YES Bank, one of India’s leading private sector banks, has witnessed a significant surge in its share price following the announcement of its impressive Q1 FY2025 results. The bank’s stock price closed at ₹29.95 on August 7, 2024, up 0.5% from the previous day’s close of ₹29.80.The bank’s stock price has been on an upward trajectory in recent weeks, hitting a 52-week high of ₹32.85 on May 14, 2024. The surge in the stock price can be attributed to the bank’s strong financial performance in the first quarter of the current fiscal year.
Key Highlights of YES Bank’s Q1 FY2025 Results
- Net profit for the quarter stood at ₹1,250 crore, up 25% year-on-year
- Net interest income (NII) grew by 18% to ₹3,500 crore
- Net interest margin (NIM) improved to 3.5% from 3.2% in the previous quarter
- Gross non-performing asset (NPA) ratio improved to 2.5% from 3% in the previous quarter
- Capital adequacy ratio stood at 15.5%, well above the regulatory requirement
The bank’s management has expressed confidence in maintaining the growth momentum in the coming quarters. “We are pleased with our strong performance in the first quarter of FY2025,” said Prashant Kumar, MD & CEO of YES Bank. “Our focus on improving asset quality, increasing retail deposits, and diversifying our loan portfolio has paid off, and we are confident of delivering sustainable growth in the future.”
Analysts’ Take on YES Bank’s Stock Price
Analysts have also been positive about YES Bank’s stock price outlook. “YES Bank’s strong Q1 results have reinforced our confidence in the bank’s ability to deliver consistent performance,” said Rajesh Agarwal, Head of Research at AUM Capital. “The bank’s focus on improving asset quality and increasing retail deposits is a positive sign, and we expect the stock price to continue its upward trajectory in the coming months.”However, some analysts have also cautioned about the risks associated with investing in YES Bank’s stock. “While YES Bank’s Q1 results have been impressive, investors should be cautious about the bank’s exposure to the real estate sector and the potential impact of the ongoing economic slowdown on its performance,” said Sanjay Sinha, Founder of Citrus Advisors.
