Yes Bank Launches Simsepay for Rural Users

In order to aid rural people get over the cash crunch, Yes Bank   has launched a latest digital transaction service through mobile phones that do not require an Internet connection. Named as SIMsePAY, the technology is based on wafer-thin sticker fixed to any SIM card of a telecom provider that sources information from a co-branded prepaid wallet linked to it.

In Dehradun, Yes Bank launched a pilot of the service with a co-operative bank and will take it wide across the country. SIMsePAY permits any account holder to transfer money, pay utility bills and other mobile banking services, without the requirement of smartphones or Internet. It is a part of the government's digital payments drive. The offering is based on a frugal 'sim-sleeve' technology, in association with Taisys Technologies.

The bank plans to garner a base of 500,000 SIMsePAY users by 2017. With the launch of SIMsePAY along with co-operative bank tie-ups all over the country, Yes Bank will effectively aid the country's ongoing transition to a less-cash society, and eventually a cashless India. SIMsePAY will look after the large section of Indian population who remain unbanked or under banked on account of lack of access to smartphones and mobile Internet as close to 650 million are feature phones, Yes Bank said. Yes Bank plans to launch pilots in Bihar, Arunachal Pradesh and Goa over the next 10 days.

Intraday on Thursday, Yes Bank share price is trading at Rs. 1171.75, down by 0.18 per cent and touched the day’s high and low at Rs. 1184.75 and Rs. 1161.00. Around 14,31,675 shares aere traded in the counter with a traded value of Rs. 16,771.79 lacs, as per NSE.

Dynamic Levels have identified Yes Bank is one of the top 500 performing stocks for this quarter. For further details on the stock, refer to Yes Bank share price history.

Yes Bank Grows strong amid Banking Security Breach

Amid the buzzing worries of all the PSU banks regarding bad loans, mergers, NPAs and also the newest devastating news of debit card scam in both private and public banks, banking sector is in a state of confusion. The debit card scam has also put a question mark on the cashless policy being favoured by the Government. The quest of the Country to become a cashless economy has been dealt a blow by a data breach that compromised as many as 3.2 million debit cards.

In the meantime, the private sector bank, Yes bank posted a rather successful quarter (Q2FY17).

YES Bank has moved higher by 2.5 per cent to Rs 1,324 on the National Stock Exchange (NSE) after the bank reported a better-than-expected 31 per cent year on year (YoY) growth in its net profit at Rs 802 crores for the quarter ended 30^thSeptember, 2016 (Q2 of FY17). The private sector lender had profit of Rs 610 crores in year ago quarter.

In a statement to the both the stock exchanges on 20^th October 2016 Yes Bank concluded Net Interest Income grew 30.5 per cent YoY to Rs 1,446 crores on back of robust growth in advances & CASA. Net interest margin (NIM) expanded to 3.4 per cent in Q2FY17 from 3.3 per cent a year ago.

Analysts on an average had expected profit of Rs 764 crores on net interest income of Rs 1,376 crores.

Gross non-performing advances (GNPA) stood at 0.83 per cent in Q2FY17 against 0.61 per cent in Q2FY16 and 0.79 per cent in Q1FY17.

The Net non-performing advances stable at (NNPA) at 0.29 per cent as at second quarter of the FY17, as compared to previous quarter. It was 0.20 per cent in the same time of the previous year.

According to Rana Kapoor, the Managing Director and CEO, YES Bank the Bank achieved an important milestone with CASA ratio crossing 30 per cent for the first time to 30.3 per cent. It demonstrates improving productivity and efficiency of our retail liabilities/branch banking growth engines.

By the end of the day Yes bank share price closed at Rs 1,317.40, up by 0.49 per cent or 6.40 points. He intraday high of the share is Rs 1,320.00 and the intraday low is Rs 1,297.00 for 21st October 2016.

Dynamic Levels research and analysis team has identified Yes bank as a top 500 stock due to its strong fundamental Data.

Yes Bank Q2 Net Soars 32%, Beats Estimates

Yes Bank, private sector lender, reported better-than-estimated earnings for the September quarter (Q2) on the back of of 31 per cent growth in the bank’s net interest income, thereby sending its 2 per cent shares higher. 

The net profit of Yes Bank grew 32 per cent annually to Rs.802 cr in Q2, as compared to Rs.610 cr in the year-ago quarter. The bank’s NII - net interest income, the excess of interest earned over interest paid on the deposits, grew to Rs. 1,446 cr, as against Rs. 1,108 cr year-on-year (YoY). Meanwhile, Yes Bank share price was trading 1.97 per cent higher at Rs.1316.95 on the NSE today.

