Yes Bank Share Jumps 8%, Hits New 52-Week High

Yes Bank’s stock touched a new milestone on Friday, jumping 8 per cent in a single day and reaching its 52-week high. This sharp rise comes as investors show renewed confidence in the private sector lender, which has spent the past few years rebuilding its foundations after a difficult phase of financial turbulence.

The bank’s shares surged to their highest level in a year, closing at around ₹28.70 on the Bombay Stock Exchange (BSE). The rally has placed Yes Bank among the top gainers in the financial sector this week, drawing attention from market watchers and retail investors alike.

Several factors appear to have contributed to this rally. Firstly, the recent progress in Yes Bank’s digital expansion and steady improvement in its loan quality have lifted market sentiment. Analysts believe that the bank’s consistent effort to reduce bad loans and strengthen its balance sheet is gradually paying off.

Secondly, broader market optimism has played a role. The Indian stock market has been performing well, supported by strong corporate earnings and improved economic data. Financial stocks, in particular, have benefited from expectations of stable interest rates and robust credit growth.

The bank’s recent quarterly results also displayed a healthier picture. Net profit rose by double digits year-on-year, non-performing assets reduced further, and the deposit base expanded steadily. This upward performance has made many investors rethink their earlier cautious stance on the stock.

It is important to remember that Yes Bank’s current success follows years of rebuilding. The lender was once one of India’s fastest-growing private banks but faced a severe crisis in 2020 due to rising bad loans and governance issues. The Reserve Bank of India (RBI) had to intervene, leading to a major restructuring supported by other domestic banks.

Since then, Yes Bank has been steadily working on restoring trust. It has cleaned up much of its balance sheet, strengthened its management, and focused on prudent lending. The bank’s leadership has repeatedly stated that the goal is long-term stability rather than short-term growth.

Analysts advise cautious optimism. While the 8 per cent rise is impressive, experts argue that the stock’s long-term sustainability will depend on how effectively the bank maintains asset quality and continues to grow its retail and SME loan portfolios.

Market experts also note that investor interest often grows when a formerly troubled company shows visible signs of improvement. Yes Bank’s turnaround efforts have made it a potential comeback story for many retail investors who had once written it off.

However, some analysts warn that the bank still faces challenges in scaling profitability to match larger peers such as HDFC Bank or ICICI Bank. Maintaining growth without taking undue risks remains the key task for Yes Bank’s management team.

For Yes Bank, the 52-week high is not just a number—it reflects growing faith in its recovery journey. It signals to the market that the bank’s transformation strategy is beginning to yield visible results. While there is still a distance to cover before it reclaims its former position among India’s top private lenders, the current momentum provides a solid foundation for the next chapter in its growth story.

With inputs from agencies

Image Source: Multiple agencies