YES Bank Shares Surge 21% In 5 Days, Hit Rs 20.60 Amid Positive Q2 Results – News18

Shares of YES Bank witnessed a robust surge, accumulating a remarkable 21% gain over the last five trading sessions, reaching Rs 20.60 during early trading. This surge elevated YES Bank’s total market capitalisation to Rs 57,431 crore. The Mumbai-based lender recently confirmed receiving Rs 120 crore from the sale of its NPA portfolio to J.C. Flowers Asset Reconstruction (JC Flowers ARC), a transaction dated December 17, 2022. In the past six months, the stock has seen a 27% uptick, with an 18% increase in the last month. Despite the recent rally, the counter has faced an 8% decline in 2023.

From a technical perspective, the stock’s 14-day relative strength index (RSI) reached 79.5, indicating a potential pullback. However, YES Bank shares were trading above various moving averages, including the 5-day, 10-day, 20-day, 30-day, 50-day, 100-day, 150-day, and 200-day SMAs. Analysts project a target price of Rs 14, suggesting a potential 30% downside from the current price of Rs 20. Shiju Koothupalakkal, a technical research analyst at Prabhudas Lilladher brokerage, anticipates the stock reaching Rs 25 levels and potentially advancing to a new target of around Rs 40.

The bank reported a robust 47% YoY surge in net profit, reaching Rs 225.21 crore in the September 2023 quarter, attributed to lower provisions compared to Rs 152.82 crore in the same period last year. However, sequentially, the bottom line witnessed a 34% decline from Rs 343 crore in the June 2023 quarter. YES Bank’s net interest income (NII) recorded a 3.3% YoY increase, totalling Rs 1,925 crore. Notably, the bank’s asset quality improved, with gross and net non-performing asset (NPA) ratios at 2% and 0.9%, respectively. Provisions and contingencies experienced a 14.1% YoY decline, amounting to Rs 500.38 crore in Q2 of the ongoing fiscal.