Following the results, major brokerage firms, including Morgan Stanley, Emkay, and JM Financial, have issued their recommendations and price targets. The overall outlook on the stock remains largely bearish.
As of 12:20 PM on April 20, the stock was trading 0.2 per cent higher at Rs 20.23.
Morgan Stanley: Sees around 26 per cent downside
Morgan Stanley has maintained an “underweight” rating on Yes Bank with a target price of Rs 15, implying a downside of approximately 25.9 per cent from the current market price.
According to the brokerage, the bank’s core operating performance met expectations, although profit after tax missed estimates by around 2 per cent due to one-off provisions. Loan growth stood at 11 per cent year-on-year, while deposits rose 12 per cent, and the CASA ratio improved to 35 per cent. Asset quality is gradually improving despite slightly higher slippages. The brokerage added that while profitability recovery is ongoing, valuations appear expensive and growth remains below industry levels, raising concerns about sustainability.
Emkay: Maintains ‘SELL’ rating
Emkay Global Financial Services has assigned a “sell” rating to Yes Bank with a target price of Rs 20, indicating a marginal downside of about 1.2 per cent.
The brokerage noted that the bank has shown improving fundamentals, with loan growth of 11 per cent year-on-year driven by corporate and SME segments, along with a modest recovery in retail lending. Asset quality is improving, although stress in the retail segment remains elevated. Despite better growth and margins, Emkay remains cautious due to the bank’s still sub-optimal return profile and potential sustainability risks.
JM Financial: Bearish Outlook
JM Financial has also given a “sell” rating on the stock with a target price of Rs 17, which suggests a downside of around 16 per cent from current levels.
Yes Bank Q4 FY26 Results
Yes Bank reported a net profit of Rs 1,068 crore for the March 2026 quarter, registering a 44.8 per cent increase from Rs 738 crore in the same period last year. This growth was supported by lower credit costs and improved operating performance.
For the full financial year, the bank’s net profit rose 44.5 per cent to Rs 3,476 crore, while return on assets improved to 0.8 per cent from 0.6 per cent in the previous year.
The bank’s net interest margin for the quarter stood at 2.7 per cent, compared to 2.5 per cent in the corresponding period last year. Total income saw a marginal rise to Rs 9,381 crore in Q4FY26 from Rs 9,356 crore a year earlier.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money-related decisions.)
