YES Bank shares reacts as lender makes key appointment; details here

Shares of YES Bank rebounded on Tuesday after the private lender announced reappointment of Rama Subramaniam Gandhi as the part-time Chairman of the bank. YES Bank informed about the appointment on Monday, September 01 through an exchange filing, after the market hours.

"We would like to inform that RBI vide its letter dated September 01, 2025 has approved the re-appointment of Mr Rama Subramaniam Gandhi as the Part-time Chairman of the Bank for a further period from September 20, 2025 to May 13, 2027 at a remuneration approved by RBI," said YES Bank in the exchange filing.

Gandhi, who served as the Deputy Governor of the Reserve Bank of India (RBI) from 2014-2017, is currently a financial sector policy expert and adviser. He advises fintech entities, investors and funds on subjects ranging from financial regulations and Indian economy. Besides YES Bank, he is an independent director on the boards of several entities, it said.

Following the announcement, shares of YES Bank rebounded from day's low at Rs 19.37 to Rs 19.63 on Tuesday, with total market capitalization close to Rs 61,500 crore. The stock had settled at Rs 19.55 on Monday. The stock is up 20 per cent in the last six months, while it has gained 23 per cent from its 52-week low at Rs 16.02.

Recently, the Reserve Bank of India cleared Japan’s Sumitomo Mitsui Banking Corporation (SMBC) to acquire up to 24.99 per cent stake in YES Bank under the public shareholder category. The private lender had approved a share purchase agreement (SPA) between State Bank of India (SBI) and SMBC for the transfer of 4.13 billion shares (13.19 per cent stake) in May this year.

In a recent reporte, Emkay Global Financial Services retained a 'sell' rating on YES Bank's stock, setting a target price of Rs 17. The target implies a valuation of 1.2 times the bank's FY27 estimated adjusted book value (ABV). The brokerage firm cites YES Bank's sub-par growth and return ratios as key reasons for this rating.

YES Bank reported a 59 per cent year-on-year (YoY) jump in net profit to Rs 801 crore in June 2025 quarter, compared to Rs 502 crore in the same quarter last year. The private lender's net interest income (NII) grew 5.7 per cent YoY to Rs 2,371 crore, while non-interest income surged 46.1 per cent to Rs 1,752 crore for the quarter.

Commenting on the charts, Mileen Vasudeo, Senior Technical Analyst at Arihant Capital Markets said that YES Bank is maintaining a lower-top, lower-bottom formation on the daily charts, which is a sign of prevailing weakness. The momentum indicator RSI is negatively poised, and the stock is underperforming the benchmark indices.

"Given these technical indicators, traders are advised to hold their short positions at the current levels, with a stop loss at Rs 21. The stock has the potential to test the downside target range of Rs 14-12 in the coming weeks to months," he said.