7 October 2024, Erste Group, one off the largest banking groups in Central and Eastern Europe (CEE) region, has initiated sponsored research of AB Šiaulių Bankas at Buy rating and published the initiation of coverage research. Analysis suggests a target price of EUR 1.00.

The research highlights that Šiaulių Bankas presents an attractive investment opportunity due to its position in Lithuania's structurally strong economy and a banking market with significant growth potential. The Bank's strategic focus on high-margin lending segments like SME and consumer finance allows for above-average returns. Research further highlights that investors will also be drawn to the Bank's solid capitalization, which supports an increased dividend payout ratio (minimum 50% under the new policy) and share buybacks, offering strong total shareholder returns. Finally, analysts reiterate Šiaulių Bankas having a proven track record of high growth and profitability, while its new strategy sets ambitious goals for continued improvement and transformational change, making it well-positioned for long-term success.