Yes Bank shares: Experts see big opportunity to mint money next week
6 min read . Updated: 04 Mar 2023, 11:58 AM IST
Premium- Yes Bank share price today has strong support placed at ₹15 apiece levels, say stock market experts
Yes Bank shares are expected to remain in focus when Indian stock market opens next week. As three years lock-in of State Bank of India (SBI) exposure in Yes Bank is expiring on 6th March 2023, Dalal Street observers are expecting SBI to offload some shares on Monday. Similarly, three years lock-in of shareholding of Axis Bank, ICICI Bank, IDFC First Bank, HDFC Bank, etc bank is also expiring this month. So, market is expecting some profit booking from these banks as well. Hence, sell off pressure is expected to continue in Yes Bank shares in next few sessions.
According to stock market experts, Yes Bank has strong support at ₹15 apiece levels and any dip around ₹15.50 to ₹16 per share should be seen as buying opportunity by positional investors as these banks might offload their entire shareholding in Yes Bank immediately after the end of lock-in period. They went on to add that Yes Bank share price may come under pressure due to stake cut speculation by these banks but positional investors should maintain stop loss at ₹15 and keep on accumulating on every big dip for medium term target of ₹20 to ₹22 per share levels.
Speaking on Yes Bank share price outlook, Avinash Gorakshkar, Head of Research at Profitmart Securities said, "SBI and other banks took position in Yes Bank to bail it out from the crisis. In last three years, Yes Bank's financial condition has improved and there is long way for the bank to become a profit making bank. So, SBI, ICICI Bank, HDFC Bank, IDFC First Bank may not offload their entire stake at random. In fact, I am expecting them to wait for the Q4FY23 results of the Yes Bank. Only after that, they may take any decision in regard to profit booking. Because keeping their stake unchanged after the end of lock-in period might spark fresh buying in Yes Bank shares."
Advising buy on dips strategy to positional investors, Ganesh Dongre, Senior Manager — Technical Research at Anand Rathi said, "Yes Bank share price has strong support placed at ₹15 apiece levels. So, those who have this stock in their portfolio are advised to maintain stop loss at ₹15 and keep on accumulating on every big dip as stock is looking in uptrend on chart pattern. For those who want to enter in Yes Bank, share price falling around ₹15.50 to ₹16 would be a big opportunity for such fresh investors. In case, the stock falls below ₹15 apiece levels, then my suggestion is to accumulate more around ₹13 to ₹13.50 apiece levels maintaining stop loss at ₹12 as we might see sharp rebound in Yes Bank stock price if any speculative fall takes place in the banking scrip in upcoming sessions."
Anand Rathi expert maintained that Yes Bank share price may witness strong bounce back and may go up to ₹20 to ₹22 apiece levels in medium term or say in next two months.
Yes Bank share price bounced back last week after bottoming out at ₹16 apiece levels. But, profit booking triggered on Thursday last week as SBI's three year lock-in ends on Monday next week. In fact three years lock-in for IDFC First Bank, ICICI Bank, Axis Bank, HDFC Bank, etc. is also ending on 13th March 2023.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.