Stock market today: Following an upgrade by the global rating agency Moody’s, Yes Bank’s share price witnessed a strong uptrend in early morning deals. Yes Bank shares opened with an upside gap at ₹26.10 apiece on the NSE and touched an intraday high of ₹26.60 per share within a few minutes of the opening bell.
On why are Yes Bank shares rising today, stock market experts said that the global rating agency Moody’s upgraded its outlook on the private lender from ‘stable’ to positive, which triggered strong buying in the early morning session.
Why are Yes Bank shares rising today?
Speaking on the immediate trigger for soaring Yes Bank shares, Avinash Gorakshkar, Head of Research at Profitmart Securities, said, “Global rating agency Moody’s has upgraded its outlook on Yes Bank from stable to positive. This triggered buying Yes Bank shares in the early morning session.”
On what this change of outlook means for Yes Bank, Gorakshkar said, “This change in outlook means global brokerage’s expectations of a potential rise in the depositors’ base of the private lender. There’s also a strong anticipation for significant improvement in the asset quality of Yes Bank, which could lead to a healthier financial position. However, one should not forget that Moody’s is still not confident about the profitability of Yes Bank as the brokerage has maintained that Yes Bank’s profitability will remain weak against its Indian peers.”
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