European and Greek equity market outlook

Financial institutions have expressed growing optimism regarding specific sectors within the European and Greek markets. Initially, Morgan Stanley identified Alpha Bank and Public Power Corporation (PPC) as top European stock picks, noting Greece’s increasing relevance in the European developed market discussion.

Following this, HSBC raised its outlook for European equities, projecting significant upside for the Stoxx 600 through 2027. In recent updates, HSBC has specifically raised its STOXX 600 target to 680 points for 2026 and 760 points for 2027, while adopting a selective regional approach by upgrading Italy to ‘overweight’ and downgrading France to ‘underweight’.

Within the Greek market, focus has intensified on the energy sector. Axia Capital previously raised its target price for PPC due to its expansion into data centers via a memorandum of understanding with Amazon Web Services. Building on this momentum, Axia-Alpha Finance has raised its target price for DEI to 29.10 euros, citing its 2026–2030 business plan and similar data center expansion plans. Additionally, Goldman Sachs has raised price targets for HELLENiQ Energy and Motor Oil, driven by strong performance expectations for Greek refineries.

While the Athens Stock Exchange has faced volatility from international bond markets and oil prices, momentum has been supported by banking stocks. Furthermore, Euronext CEO Stéphane Boujnah noted increased interest in the Greek market from shipping and defense technology companies, while the transport sector reported growth in passenger volumes and revenue for the first eight months of 2026.