YES Bank shares fall 4% after Q1 results; brokerages raise target prices by up to 30%

YES Bank shares target price: Private sector lender YES Bank Ltd tumbled as much as 4 per cent during the trading session on Monday after the company announced its June 2026 quarter results on Saturday. However, the stock pared some gains as the session progressed led by some rating upgrades and target price hikes.

YES Bank Q1 results
Yes Bank reported a 33.7 per cent year-on-year (YoY) jump in standalone net profit to Rs 1,071 crore for the quarter ended June 30, 2026. Net Interest Income (NII) grew 17.5 per cent YoY to Rs 2,786 crore, while the net interest margins (NIM) improved to 2.7 per cent for the reported quarter. Asset quality remained stable, mostly unchanged on a sequential basis.

YES Bank share price
Shares of YES Bank Ltd plunged 3.85 per cent to Rs 22.72 on Monday, with its market capitalization slipping to Rs 71,000 crore. The stock has plunged nearly 12 per cent from its 52-week high at Rs 25.77 hit on a June 18, a month ago. However, the stock is up 8 per cent in 2026 so far.

YES Bank target prices after Q1 results
YES Bank's PAT beat was driven by improving core profitability and lower tax expenses, partly offset by higher-than-expected provisions. Credit cost increased to 56 bps due to sharply lower recoveries/upgrades to Rs 560 crore. Out of this, SR gains moderated to Rs 90 crore. While management reiterated FY27F SR recovery guidance of Rs 800-1,00 crore, moderating recoveries may potentially weigh on FY27 credit costs, said JM Financial.

"Retail disbursements remained robust, which management expects to translate into mid-teen retail growth over the next 3–4 quarters. Liquidity remained healthy, with average LCR improving to 138 per cent. While core operating trends continue to improve, uncertainty around future SR recoveries remains a key factor to monitor. We upgrade the stock to 'reduce' with a revised target of Rs 22," it added.

YES Bank PAT and PPOP was aided by lower tax rate, while slippages too improved. RoA improved to 0.9 per cent, but was lower QoQ. Loan growth accelerated to 18 per cent YoY, although, was largely driven by corporate. NII growth sustained its upward trajectory, aided by a YoY NIM uptick, said ICICI Securities which has maintained its 'hold' rating and revised target price of Rs 24.

To recall, JM earlier had a 'sell' rating on YES bank and revised its target price by 30 per cent from Rs 17 earlier. ICICI Securities has pushed its price target by 14 per cent from Rs 21 earlier.

Despite higher credit growth, YES Bank posted a PAT miss, mainly due to higher provisions on account of slower SR recoveries and staff cost. NIM was flat but remains relatively soft. Headline asset quality was stable, though SME witnessed uptick in slippages, said Nuvama Institutional Equities.

"Management expects growth to remain strong and has guided for 1 per cent RoA in FY28. Given weak core profitability and valuations ahead of fundamentals, we maintain ‘reduce’ with a target of Rs 22 per share," it added. "We believe court judgement on AT1 bond issue and any potential increase in stake by SMFG will be key monitorable." 

Overseas brokerage firms like Morgan Stanley has an underweight rating on YES Bank with a target price of Rs 15, suggesting a 37 per cent crash in the stock. Citi also has a 'sell' rating on it with a target price of Rs 22. Among other domestic brokerage firms, Axis Capital has a 'buy' rating on the stock with a target price of Rs 28, suggesting a 20 per cent upside potential in it.