YES Bank Shares Surge 6%, Achieving a One-Year High: Expert Analysis

  • Home
  • Banking
  • YES Bank Shares Surge 6%, Achieving a One-Year High: Expert Analysis
YES Bank Shares Surge 6%, Achieving a One-Year High: Expert Analysis
  • By Divya Singhal
  • 11th January, 2024
  • Banking

The share price of YES Bank experienced a remarkable surge, jumping by 5.82% to reach an impressive one-year high at Rs 25.63. This surge reflects a substantial gain of 81.77% from its 52-week low of Rs 14.10 observed on October 23 last year.

On the Bombay Stock Exchange (BSE), an increased trading activity was witnessed, with approximately 12.53 crore shares changing hands today, surpassing the two-week average volume of 7.28 crore shares. The turnover on the counter amounted to Rs 314.41 crore, contributing to an impressive market capitalization (m-cap) of Rs 73,313.25 crore.

Recent buzz around the private lender’s counter centered on reports of stressed asset sales, with gross bad loans reaching Rs 4,319 crore as of September 2023.

Technical analysis suggests that YES Bank has support levels at Rs 24, followed by Rs 23, Rs 22.3, and Rs 22. On the upside, the stock could potentially climb to Rs 31. Analysts recommend considering profit booking at the current levels.

Shiju Koothupalakkal, a Technical Research Analyst at Prabhudas Lilladher, notes, “The stock has witnessed a substantial rally in the last two months, indicating a breakout above the previous peak zone of Rs 24.75. Maintaining near-term support near Rs 24, one can anticipate targets of Rs 27-31.”

Jigar S Patel, Senior Manager – Technical Research Analyst at Anand Rathi Shares and Stock Brokers, emphasizes, “Support is expected at Rs 22, with resistance at Rs 26. A decisive close above Rs 26 may trigger further upward movement towards Rs 30, establishing a trading range between Rs 21 and Rs 30 for the next month.”

AR Ramachandran from Tips2trades cautions, “YES Bank is overbought and bullish on daily charts. Investors should consider booking profits, as a daily close below support at Rs 22.3 may lead to a near-term target of Rs 19.”

Ravi Singh, founder of DRS Finvest, suggests, “The stock may hit Rs 28 in the near term, with a stop loss set at Rs 23.”

Analyzing the stock’s performance, it is noteworthy that it is trading above various key simple moving averages (SMAs), including the 5-day, 10-, 20-, 30-, 50-, 100-, 150-, and 200-day SMAs. The 14-day relative strength index (RSI) stands at 76.12, indicating overbought conditions, as levels above 70 are considered overbought. The stock’s price-to-equity (P/E) ratio is 84.77, with a price-to-book (P/B) value of 1.68.

In conclusion, YES Bank shares closed with a notable gain of 5.24% at Rs 25.49, underlining the positive momentum in the market.

Leave a Reply

Your email address will not be published.