National Bank of Greece (NYSE:NBG) too greasy at the moment
On Wednesday, National Bank of Greece (NYSE:NBG) was up 7.14% and might trend higher following some recent data from Eurostat that there was a 2.5 % rise in the industrial production in Greece. The bank has been one of EY27’s best performers.
S&P has given NBG a “CCC/C’ corporate credit rating which gives the ratings a negative outlook. Today’s rating action comes in the wake of restructure and recapitalization of the country’s domestic banks. The European Central Bank and the Hellenic Financial Stability Fund will continue providing extraordinary liquidity and capital support to NBG. It is extremely difficult to see if there really is any exit strategy that could come to the rescue of the company.
No clarity of future
The country’s economy continues to stumble along and there is really no clear path out of the current fog. Greece’s recovery from falling in line with the capital raising requirements has not been able to meet expectations. In addition the constant fear of another no- confidence vote or even that of the parliament being disbanded for another set of public elections is always a hanging sword.
National Bank of Greece (NYSE:NBG) are trending downwards for the 1st day after heading north for 3 days in a row. The stock has dipped primarily due to profit booking after it rose 20% over the past 3 days. In Wednesday’s trading session, the stock dipped 7.14%. The opening price of $4.04 reached an intraday high of $4.26 and traded down to a close of $4.20. More than 4.55M shares were traded on Wednesday in comparison to the 30-day average volume of 3.96M.
Technically speaking, the stock is now trading above its $3.52, 50-day moving average and is way below the $8.82, 200-Day Moving Average. NBG is a beaten-down stock as it had shed almost 80% in the current year, on the financial crisis in the country. The NBG stock is a very risky trade at the moment.