It was Birla PMS, am invested in that
I doubt this is the case.
Since 21st when stock started tanking only one insider trade for disposal of shares has happened (rest are either acquire/disposal in same quantities or pledging of shares). Sanjeev Pandey a Senior President at the bank sold 22,500 shares on 21st.
At least this is what is filed as Insider Trades.
I think there is a lot of rumour mongering going on. Lets wait and watch
disc: dont have ybl in my portfolio since jan 18.
Intention was to alert the investor friends that everything may not be alright with the Bank. Coming days/months would probably bring clarity to the issue.
Few of the investor friends’ advice is not to bottom fish now…
Simple thing to do, if you have concerns of cooking books , exit, lot of options available to create wealth.
If you think in 3 years time no one will even remember this, buy or hold and have peaceful sleep.
Either decision may be true or wrong, but sticking with it important…
Agree with you.
I think the situation is such that as gullible beings we are thinking that maybe we can catch the bottom and are wishing that things will turn positive and we will make a killing. Agree with what @Alphin says.
This is pure behavioral investing at play.
Personally I held YBL for a long time and then exited in Jan 18. Now I am itching to buy (only because of ~1.x PBV) despite knowing the concerns and the opacity of the future. Lets see how this pans out.
We should not give in to our biases
What are the conditions that you are assessing before buying this again or just waiting for the price to settle in? On a normal condition, I won’t ask such question. Considering the confused state of yes bank situation, your insights will be surely helpful for other members.
Disc: Still holding, didn’t panic sell, waiting for it to find a bottom and settle.
Could this be the real reason for such a fall in the stock. Yes bank has approx. 1800 crore loan exposure to ILFS which is defaulting on every loan.
Disc - Traded recently but no position.
Rs 1841 cr and not Rs 18,000 cr
It’s 18k million,
175-180looks good support.
Is currently short on yes bank with short call spread.
Just checked his official Twitter handle. They’re authentic.
Negligible exposure is positive to hear.
RBI wants to punish Yes Bank but IL&FS happens right under it’s nose and it is caught napping!
Also Kotak. Kotak Banks’s promoter has been sitting on 30% promoter stake and has created immense wealth by not diluting below 20% (as per rules). And RBI has given him such a long rope!
I am surprised to see that many investors are “waiting for clarity”.
We should always remember that equity investing is about “buying future uncertainty”. If and when the future is certain, price will not have any discount.
Contrarian Buy Call on YB.
The investors who are waiting are correct too Chirag. Price has been falling and it could go down more, there could be a support level, but times like these, it may or may not work, so why take unnecessary risks. Because here, there are more than one uncertainties.
I myself have purchased a few shares at 342 28 days ago, some at lesser price, some more at even lesser price and today purchased some again at 182. 46% fall.
A company is hardly ever fairly valued! It is always either over valued or under valued. And as we all know, when it is over valued, everyone is bullish and people want more of it and when it is under valued, no one wants it and all we hear is negativity.
Thing is, if the graph of the stock price is like a U then one will not be able to buy it at the bottom – right before the take off! Either one has to buy a bit early and see on paper losses of 10-20 percent or buy it a bit late and let go of the initial 10-20 percent gain.
Question everyone should ask is, is the Yes Bank franchise good enough so that it will bounce back? (E.g. like Jubilant Foods). It might take a 12-18 months but can it bounce back?
Personally I think it can.
I dont believe the rumors that the whole books is cooked! It is not possible. After all auditors have been auditing the account and they have not raised any flags! And of course they have not resigned! . Banks have always been monitored closely by the RBI and it has also been doing it own audits of the bank! People have accounts there. People have borrowed money from them. SEBI recently gave them approvals for starting mutual fund division.
Considering all this, I feel the fall is a great opportunity for people to buy for a 12-18 month period.
Retail investors like us always see historical charts and think “I should have bought ABC stock on that day”. But unfortunately we do no recognize when “THAT DAY” is in front of us in the present!
Rumour about Ms Kapur selling 0.04% of her shares appear to be correct.