India-based Yes Bank’s share price remained flat ahead of its Q1FY26 results announcement. Market experts predict muted performance due to weak deposit and credit growth.
Shares of Yes Bank traded flat in early market hours ahead of the bank’s scheduled Q1FY26 earnings release. The stock opened at ₹20.20 on the National Stock Exchange (NSE), reaching an intraday high of ₹20.24 and a low of ₹20.07, before stabilizing around ₹20.08 per share.
According to financial analysts, the private lender is expected to post a muted quarterly performance, primarily due to declining deposit and loan metrics in the June quarter. As per its Q1FY26 business update, loans and advances contracted by 2% quarter-on-quarter to ₹2.41 lakh crore, despite a year-on-year increase of 5.1%. Meanwhile, deposits dipped 3% QoQ to ₹2.76 lakh crore.
A particularly sharp 7.3% QoQ drop in CASA deposits to ₹90,347 crore has raised concerns among investors. The CASA ratio slipped to 32.7% in Q1FY26 from 34.3% in Q4FY25, signaling a shift in depositor preference toward term deposits in India’s high-interest-rate environment.
Despite these challenges, Yes Bank maintained a Liquidity Coverage Ratio (LCR) of 135.7%, reflecting prudent short-term liquidity positioning. The Credit-to-Deposit ratio also improved to 87.5%, suggesting efficient capital deployment even amid deposit pressures.
Financial experts believe the bank’s ability to stabilize its liability franchise, manage asset quality, and curb slippages will be crucial indicators in the upcoming results. Investors are closely watching the bank’s commentary on its growth strategy, especially in terms of low-cost deposit mobilization.
Technically, Yes Bank’s stock is moving in a narrow range between ₹19.50 and ₹22. Analysts suggest a wait-and-watch approach, advising investors to maintain a stop loss at ₹19.50. A breakout beyond ₹22 could trigger a rally toward ₹24, while a fall below ₹19.50 could lead to further downside.
The Board of Directors of Yes Bank is set to meet on July 19, 2025, to consider and approve the unaudited financial results for the April-June 2025 quarter. Market participants await detailed disclosures to gauge the bank’s medium-term performance outlook.
