YES Bank shares snap two-day fall; analysts advise caution on near-term outlook

Shares of YES Bank Ltd traded higher in Monday's early trade, snapping a two-day losing run. At last count, the stock was up 1.36 per cent at Rs 21.60. Despite the uptick, YES Bank shares have declined 4.64 per cent over the past six months, underperforming the benchmark NSE Nifty50, which has gained 5.18 per cent during the same period.

The Reserve Bank of India (RBI) has recently approved the appointment of Vinay Muralidhar Tonse as the new Managing Director and Chief Executive Officer of the Mumbai-based private sector bank.

On the financial front, YES Bank's net profit rose 55.42 per cent year-on-year (YoY) to Rs 951.62 crore, while net interest income (NII) increased 10 per cent YoY to Rs 2,223 crore. The bank's net interest margin (NIM) improved by 10 basis points (bps) to 2.6 per cent during the quarter.

Gross non-performing assets (NPAs) edged lower to 1.5 per cent, while net NPAs stood unchanged at 0.3 per cent on a sequential basis. Total deposits grew 5.5 per cent YoY to Rs 2.92 lakh crore as of December 31, 2025.

Some market experts, however, remain cautious on the stock's near-term prospects. Kranthi Bathini, Equity Strategist at WealthMills Securities, advised existing investors to continue holding their positions but cautioned against fresh buying at current levels, noting that the stock is suitable only for high-risk investors.

From a technical perspective, Osho Krishan, Senior Analyst – Technical & Derivative Research at Angel One, said the stock faced rejection near the strong resistance zone of Rs 24 and is currently positioned around its 200-day exponential moving average (DEMA). He warned that a breakdown below the Rs 20.70–20.50 range could trigger further selling, with potential downside towards the Rs 19–18 zone. On the upside, he said a decisive move above Rs 22–22.50 could only allow the stock to retest the Rs 24 level.

Echoing a cautious stance, AR Ramachandran, part-time Sebi-registered research analyst at Tips2trades, said YES Bank remains bearish on daily charts, with strong resistance at Rs 22. A daily close below Rs 20.68 could push the stock towards Rs 18.7 in the near term.

Meanwhile, Ravi Singh, Chief Research Officer at Mastertrust, stated that the stock could move towards an upside target of Rs 23.50 in the near term, recommending existing investors to hold their positions.