate and Greece avoiding a recession. Equities have re-rated and are +36%…
What’s new? Jumbo’s monthly trading update showed May sales growth picking up compared to April, and YTD sales +22% yoy. This is higher than FY guidance for sales growth of +15% yoy. Management announced an additional E0.322 DPS out of 2022 earnings, bringing total DPS paid in 2023 at E1.477 (5.9% yield @ current price)….
What’s new? BoC raised its RoTE target to >17% in 2023 (from >13%) and to >13% in 2025, driven by higher ECB interest rates; their favorable pass through on loans compared to deposits; mid-single digit lending growth; more income from bonds and a clean balance sheet keeping mid-term CoR at 40-50bps. The 30%-50% targeted payout…
What’s new? Alpha Bank held its Investor Day yesterday, raising/confirming its RoTE 2023 target at c.10% (from >9%) and introducing 2025 RoTE target at >12%. EPS is projected to grow >20% p.a. in 2023-2025, with net income at an implied E590m in 2023 and E705m in 2025 (net of AT1 costs). The buffer. We find…