Yes Bank share price slips 3% despite posting strong Q3 results FY26. Do you own?

Yes Bank share price tanked almost 3% in Monday's trading session, even as the private lender posted a 55% jump in its Q3 FY26 net profit.

Yes Bank shares opened at ₹22.81 apiece in the early morning session today as compared to the previous close of ₹23.46. At 10:00 am, the stock reached an intraday low of ₹22.75 apiece.

The private lender stock has remained in the green in the near term despite weak market sentiments. Yes Bank shares have gained 5.21% in a month and 13.29% in six months.

On a longer time frame, the stock has given 21% return in a year and 34.35% in the last five years.

Yes Bank Q3 FY26 results

Yes Bank posted a strong 55% year-on-year (YoY) increase in standalone net profit for the December quarter, rising to ₹952 crore from ₹612 crore a year earlier.

Interest income for Q3FY26 came in at ₹7,543 crore, down 3.7% from ₹7,829 crore in the same quarter last year. However, net interest income (NII) grew 11% YoY to ₹2,466 crore, supported by an improvement in net interest margin to 2.6%, compared with 2.4% in Q3FY25 and 2.5% in Q2FY26.

Profit after tax also recorded solid sequential momentum, climbing 45% from ₹654 crore in Q2FY26. Interest expenses declined 9% YoY to ₹5,078 crore and were largely unchanged on a quarter-on-quarter (QoQ) basis.

Asset quality trends remained positive, with gross NPAs easing by 10 basis points both YoY and QoQ to 1.5%, while net NPAs fell 20 basis points YoY to 0.3% and stayed flat sequentially.

According to ICICI Securities, Yes Bank reported better-than-expected Q3FY26 PAT of ₹9.5 billion, led by negligible credit costs amidst improved slippages and bulky SR redemptions.

“ Yes provided INR 1.55bn on new labour code, though it also had INR 450mn tax refunds for prior periods. Loan growth was tepid, at 5% YoY; CASA growth remains superior. Despite adverse spreads, NIM improved 12bps QoQ to 2.6%, led by decline in RIDF (down to <7% of assets). While retail slippages have eased, at 3.4% levels, it remains elevated. RoA jumped to a multi-quarter high of 0.9%. We roll forward valuations to FY28E and maintain HOLD with a revised TP of INR 24 (vs. INR 22) alongside an unchanged target multiple of ~1.2x. Downside risk is sharp rise in delinquencies. Upside risk is strong recoveries in legacy NPA and SR portfolio. RBI has granted an in-principle (link) approval to Sumitomo Mitsui Banking Corporation (SMBC), Japan for setting-up a wholly owned subsidiary in India,” the firm said.

Yes Bank share price outlook

Anshul Jain, Head of Research at Lakshmishree, believes that Yes Bank is shaping a well-defined 70-week VCP structure, marked by tight price contraction and clear institutional accumulation across the base.

“ The breakout above 4100 in the previous session confirms pattern resolution with ideal volume behavior, signaling strong institutional sponsorship. Price compression during the flag was orderly, allowing weekly, monthly, and daily 10, 20, and 50 EMAs to catch up and align beneath price. This moving average cluster is now acting as a firm launchpad for trend expansion. Momentum structure remains clean across timeframes, with no signs of distribution. As long as the stock sustains above the breakout zone, the setup projects an immediate upside toward the 4900 to 5000 zone. Any pullback toward the EMA cluster is likely to find demand rather than supply,” Jain said.

Yes Bank share price is listed on both NSE and BSE. The stock touched a 52-week high of ₹24.30 on October 10, 2025 and a 52-week low of ₹16.02 on March 12, 2025.

Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.