Market analysts had estimated Yes Bank's net profit at Rs. 777 cr, while its NII was seen growing to Rs. 1,388 cr. Another market analyst said that it had outperformed the industry in terms of profit growth, asset quality and loan growth. The valuation of the bank could improve further if it maintains this kind of growth, he added.

Other income, which includes fee incomes from selling 3^rd party products, forex gains and financial advisory fees, hiked 44 per cent to Rs. 888 cr as compared to Rs.618 cr last year.

Meanwhile, asset quality of the bank also remained stable in the Q2 -September quarter. Its GNPA - gross non-performing assets as a per cent of total advances stood at 0.83 per cent as compared to 0.79 per cent in the June quarter. On an absolute basis gross bad loans rose to Rs. 917 cr as against Rs. 844 cr sequentially.

Net NPA of Yes Bank, which is gross NPA minus the provisions, remained steady sequentially at 0.29 per cent of total advances.

In order to seek information about the support and resistance levels of the share and also its financials and fundamentals, please a pay a quick visit to Yes Bank share price history.

Yes Bank To Raise Rs.330 Cr through Green Infra Bonds

Yes Bank is planning to raise Rs.330 cr (USD 50 million) by issuing a seven-year term green infrastructure bond to the Dutch Development Bank - FMO, on a private placement basis.

Yes Bank said in a release in New Delhi that FMO will be investing in Yes Bank's bonds via FMO's own sustainable bonds. It added that the definitive agreement was signed today at the 4^thedition of FMO's Future of Finance conference which is being held in Katwijk, the Netherlands.  

This is FMO's very first investment in a green bond issued by an Indian bank. 

Yes Bank said that it shall raise the amount to finance green infrastructure, including wind and solar projects. This issuance shall be externally assured. The bank added that an external annual review and monitoring shall be undertaken on the use of proceeds along with the Green Bond Principles 2016.

This is Yes Bank's 3rd such green bond issuance in the past 18 months after its successful maiden issuance of Rs.1,000 cr (USD 160 million) in February 2015 followed by the Rs.315 cr private placement to IFC - International Finance Corporation in Washington in August 2015.

Meanwhile, Yes Bank share price was trading 1.02 per cent higher at Rs.1248 on the NSE today. 

Yes Bank MD and CEO Rana Kapoor said that this was the first ever investment by FMO, the Netherlands, in a green bond in their country following IFC. He added that Yes Bank has been diligently working to evolve even more effective and innovative financing structures for speeding up sustainable energy financing in India.

Yes Bank had committed, on the occasion of COP21, to mobilise USD 5 billion from 2015 to 2020 for climate action via lending, investing and raising capital towards adaptation, mitigation and resilience. 

For more details, visit Yes Bank share price history.

Yes Bank, Still Fighting the Fate Battle

Last week, the QIP issue already created a stir in the market. It was anticipated to be a smooth exercise but ended in a shambles with the share sale having to be discarded on September 8, less than 24 hours after being launched. Yes Bank shares which had risen to stratospheric heights in the last financial year, took an alarming plunge this year. Yes Bank share price kept on falling since last week, and it was hoped that its deferment would pull the stock out of the red, but all the anticipations went in vain. Intraday on Monday the stock continued to follow the trend that it has set, trading below 4.53% at Rs. 1,218.45. Considering today's fall, Yes Bank's shares are down close to 20 per cent in four days.

The sentiment in Yes Bank shares took a beating post the private sector lender last week postponed its plans to raise $1 billion (Rs 6,600 crore) through QIP (qualified institutional placement), quoting utmost volatility in trading because the new guidelines were misinterpreted. The issue was pulled on after following the advice given by merchant bankers. Some analysts also attributed the fall in Yes Bank shares to profit-taking after the shares of the lender nearly doubled year to date. Analysts are of the view that Yes Bank trades attractively at 3.4 times its FY17 estimated book value.  It holds fundamentally strong position and 25 per cent-plus growth rates are achievable for the lender.

Yes Bank share price opened at Rs. 1,249.00 against its previous closing at Rs. 1,276.25. Within three hours after the trading session commenced, the stock touched the day’s high and low at Rs. 1,249 and Rs. 1201.00 respectively. The stock broke its yearly high back to back four times last week and presently the 52 week high value of Yes Bank share price is seen at Rs. 1,449.00 on 6^th Sept ’16. On the other hand the 52 week low value is recorded at Rs. 631.55 on 20^th Jan ’16.

For further details refer to Yes Bank share price forecast.

