The Athens Stock Exchange has begun the new year on a strong footing, pushing past its previous 2025 highs and edging toward the closely watched 2,140-point level, with banks firmly in the lead.
In early trading, the General Index was up 0.98% at 2,141.41 points. Turnover stood at €15.8 million, with trading volume reaching 2.8 million shares. The FTSE/ASE Large Cap index rose 1.01% to 5,405.19 points, while the banking index surged 2.21% to 2,344.47 points, underscoring the sector’s central role in the market’s momentum.
Optimism for the year ahead
After a robust performance last year, the Greek market is entering the new year with expectations that gains can be sustained. Analysts at Optima Bank maintain a positive stance, pointing to a resilient macroeconomic backdrop. Economic growth is estimated at 2.4%, comfortably above the European average.
Additional tailwinds include continued fiscal discipline, a further decline in the debt-to-GDP ratio to below 140%, strong capital positions across Greek banks and an attractive dividend yield, estimated at 4.8%. Together, these factors are reinforcing confidence in Greek equities among domestic and international investors.
Risks remain on the horizon
Despite the upbeat outlook, challenges persist. Optima Bank highlights the timely absorption of European Union funds as a key issue, alongside the risk of a sharp correction in international markets. Political uncertainty is also expected to build toward the end of the year, ahead of Greece’s national elections scheduled for the first half of 2027.
Looking further ahead, Piraeus Securities strikes a more cautious tone for 2026. It cites an uncertain global environment and elevated valuations in international markets, suggesting the year may be marked by heightened volatility.
Even so, the Athens Stock Exchange is still expected to benefit from relatively attractive valuations and a healthy dividend yield close to 4%. Analysts also note that a potential upgrade of Greece to developed market status could influence foreign investment flows and portfolio allocations during the year.
Banking stocks drive the session
On the trading floor, banking shares dominated gains. National Bank of Greece climbed 3.04%, while Eurobank and Piraeus Bank advanced 2.63% and 2.12%, respectively. Shares of Cenergy, Metlen, Alpha Bank, Helleniq Energy, Titan, Jumbo, Lamda Development, Athens International Airport and Bank of Cyprus all posted gains of more than 1%.
More modest gains were recorded by EYDAP, ElvalHalcor, Aegean Airlines, OTE, PPC, Motor Oil and GEK TERNA. On the downside, Optima Bank, Aktor and Sarantis edged lower, while OPAP and Coca-Cola HBC fell by more than 1%. Viohalco ended the session unchanged.
As the year gets underway, the strong start has set an encouraging tone for Greek equities, even as investors remain mindful of the international and domestic challenges that lie ahead.
