YES Bank’s shares were under the spotlight during the trading session on Wednesday as the private lender announced its operational performance for the quarter that ended on March 31, 2023. The stock was juggling between green and red in the early trading session.
YES Bank’s total loans and advances increased to Rs 2,01,523 crore in the March 2023 quarter, registering an increase of 5.2 per cent on a quarter-on-quarter (QoQ) basis from Rs 1,91,542 crore in the December 2022 quarter and a rise of 14 per cent on a year-on-year (YoY) basis from Rs 1,81,052 crore in the March 2022 quarter.
Gross retail disbursements during the quarter amounted to Rs 12,847 crores which stood at Rs 12,667 crore in the year-ago period and Rs 10,201 crore in the previous quarter, YES Bank said in the filing.
YES Bank’s total deposits increased 10.6 per cent on YoY basis to Rs 218,018 crore in the March 2023 quarter from Rs 187,192 in the same quarter last year. On a QoQ comparison, its total deposits grew marginally, a little more than 2 per cent from 2,13,608 crore, its exchange filing said.
Shares of YES Bank rose about 2 per cent at the opening tick on Wednesday To Rs 15.54, before slipping into negative territory to Rs 15.27 at 10.00 am. The scrip had settled at Rs 15.34 on Monday.
The total credit-to-deposit ratio increased to 92.4 per cent in the March 2023 quarter from 89.7 per cent in the March 2022 quarter and 91.8 per cent in December 2022 quarter. Its liquidity ratio stood at 126.3 per cent in the given period, higher than 123.3 per cent on a YoY comparison and 125.7 per cent on QoQ comparison.
Shares of YES Bank have dropped about 40 per cent from its 52-week high of Rs 24.75 hit on December 14, 2022. The stock is down 30 per cent in the year 2023 so far. However, in the last one year, it has delivered a return of about 20 per cent to the investors.
YES Bank’s three-year mandatory lock-in period expired on March 13, 2023, which resulted in a heavy influx of stock supply. In March 2020, the Reserve Bank of India (RBI) superseded YES Bank’s board due to the bank’s issues with deteriorating asset quality, inadequate capital and losses on its books.
Early predictions by Nuvama Institutional Equities suggest that YES Bank has a chance to move into the large-cap category, in the semi-annual review of index categorisation by AMFI in the first week of July.
Decoding the technicals for YES Bank, Sujit Deodhar, Head Technical Analyst at Wellworth Share & Stock Broking said that its quarterly charts have been consolidating for the past 12 quarters in the mother candle of March 2020. It can be observed that the stock has a major support placed Rs 8 level and a strong resistance at Rs 46 levels.
“During this consolidation phase, the stock witnessed a huge volume buildup, which can be interpreted as an accumulation at lower levels. Technical indicator MACD is still in sell mode but could see a positive crossover if the stock remains steady at current levels for a few more quarters,” he said.
Long term structure for this stock still remains subdued but there could be some price action from the trading perspective as the stock will be completing 13 quarters of consolidation by June end. Stop loss for this trade to be placed below Rs 5.50 level,” Deodhar added.
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