Bank of Baroda vs Yes Bank Which Is More Favorable?

Bank of Baroda and Yes Bank are two prominent players in the Indian banking sector, each with its own unique strengths and weaknesses. Bank of Baroda, with its long-standing history and extensive network, is considered a stable and reliable option for investors. On the other hand, Yes Bank, known for its aggressive growth strategies, has faced several challenges in recent years, leading to fluctuations in its stock prices. This comparison between the two banks' stocks provides valuable insights for potential investors looking to make informed decisions in the dynamic world of finance.

Bank of Baroda or Yes Bank?

When comparing Bank of Baroda 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 Bank of Baroda 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. Bank of Baroda has a dividend yield of 3.12%, while Yes Bank has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Bank of Baroda 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 Bank of Baroda P/E ratio at 6.29 and Yes Bank's P/E ratio at 33.49. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Bank of Baroda P/B ratio is 0.93 while Yes Bank's P/B ratio is 1.29.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Bank of Baroda has seen a 5-year revenue growth of 2.40%, while Yes Bank's is 1.18%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Bank of Baroda's ROE at 15.95% 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 ₹241.85 for Bank of Baroda and ₹19.02 for Yes Bank. Over the past year, Bank of Baroda's prices ranged from ₹192.70 to ₹298.45, with a yearly change of 54.88%. 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.