Core Insights - Yes Bank reported a 6.5% year-on-year increase in loans and advances for Q2 FY26, reaching Rs 2,50,468 crore, and a 7.1% increase in deposits to Rs 2,96,831 crore, indicating strong growth [1][7] - The bank's CASA balances increased by 13.2% YoY to Rs 1,00,263 crore, with the CASA ratio improving to 33.8% from 32% a year ago [2][7] - A strategic stake sale to Japan's Sumitomo Mitsui Banking Corporation has positively influenced market sentiment, with Yes Bank shares climbing 4.4% over the past week [3][7] Financial Performance - In Q1 FY26, Yes Bank's standalone net profit rose by 59% YoY to Rs 801 crore, with net interest income at Rs 2,371 crore, up 5.7% YoY and 4.2% QoQ [5][7] - The net interest margin improved to 2.5%, supported by lower deposit costs and reduced PSL shortfall-related expenses [5][7] - Analysts express confidence in the upcoming Q2 earnings based on these positive trends [5][8] Technical Analysis - Yes Bank is trading above all eight key simple moving averages, indicating a strong bullish trend [6][8] - The Relative Strength Index (RSI) is at 70.3, suggesting the stock is nearing overbought levels, while the Moving Average Convergence Divergence (MACD) at 0.5 remains positive [6][8]
Yes Bank shares up 4% in 1 week as Q2 metrics impress. What’s next?
The Economic Times·2025-10-06 05:46