Bandhan Bank vs Yes Bank Which Is More Lucrative?

Bandhan Bank and Yes Bank are both prominent players in the Indian banking sector, with each having unique strengths and opportunities for growth. Bandhan Bank, known for its focus on microfinance and retail banking, has been steadily expanding its reach across the country. On the other hand, Yes Bank, despite facing some challenges in the past, has recently undergone restructuring and is now positioned for a turnaround. Investors looking to invest in banking stocks in India should carefully consider the strengths and weaknesses of both Bandhan Bank and Yes Bank before making a decision.

Bandhan Bank or Yes Bank?

When comparing Bandhan Bank and Yes Bank, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Bandhan Bank and Yes Bank.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Bandhan Bank has a dividend yield of 0.85%, while Yes Bank has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Bandhan Bank reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Yes Bank reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Bandhan Bank P/E ratio at 10.14 and Yes Bank's P/E ratio at 37.93. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Bandhan Bank P/B ratio is 1.19 while Yes Bank's P/B ratio is 1.46.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Bandhan Bank has seen a 5-year revenue growth of 1.80%, while Yes Bank's is -0.24%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Bandhan Bank's ROE at 12.61% and Yes Bank's ROE at 4.07%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹173.40 for Bandhan Bank and ₹21.36 for Yes Bank. Over the past year, Bandhan Bank's prices ranged from ₹162.80 to ₹263.10, with a yearly change of 61.61%. Yes Bank's prices fluctuated between ₹19.02 and ₹32.85, with a yearly change of 72.71%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.