Athens, Greece. Jefferies raised its target price for Alpha Bank shares to €4.85 from €4.15 and reiterated its buy recommendation. The firm cited a strong earnings outlook and attractive shareholder returns.
Target price and investment view
Jefferies analysts said Alpha Bank offers a combination of high earnings growth and strong shareholder returns over the coming years. They added that the investment case remains attractive even though 2026 is expected to be a transition year for the group.
Earnings growth forecasts
Despite adjustments to profitability forecasts, Jefferies said the overall growth trajectory remains strong across the forecast period. The firm estimates that earnings per share will grow at an average annual rate of around 15% until 2028, compared with about 10% expected for the wider European banking sector.
Shareholder returns and book value
Jefferies projected total shareholder returns of around 8% per year, while tangible book value is expected to increase by roughly 10% annually during the same period.
Valuation compared with peers
The analysts said Alpha Bank’s valuation remains attractive compared with European peers. The stock is trading at around seven times estimated 2027 earnings, compared with approximately 8.5 times for European banks.
Jefferies said the valuation corresponds to about 0.9 times tangible book value, while return on tangible equity is expected to reach around 13.5% by 2028.
Management guidance for 2026
For 2026, the bank’s management has guided the market towards normalised earnings per share of around €0.40, representing annual growth of roughly 11%.
What factors are you watching to assess whether Alpha Bank can meet its earnings and return targets through 2028?
