Yes Bank Share Price

Yes Bank Ltd. fundamental analysis

There was a time when the banking landscape was dominated by age-old banking giants, where tradition often eclipses innovation. It was in this setting that Yes Bank emerged as a breath of fresh air, bringing with it a promise of modernity and customer-focused services. Founded with the vision of redefining the banking experience, Yes Bank has not just participated in India's financial sector but has played a pivotal role in transforming it.

From its early days, Yes Bank committed to a path of rapid growth and technological integration. It wasn't just about offering the usual banking products like savings accounts and loans; Yes Bank wanted to do it differently.

Let us jump into the fundamental analysis of Yes Bank, exploring its history, financial health, competitors, and financials. Additionally, we will discuss the current Yes Bank share price and provide insights on the Yes Bank share price target.

About Yes Bank Limited

Yes Bank Limited is an Indian private-sector bank, headquartered in Mumbai. It was founded in 2004 by Rana Kapoor and Ashok Kapur. The bank offers a range of products, services, and technology-driven digital offerings to its corporate, retail, and micro, small and medium-sized enterprises (MSME) customers.

Yes Bank operates in 300 districts across India, with 1,198 branches, 193 banking centers, and over 1,287 ATMs as of 2024. The bank has some major shareholders, including the Indian State Bank, India’s biggest scheduled commercial bank; two world investors such as the Caryle associate and Advent International among others.

Yes Bank has an ESG Score of 74 (out of 100) on the S&P Global Corporate Sustainability Assessment (CSA), one of the highest in the Indian banking industry.

Is the banking sector a goldmine investment?

Yes, the banking industry is a great sector for investment. The banking industry in India has historically been one of the most stable systems globally, despite global disturbance. The health of the Indian banking system is solid, fortified by multi-year low non-performing loans and an adequate level of capital and liquidity buffers.

Gross Non-Performing Assets (GNPA) of Scheduled Commercial Banks (SCBs) have further decreased. As of March 2023, the GNPA ratio fell to a 10-year low of 3.9%. This improvement in asset quality is due to lower slippages, steady recoveries & upgrades, and some write-offs.

Given these growth potentials in the banking sector, Yes bank share price is likely to be positively affected. This could offer significant returns from investing in the bank in the coming years. In fact, the Yes Bank share price forecast for 2026 is Rs. 41, and experts strongly recommend buying its shares.

Who are Yes Bank’s competitors in the banking sector?

Yes Bank operates in a competitive environment within the banking sector in India. Some of its main competitors include:

• HDFC Bank
• ICICI Bank
• Axis Bank
• State Bank of India (SBI)
• IDFC FIRST Bank
• IndusInd Bank

History of Yes Bank Limited

Yes Bank Limited is an Indian private-sector bank, headquartered in Mumbai. Here’s a brief history of the bank:

• Incorporation: Yes Bank was incorporated as a Public Limited Company on November 21, 2003. The bank was founded by Rana Kapoor. It obtained its certificate of commencement of business on January 21, 2004.
• Product range: Yes Bank provides various products and services such as savings accounts, current accounts, fixed deposits, loans (including home loans, personal loans, car loans), credit cards, debit cards, insurance products, mutual funds distribution, trade finance services for corporates, treasury operations among others.
• Infrastructure: Yes Bank is an Indian bank located in Mumbai. It has branches in 300 districts across India, with a total of 1,198 branches, 193 BCBOs, and over 1,287 ATMs.
• Certifications: Yes Bank is a Great Place to Work-Certified™ organization. It also offers a Professional Banker Training Program.
• Awards and recognition: Yes Bank has received top global recognition at the Gartner Excellence Awards for successfully deploying Data Analytics for enhancing business impact. It was also adjudged winner at IDC Financial Insights Innovation Awards.

Company profile of Yes Bank Limited

Pros:

• Strong profit Growth: The impressive 123% Y-o-Y surge in Yes Bank’s net profit to ₹452 crore in Q4 FY24 not only indicates solid financial performance but also positively influences the Yes Bank share price target, enhancing potential returns for investors.
• Low net NPA ratio: Yes Bank has a low Net Non-Performing Assets (NPA) ratio of 0.6%. This indicates that the bank has a lower proportion of bad loans, which is a positive sign for its financial health.
• Low loan to deposit ratio: The bank’s Loan to Deposit ratio has reduced to 93.49 in 2023 from 162.79 in 2020. This suggests that the bank has a lower risk profile as it has not lent out a significant portion of the deposits it has received.

Cons:

• Decreased EPS: The Earnings Per Share (EPS) of Yes Bank has decreased in the last 5 years by 11.32%. This could be a concern for investors as it might indicate reduced profitability.
• Past reputation issues: Yes Bank’s reputation was marred due to issues such as governance lapses, under-reporting of Non-Performing Assets (NPAs), inability to raise capital to address potential loan losses, and regulatory concerns.

The finances and Yes Bank share price forecast

Here’s a summary of Yes Bank Limited’s financial information as of May 2024:

The current Yes Bank share price today is at ₹23.842, whereas the predicted Yes Bank share price in 2026 is expected to fluctuate between a minimum of ₹39 and a maximum of ₹47, with an average target of ₹43.

Shareholding pattern of Yes Bank Ltd.

The impact of the Yes Bank share price chart on its shareholding pattern can be significant. Investors often use the share price chart to analyze the bank’s stock performance over time, which can influence their decision to buy or sell shares. As of the latest data, the shareholding pattern of Yes Bank Ltd. is as follows:

• Promoters: Hold 0%
• Foreign institutional investors (FII): 28.4%
• Domestic institutional investors (DII): 38.3%
• Public: 33.3%

Peer multiple comparison

Other than comparing Yes Bank Share price with its other competitors, it is equally important to compare other financial metrics also: