Yes Bank share price rose by 15% in 3 days. Experts caution

According to stock market experts, there can be a lot of volatility in the share price of Yes Bank due to the lock-in of three years. ICICI Bankaxis Bank, HDFC bank, IDFC First Bank is ending this month on 13th March. They further say that these private lenders bought stake in Yes Bank 10 And It’s Up Now 18, which means these private banks have a chance to book profits after the three-year lock-in is over. However, some experts believe that these private banks will not sell their Yes Bank shares immediately after the end of three years, as they will do with Yes Bank’s fourth quarter results.

On why Yes Bank share price is rising, Avinash Gorakshkar, head of research at Profitmart Securities, said, “Yes Bank share rally is purely speculative as there is no such change in the fundamentals of the private bank. In fact, Yes Bank It’s a rally in bank stocks.” There could be a good opportunity for shareholders who had bought Yes Bank shares during the December 2022 rally when the private lender sold its 40 per cent stake in Dish TV to JC Flowers.

When asked why he is advising Yes Bank shareholders to exit this rally, which entered the December rally, Avinash Gorakhkar said, “Three-year lock-in of ICICI Bank, IDFC First Bank, axis BankHDFC Bank etc are coming in fast and some profit booking is expected from these banks as they have bought Yes Bank shares at approx. 10 each level.”

However, Ravi Singhal, CEO, GCL Broking, said there may not be immediate profit booking by these private banks whose three-year lock-in ends on March 13, 2023. Ravi Singhal said a lot would depend on the Q4FY23 results of the private lender. If it manages to report an improvement in its NIM, it may look at private bank holdings yes bank Share for longer.”

But yes bank Share Price Chart Sumeet Bagadia, Executive Director, Choice Broking said, “Yes Bank shares have found immediate support. 16 while its head is placed on the support 15 each level. Those having this stock in their portfolio are advised to hold the stock ahead and upgrade their trailing stop loss 16 as Yes Bank shares may rally if it breaks 20 each level.”

However, Sumit Bagadia advised new investors to wait and buy Yes Bank shares on the upside 20 levels to aim for 24 in the short term.

Disclaimer: The views and recommendations given above are those of individual analysts or broking companies and not of Mint. We advise investors to do due diligence with certified experts before making any investment decision.