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Alpha Bank S.A.

ALPHA.AT
58
Banks - Regional · Financial Services
Price
€3.94
+0.03 (+0.74%)
Market Cap
€9.10B
Exchange
Athens Stock Exchange
Winston Score
58
Winston is curious
A decent business — some strong pillars, some weaker.

Share count rising — dilution

+19.9% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 1.93B (2021) → 2.32B (2025)

Alpha Services and Holdings S.A., known as Alpha Bank S.A., is a prominent financial institution delivering a comprehensive suite of banking and financial services to individuals, professionals, and corporate clients, operating across Greece and internationally. Its diverse operations are organized into key segments, including Retail Banking, Corporate Banking, Asset Management and Insurance, Investment Banking and Treasury, South Eastern Europe, and various other activities. The company offers a wide array of deposit options, such as savings, checking, and current accounts, alongside investment vehicles like term deposits, repurchase agreements (repos), and swaps. Its lending solutions encompass mortgage, consumer, and corporate loans, in addition to working capital facilities and letters of guarantee. Customers also have access to debit and credit cards. Beyond conventional banking, Alpha Bank extends its services to include leasing, factoring, and wealth management. It also provides insurance products, capital markets advisory, brokerage, and stock exchange services. Investment banking, interbank market transactions, and securitization are further components of its financial activities. Modern mobile and web banking platforms are available for client convenience. Uniquely, the group also holds interests in real estate management and hotel services. Founded in Athens, Greece, in 1879, the institution maintained a network of 450 branches as of December 31, 2021.

Winston Score History

Score breakdown

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Quality

Gross Margin
45.7%
Healthy — 45.7% gross margin
Operating Margin
21.9%
Excellent — 21.9% operating margin
ROCE
1.2%
Weak — 1.2% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales YoY
-19.5%
Shrinking sales (-19.5% YoY)
EPS YoY
+27.9%
Earnings growing fast (27.9% YoY)

Earnings growing 25%+ a year. The compounder zone.

EPS Consistency
6/8 quarters
Earnings grew in most of the last 8 quarters

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Cash Flow

Cash Conversion
182%
Turns 182% of profit into real cash
FCF Margin
32.3%
Converts sales into free cash efficiently (32.3%)

Free cash flow margin above 20%. Out of every $100 in sales, more than $20 is real cash they keep.

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Stability

Debt / Equity
1.46
Elevated debt (1.46)
Interest Cover
0.36x
Dangerous — barely covers interest (0.4x)

Interest coverage below 1. Their profits don't cover the interest bill.

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Valuation

P/E Ratio (TTM)
10.9x
Attractive valuation — P/E 10.9

P/E in the normal range. Price is roughly $15 for every $1 of yearly profit.

P/E vs Forward
+1.4
GROWING
Earnings expected to grow — slightly cheaper on forward P/E

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Dividends

Dividend Yield
2.89%
Moderate income — 2.89% yield

Standard yield zone for stable dividend payers. A meaningful piece of total return.

Dividend Growth
-89.5%
Dividend cut (-89.5% YoY) — warning sign

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