ICICI Bank, IDFC First Bank, or Yes Bank: Which stock is the best investment post Q3 2025 results?
ICICI Bank, IDFC First Bank, and Yes Bank have recently released their financial results for the October-December quarter of fiscal year 2024-25 (Q3FY25). Despite a sluggish corporate earnings growth, these leading banks have shown decent financial performance.
Investors on Wall Street are now contemplating whether to buy, sell, or hold stocks from these banks. Market experts have recommended ‘buy’ or ‘hold’ ratings for ICICI Bank, IDFC First Bank, and Yes Bank following their latest earnings reports.
Analysts have observed that ICICI Bank and Yes Bank, two of the top private sector lenders, have demonstrated strong earnings growth in the December quarter. However, IDFC First Bank faced challenges due to the disbursal of micro-finance loans, increased provisions, and higher loan slippage during the same period.
In terms of specific numbers, IDFC First Bank reported a significant 53% decrease in net profit to ₹339.4 crore, primarily due to higher provisions resulting from increased loan slippages. On the other hand, ICICI Bank saw a 15% increase in standalone net profit to ₹11,792.4 crore, driven by robust loan growth and higher core income.
ICICI Bank’s net interest income (NII) rose by nine percent to ₹20,340.6 crore in the third quarter of the current fiscal year, showcasing its strong performance. Overall, the bank maintained stable asset quality in Q3FY25.
In conclusion, while IDFC First Bank faced challenges, ICICI Bank and Yes Bank have shown resilience and growth in their financial performance during the October-December quarter. Investors are advised to carefully consider these factors before making any investment decisions.
Yes Bank has reported a remarkable 164.5% year-on-year increase in profit after tax (PAT) to ₹612.27 crore, along with a 10.2% growth in Net Interest Income (NII). The NII stood at ₹2,224 crore, with net interest margins (NIMs) remaining unchanged at 2.4% year-on-year and quarter-on-quarter.
When comparing ICICI Bank, IDFC First Bank, and Yes Bank, investors may wonder which stock to buy. According to Abhishek Pandya, Research Analyst at StoxBox, ICICI Bank has shown healthy performance with a 15% rise in net profit, driven by robust credit growth across Retail, Business Banking, and SME segments. ICICI Bank has maintained strong asset quality, stable NPA ratios, and the strongest return ratios among industry players.
On the other hand, IDFC First Bank reported a 53% decline in net profit due to elevated microfinance provisions and margin compression, despite strong credit growth of 22% year-on-year. Meanwhile, