YES Bank stock was trading 2.7% lower in Friday's afternoon session, after 6 days of consecutive gains, tracking muted cues from Sensex and Nifty.
Amid weakness in broader indices, YES Bank share price opened at Rs 14.23, and touched an intraday high of Rs 14.34. However, the stock erased gains and fell 2.7% to the intraday low of Rs 13.97 as against the earlier close of Rs 14.35 on BSE.
Shares of the private lender that have been trading in single digits this year hit a 52-week high of Rs 87.95 and a 52-week low of Rs 5.55.
YES Bank shares have risen 16% in one week and 10% in one month. However, since the beginning of the year, YES Bank stock has declined 70%. YES Bank stock price is trading higher than 5, 20 and 50-day moving averages but lower than 100 and 200-day moving averages. Market capitalisation of the lender stood at Rs 35,878.63 crore as of today's session.
Yes Bank shares have been gaining in the last few sessions amid reports of inclusion in MSCI India index.
As many as 12 companies, including YES Bank, were added to the MSCI India Index, as per the latest MSCI Global Standard Index rejig announcement. This helped the stock gain momentum as inclusion in the MSCI Global Standard Index, widely used by international fund houses for benchmarking global equities portfolios, could attract fresh inflows of capital from overseas into the private lender. All changes in constituents for the MSCI global standard indices will be implemented on the close of November 30, 2020.
Further, the stock of the troubled lender was on a rise after CARE Ratings revised its rating on the lender's debt instruments. The rating agency revised the bank's infrastructure bonds rating to 'CARE BBB' from previous 'CARE B'. Also, the brokerage revised YES Bank's outlook to 'Stable' from previous "Under Credit watch with Developing Implications" on the above-mentioned instruments. It has also given 'CARE BB+' rating each on YES Bank's Upper Tier II Bonds and Perpetual Bonds (Basel II) from previous 'CARE D'.
Last week, the lender also denied media allegations suggesting that the troubled private sector lender was gearing up to sell its non-performing assets (NPAs) worth Rs 32,344 crore to asset reconstruction companies (ARCs) or other potential investors.
YES Bank said, "The Bank would like to clarify that the Bank in its normal course of business explores options of selling NPAs to ARCs as it may deem necessary."
In the first week of November, shares of YES Bank fell continuously after the lender reported its June-Sept quarter earnings. The lender posted a net profit of Rs 129.37 crore in the September quarter compared with a Rs 600.08 crore loss posted for the same period last year.
On a quarter-on-quarter (QoQ) basis, profit jumped 183% against Rs 45.44 crore in Q1 of current fiscal. Asset quality improved amid a decline in provisions during the September quarter of the current fiscal.
Sequentially, YES Bank's net interest income (NII) rose 3.4% to Rs 1,973 crore in Q2 from Rs 1,908 crore in the previous quarter. On a yearly basis, NII was down by 9.7% from Rs 2,186 crore.