All PSU banks are under PAC which will restrict them from lending untill government infuse further capital. Yes bank has only gray area in power sector exposure however due to high growth it will sustain net NPA figure. Find best in private banking space with current BV. CASA is improving every quarter.
Cheapest amongst the best ones. Risk Reward highest amongst private Banks.
Yogesh…EPS of RBL is growing at faster rate when compared to Yes Bank… while I have both in portfolio, which one is more appealing for further Investments.IMHO RBL is at stage where Yes Bank was around10 years back.
on counter side RBL is expensive.
Annual Report 17-18
Any Reason why ROE is on a continuous decline path?
In FY13 and FY14 Yes bank was leveraged and could not raise equity due to market conditions. FY15 onward, they raised funds and leverage came down. So did the ROE.
For a bank ROE is not very important. ROE is nothing but ROA * leverage. Your ROA should be good. Above 1.5 in Indian context is good. ROE of 16-18% over long term is fine.
Out of Total 4819 Cr divergence NPA reported by RBI in yes Bank books for March 2017 in Oct 2017… As per Yes Bank , 485 Cr is classifies as NPA as on 31-3 2018 , all balance are either received back as payments or upgraded as standard account and 8% is sold to ARC…
485 Cr is left out of total 6355 cr ( Yes declared 1072 + RBI 5891, Net divergence 4891)
@Yogesh_s Proxy advisory firm SES has raised concerns that Yes Bank is going to dilute way too much 8% equity in the latest efforts to raise capital.
In my understanding, Yes Bank has diluted equity in the past as well to feed its massive growth engine. So the latest round is no big deal.
Please share your thoughts.
What is a proxy advisory firm?
Too strong words, imho. BTW, Nirmal Bang Securities was bullish on Yes Bank a few years earlier. " I think it’s a good stock in the banking space - Nirmal Bang Securities" . I believe the writer you quoted was head of Equity Research at Nirmal Bang at that time.
Before quoting/believing an analyst, fund manager or expert, one may look deeply at the past track record. Views on HDFC bank on the related website’s home page are very interesting.
Company has redeemed the following bonds on exercise of call option after receiving approval from RBI. How should this move be viewed in the interest of the stock?
Kudos to RBI for demonstrating stringency in auditing and policing various banks including Yes Bank. A normal investor would find it difficult to understand bank’s book (if the auditor struggle to understand the book, where the individual investor stands). I am sure current Yes Bank’s auditor will be in the frame for huge divergence reported by Yes Bank.
YES BANK receives SEBI approval to launch Mutual Fund business
Upgraded to Highest Care AAA Rating from Care AA +for Infrastructure Bonds and Tier II
Bonds (Basel III)
Upgraded to Care AA + Rating from Care AA for Perpetual and Additional Tier I Bonds
Not a surprising event. I think YBL has tried to control coverage earlier too.
The heading of the news article makes it look as if Yes Bank is a total villain here. But that may not be the case:
- UBS publishes a report on Yes Bank with certain factual inaccuracies
- Yes Bank writes to UBS asking them to fix the errors
- UBS fixes them but only partially
Yes Bank decides to complain against UBS.
While Yes Bank should not have contacted UBS directly, UBS should also have taken care to not publish factually incorrect numbers.
Also as per the article, “UBS analysts persistently put out negative reports on the bank and such reports were allegedly timed for issuance around certain market/ corporate events in a way that caused the maximum damage to Yes Bank.”
I have full confidence in the leadership of YES bank. Incidentally, to best of my knowledge, they are the only one in the country producing Knowledge reports on a large number of sectors. The reports are of a top quality. That shows the professional competencies of the team. Many reports are available on their website.
Disc : invested since long and adding at all declines.
After Yes Bank’s complaint, if UBS had not made any change to their report, that would have been credible. But the fact that UBS did so puts a question mark on their credibility. Who’s to say the numbers in the report are still not wrong? In any case, BSE has asked for a clarification from Yes Bank based on the article.