Shares in YES Bank Ltd rose as much as 13.74 per cent to Rs 245, the highest since October 17.
The private sector bank named head of Deutsche Bank India, Ravneet Gill, as its new chief executive on Thursday.
“We view the appointment of Ravneet Gill as a key positive, because it removes succession uncertainty,” Citi Research said in a note.
Jefferies cut the target price to Rs 275 from Rs 285, stating that while the appointment is a positive development, one awaits the strategy from the new CEO for further clarity.
YES Bank's stock has seen a rough wave over the last few months due to a squabble with the RBI over current CEO Rana Kapoor's tenure, which had also led to several board departures.
The bank's shares tumbled over 30 per cent on September 21 after the central bank reduced Rana Kapoor's term, creating uncertainty about its outlook.
On September 28, shares of YES Bank plunged to their lowest since April 2016, before closing 9.6 per cent lower after Rana tweeted that he remained committed to interests of the bank and its stakeholders.
The lender recovered some of its market value on Thursday despite posting a 7 per cent drop in third-quarter profit. The stock is on track for its third consecutive session of gains.
About 82 million shares changed hands, compared with the 30-day average of around 50 million shares.
The stock was up 18.48 per cent this year as of the last close.