I think people should stop reading too much into common employees buying and selling few stocks. First person might be having some extra cash and other guy might be sitting on hefty profit on his ESOPs and now sold it. People pledge their holding to raise cash as well. Doesn’t mean a thing. In all probability, they are people like us and has been with the bank for majority of it’s existence. Yes Bank is well known in banking circles to reward its people with big bonuses (bigger than market trends) and promotions.
Bigger picture is that bank is undergoing leadership transition (somewhat forced by RBI) and this is leading to a major reaction by the market. Of course, there are some things wrong with the Bank, but my bet is that they can deal with them adequately. Being the best paymaster in the industry, bank is filled with talented people all across verticals and horizontals such as business people, Credit, compliance, treasury, trade, project finance and branch services. As an ex- yes bank employee, I can vouch for it. Whole world knows that yes bank cost of fund is higher than the rest, but still it is next to impossible to take over their business due to quality of service.
So as an ex- employee, I can assure you that Yes Bank is now too big an organization to be dependent on one person. Next 4-6 quarters may be a bit tumultuous, but bank is more than capable of life with Rana Kapoor at top.
Ex- yes banker (2012-2015)