INSUBCONTINENT EXCLUSIVE:
Yes Bank's provisions soared 110 per cent to 940 crore rupees.Shares of Yes Bank Ltd dived 15 per cent to a four-week low on Friday, after
the lender posted a weaker-than-expected quarterly profit due to higher provisions and weak asset quality.The stock hit a low of 168.60
lender's shares recovered slightly to trade 5.7 per cent lower.A pile-up of bad loans have plagued the domestic financial sector and
affected the bottomline for many banks as they set aside more money to cover-up for soured assets.Yes Bank posted on Thursday its first drop
in quarterly profit in at least three years, as the provisions for bad loans and mark-to-market losses more than doubled.The lacklustre
results come as the lender looks for a new chief executive by the Feb
1 deadline imposed by central bank, which last month denied CEO Rana Kapoor an extension of his term with the firm he founded.At least three
brokerages trimmed their target prices (TP) on the company's stock after the lender posted results late Thursday.Jefferies cut their target
price to 285 rupees from 365 rupees on near-term uncertainty
Jefferies said the appointment of the chief executive officer, new strategy and need for capital could make the stock volatile.Brokerage
CLSA cut their profit estimate to build in higher credit costs and slower loan growth
CLSA slashed Yes Bank stock's target price to 300 rupees from 450 rupees, but retained "buy" rating on the bank's fair valuation.Citi
analysts also reduced their target price to 215 rupees from 260 rupees, and said the provisions for the quarter were 44 percent higher than
