Yes Bank share price jumps 5% after Q1 results 2024. More steam left?

Stock market today: After announcing better-than-expected Q1 results 2024 on Saturday, Yes Bank shares witnessed strong buying in the early morning session on Monday. Yes Bank share price today opened upside at ₹25.90 and climbed to an intraday high of ₹25.99 within a few minutes of the Opening Bell, logging an intraday rise of nearly 5 percent. However, Yes Bank shares couldn't sustain at higher levels for long. The banking stock retraced from the intraday high after the profit-booking trigger and touched an intraday low of ₹25.36 per share on NSE.

According to stock market experts, Yes Bank shares are rising after announcing strong Q1 results 2024 on Monday. They said Yes Bank has improved its CASA, meaning its funding cost decreased in the previous quarter. So, the market is expecting a rise in the profitability of the private lender in the short to medium term. Yes Bank also reported improved asset quality, which is good from a business and revenue perspective. They said that Yes Bank share price has been sustaining above its Friday's close, which means one can expect a bounce back in Yes Bank shares if it closes above the ₹25 apiece mark.

Why is Yes Bank share price rising?

On reasons that are fueling Yes Bank share price rally, Avinash Gorakshkar, Head of Research at Profitmart Securities, said, “Yes Bank shares are rising after the positive Q1 results 2024. The private lender reported a rise in net profit yearly and quarterly. The private lender also registered a rise in its interest income. The private lender has reported improvement in its CASA, meaning its funding cost decreased in the recently ended Q1FY25 quarter. So, the market expects this improved CASA to fuel the profitability of Yes Bank in the short to medium term.”

Yes Bank share price target

Speaking on the outlook of Yes Bank shares, Sumeet Bagadia, Executive Director at Choice Broking, said, “Yes Bank share price today opened above its Friday's close, and it has been sustaining above that close price. So, fresh entry is advised with a stop loss of ₹23. Yes Bank shareholders can also hold the position, maintaining a stop loss at ₹23. Yes Bank shares are expected to bounce back strongly if they sustain above ₹25 on Monday.”

Bagadia said that if Yes Bank shares bounce back from today's lows, they may soon touch ₹28 and ₹30 apiece.

Yes Bank Q1 results 2024

Yes Bank reported a standalone net profit of ₹502.43 crore for Q1FY25 (quarter ended June 30). This was up 46.4 percent compared to the ₹342.52 crore profit after tax (PAT) reported by the Bank in Q1FY24. Further, the interest earned in Q1FY25 was reported at ₹7,719.15 crore, up 19 percent from ₹6,443.22 crore in Q1FY24. The lenders' standalone net interest income (NII) is up 12.2 percent year over year to ₹2,243.9 crore, compared to ₹2,000 crore in the same period last year.

Yes Bank's CASA ratio in Q1FY25 stood at 30.80 percent, compared to 29.40 percent in the corresponding period of the previous fiscal year and 30.90 percent in the last quarter.

Disclaimer: The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.