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Yes Bank shares are up 9% in a month but analysts remain wary despite strong Q4The bank has guided for loan growth of 13-15%, supported by margin tailwinds from the rundown of the Rural Infrastructure Development Fund (RIDF) book and lower funding costs.By Meghna Sen  April 20, 2026, 11:30:40 AM IST (Updated)2 Min Read(Photo Credit : Yes Bank | In May this year, SMBC or Sumitomo Mitsui Banking Corporation (SMBC) of Japan, announced that it will acquire up to 20% stake in Yes Bank, from a consortium of lenders, who had rescued the bank from a liquidity crisis back in 2020. It later signed another definitive agreement to acquire another 4.2% stake, which would take its shareholding in the private lender to 24.2% for a total investment of nearly ₹15,000 crore.)Shares of Yes Bank Ltd., the Mumbai-based private lender, are trading higher on Monday, April 20, extending gains for the fourth consecutive session.

The bank reported a strong performance for the March quarter and full year FY26, with improvement across key metrics. Fourth quarter (Q4) net profit rose 45% year-on-year (YoY), while net interest income (NII) grew 16%.

Net interest margins (NIM) stood at 2.7%, while operating profit increased 23%. The cost-to-income (C/I) ratio came in at 66.7%.

Advances grew 11% and deposits rose 12%, with current account savings account (CASA) deposits crossing ₹1 lakh crore. Asset quality also improved, with gross non-performing assets (GNPA) at 1.3% and net non-performing assets (NNPA) at 0.2%.

Management commentary remained constructive, with a focus on stable and sustainable growth.

The bank has guided for loan growth of 13-15%, supported by margin tailwinds from the rundown of the Rural Infrastructure Development Fund (RIDF) book and lower funding costs.

Brokerage views

Nomura has a 'Neutral' rating on the stock with a price target of ₹21. The brokerage mentioned improving fundamentals and broad-based strength across growth, margins and profitability, but noted that core return on assets (RoA) at 0.95% is still catching up.

It added that while multiple levers for profitability are in play, a sustainable RoA profile will take time to build. Execution under the new management remains a key monitorable.

Morgan Stanley has an 'Underweight' rating with a price target of ₹15, citing valuations that it believes are ahead of fundamentals.

JPMorgan also maintains an 'Underweight' stance with a price target of ₹18. The brokerage said that Q4 performance beat its estimates.

Yes Bank reported an RoA of around 1% for the first time since its reconstruction, although this was supported by recoveries from security receipts (SR). JPMorgan said that the sustainability of these levels remains a key factor to watch, especially with potential risks emerging from the micro, small and medium enterprises (MSME) segment amid supply chain disruptions.

The brokerage also believes current valuations at 1.2 times price-to-book (P/B) for FY27 already factor in much of the expected balance sheet growth and RoA improvement.

Of the 12 analysts tracking the stock, two have a 'Buy' rating, two have a 'Hold' rating, while eight recommend 'Sell'.

Shares of Yes Bank were last trading 0.54% higher at ₹20.30. The stock remains down around 6% so far in 2026.Continue ReadingNote To ReadersDisclaimer: The views and investment tips expressed by investment experts on CNBCTV18.com are their own and not that of the website or its management. CNBCTV18.com advises users to check with certified experts before taking any investment decisions.First Published: Apr 20, 2026 11:23 AM ISTTagsshare market todayYES BankYes Bank Share PriceYes Bank Shares