Brokerages On Yes Bank

*IDFC Securities*

Downgraded to ‘Underperform’ from ‘Neutral’; cut price target to Rs 230 from Rs 350, implying a potential downside of 28 percent from the last regular trade.
Cut in Rana’s tenor is a very big negative for Yes Bank.
Rana’s absence will slow down loan and fee growth.
Could also impact bank’s ability to raise high net worth deposits.
This risk has not been priced in; expect significant correction.

*Citi*

Downgraded to ‘Sell’ from ‘Buy’; cut price target Rs 270 from Rs 440, implying a potential downside of 15 percent from the last regular trade.
Believe there is premium attached to the stock due to Rana Kapoor.
Likely that bank will have to defer its capital raise plans.
Delay in capital raise to impact growth.
Time period of over four months could prove short to find a suitable external candidate.

*Macquarie*

Maintained ‘Outperform’ with a price target of Rs 425, implying a potential upside of 33 percent from the last regular trade.
Rejection is a major negative development.
Expect a sharp gap-down opening on Friday.
Absence of any communication from Yes Bank or RBI will be an overhang on stock