Yes Bank dipped 5% on QIP issue

YES Bank slumped over 5 per cent in the afternoon trade on Thursday, a day after it launched a qualified institutional placement (QIP) issue to raise $1 billion, a step planned to aid the private sector lender expand while boosting its capital base. Rana Kapoor, CEO at Yes Bank said that the QIP is now opened all over the world as it is expected that investors from across the world would participate. He further added that they are targeting $1 billion in line with the enabling resolution from their shareholders. This accounts for growth capital for the bank, which is growing at 30%, and will be ensured that their growth continues at that pace.

In other news, Yes Bank share price traded at Rs. 1376.90 beating its previous one-year high on1st Sept ‘16. On 2^nd, it repeated the feat by trading at Rs.1393.80. On 6^th Sept, Yes Bank share price went as high as 1449, breaking its previous day’s record high. On 7^th September 2016, the stock traded at a new high of Rs.1450. Currently, Yes Bank share price was trading below 5% at Rs. 1345.05.

Shareholders of Yes Bank had sanctioned equity fundraising amounting to $1 billion at the bank's annual general meeting held on June 6. The bank had raised $500 million in the same manner by a similar QIP issue in June 2014. The bank had raised $500 million through a similar QIP issue in June 2014.

Yes Bank is recommended by Dynamic Levels as the top 500 performing stocks for this quarter. Yes Bank share price opened at Rs. 1387.15 against its previous closing at Rs. 1401.55. The stock touched the day’s high and low at Rs. 1390 and Rs. 1330.70.

For further details, refer to Yes Bank share price forecast.

Yes Bank Riding On the Wings of Ambitions

To play the ambitions right is the key to reaching the heights one has never been to. Yes Bank has proved it right on many occasions. The bank must have played it right to get Yes Bank share price trade on new one year high on four straight trading days. The stock traded on a new year high of Rs. 1324.70 on 18^th August, broke it on 19^th by trading at a new high of Rs. 1339, remade a new high of Rs. 1349 on 22^nd and redid the stunt of trading on a new year high of Rs. 1350 on 23^rd August.

And the credit goes to:

The ‘credit’ in the picture refers to the Credit card segments where Yes Bank made its foray with a bang. The Banks has launched seven credit cards in partnership with Mastercard for boosting its retail banking business. The cards are put in two categories: The Yes prosperity range with five credit cards and Yes First Range for its HNI customers with two credit cards. The Bank is offering high interest rates on savings and lowest on credit cards in the industry of 1.2% per month against the industry average of 3.2%. Yes Bank is targeting to be the third largest credit cards player in the market in four years time. The Bank has taken the challenge for seeking the customers from outside for their unsecured lending product while all the other banks are playing safe by sticking to their own customers.

The current penetration in the credit card segment of the market is 2%, which is expected to be 5% in next five years. The skew of 3% growth has provided the opportunity for the new players and Yes Bank has grabbed it right on time.

Fast and Furious with QIP:

Yes Bank has the capital adequacy ratio of over 15% with their core tier I ratio slightly above 10.3%. In these numbers, the bank is viewing opportunities of growth. There are enough signs indicating the growth opportunities for the Bank. The tailwinds of monsoon and the macroeconomic stability will help the Bank in gaining market share. There is also a momentum in loan growth, which stood at 30% in the March quarter while increased to 33% in the June quarter.

The Bank has a fairly intact growth story for the next four years till 2020. The good dose of capital will only help them grow faster. That’s the reason the Bank is ready to raise $1bn through QIP. The market is very excited with the Yes Bank’s story and the Bank will most likely do the QIP with very, very high pedigree investors later this year.

Yes khushi: Another success story

Affordable housing is a critical key for enabling India’s socio-economic development and yes bAnk has contributed to the segment by launching Yes Khushi- the affordable housing loan that is set to cater the needs of economically weaker sections and low income group. The loan starts with Rs. 1 lakhand is available for the purchase of ready, resale, under-construction, plot plus construction, self construction on owned plots, repairs and renovations and balance transfers from other institutions. The loan can be extended for 25 years time and has no individual income norm. The loan can be obtained by anyone with the family income of starting from Rs. 9000 a month.

Beyond the boundaries:

The market is appreciating Yes Bank’s transformation series initiative. The series is launching aspiring student entrepreneurs, called student prenuers. There are many stories to prove the appreciation and fondness of people to the initiative that not only provides exposure to the real-world challenged but also offers an opportunity to interact with and learn from business leaders.

Investment Opinion

Yes Bank is the rising sun for the month and Dynamic Levels is counting on the stock for keeping up the faith of the market. After analyzing the movement of Yes Bank, we are recommending buy on the stock at Rs. 1338 with the target of Rs. 1365 and stop loss of Rs. 1312 for the month of September.