Yes Bank

First of all the simple answer is a clear NO! Reasons are stated below:
Around 17th September I was asked that if anyone should enter Yes Bank for long-term and I said a clear No and told to avoid finance sector and realty sector for time being because facts and figures don’t lie. and Technicals work best for short-term to mid-term analysis. And from the shareholding pattern, it was clear that something is bad when last year RBI found some problems of NPA in the balance sheet in Yes Bank and people have the tendency to forget easily. Stock Market is not a gully cricket it needs real hard knowledge and experience, in US markets there are many examples of ‘Too Big To Fail’ but they have collapsed and bankrupted.



People think that if it is a bank Government will bail it out, but at the end of the day, it is public money. Mutual funds are holding majority stack in the bank but Mutual Funds haven’t brought money from there pocket, it is public money, no one can save if 2008 type of collapse occurs. Because history says that such incidents occur every decade, someone is made the villain and all goes well after that. It is up to our sense and judgement that the stock market doesn’t reward you for sitting idle beside your TV set watching cricket matches! Such fools are beaten down hard by Mr Market. Everyone doesn’t become Warren Buffet just like that.
I had given targets of open support around 230 at that time stock was trading around above Rs. 300 levels and the bum accident occurred in next week, the stock collapsed heavily. If something is bad that doesn’t change to good soon!

Edit: 19–11–2018

The stock is seeing a third round of heavy selling continuously. Support is only near 149.95 on a monthly basis. One should only trade using their own risk appetite, for investment purpose one should wait for a clear view.
(After the retirement of the third director, everyone should just wait and watch.)

 Edit: 26–11–2018
The non-convertible debenture holding by two big mutual funds — Reliance Mutual Fund and Franklin Templeton — is in focus since some investors fear that ratings assigned to these instruments could be shaky after the steep fall in the stock price in the past few months.

Edit: 28–11–2018 Another bad day for Yes Bank

Technically Yes Bank has taken support at 146.75, Another support is around 107. Let’s hope some good signs will be seen and internal problems will be resolved.

Edit: 03–12–18
Technically stock may see some rise up to 190–194 levels with a stop loss around 155, but still, it is not suitable for investment purpose, we will wait for some proper signals to get into a buy position.
Edit: 24–01–19
On the news of Yes Bank finally getting a CEO who is an outsider, yesterday stock rallied up to 234 levels and we had a resistance target of 245 which is achieved today and exactly stock made high of 245. Now one can hold positions with sl of 215, don’t expect any magic overnight, because such rally was only because of the result of short covering. The stock needs to close above 245 and take support and start trading above it, then we can see targets around 339. Though fundamentally people never questioned still then we have seen a sharp correction, in market money isn’t being made by being right all the time, we have to take positions according to the market. You can read an article about Ravneet Gill new CEO of Yes Bank.

Edit: 04–02–2019
Still not a suitable recommendation for Investment! Stock exactly hit our said target of 245 and now again in reverse gear.

 Meet The New Yes Bank CEO: A Corporate Banker With An Eye On Retail
What we know about Yes Bank's new all-rounder CEO Ravneet Gill

We have already booked profits on our positions.
YES Bank slumps 5% as investors worry over MF holdings
Amit Pandya's answer to Is it profitable to buy yes bank stock now?

Amit Pandya: Amazon.in: Kindle Store To buy our publications.
AKruti FinTech To Join our services visit our website.

Comments

Post a Comment

Popular posts from this blog

Tata Motors

Image
In markets to really earn or beat the market estimates you have to use your own logic and find out some basics, when stocks like MRF, Eicher Motors, Page Industries started their journey nobody had predicted but good business give good returns. And for trading or investing purpose we have to enter the stock at cheap prices, otherwise every day the share will go down. We can see in the chart that stock had made high of Rs.695 in 1995 just imagine that era there was no ready information available like today at our fingertips. The number of cars which we see today are sold on loans, though it doesn’t matter to the manufacturer, we have many numerous problems like pollution, traffic, parking problems, etc. and most eminent people are seeing a downtrend in Auto Sector because they see Electric Cars as futures. So those companies who will adapt to such new Technology will run another 50–70 Years until something new comes to our market. From there stock made a low of Rs.28.55 in 2003, but...
Read more

Why Rich gets Richer and Poor more Poorer!

Since the evolution of mankind, humans have developed and improved all the systems in all spheres. Many human beings have tried to conquer the world but at the end wasn't able to enjoy that victory or wealth happily. Because I believe that nature has created Earth to be enjoyed and lived by all creatures. But unnecessary heist of mankind has created a vacuum in all the resources. We come across many problems but how many are there who are actually working to solve the problem permanently? Animals and Birds use resources only up to the extent they need but we humans are constantly thriving to explore the Universe to get more and more. In every Religion, they have said how to live but how many are living that way? We say that money works for money just because that Rich class have captured almost every natural source of wealth Earth has given, do you think that selling any XYZ commodity and earning billions will fill stomach? No, we have to put food into the stomach and not currency...
Read more

Page Industries

Image
Highlights: - Lack of clarity on accounting methodologies and elevated valuations could restrict re-rating in the near-term. - Top-line growth will be driven by network expansion and new products. - Adoption of asset-light manufacturing and retailing should have a positive rub-off on margins. - Competition from foreign brands is a key risk. There is a general theme giving by many financial consultants that buy right sit tight but the market, in general, doesn't like to be fooled. Since last year, we see that the market doesn't care about the name of the company or the group anything bad in corporate governance or any type of clever movements are beaten down heavily. If I speak technically in last 2 years stock has given tremendous returns it came in bull mode around 14000 in 2017 and has made high of 36370. And since September 2018 we are seeing a correction. In the last few days, we came around the news that some accounting policies have been changed and the company ...
Read more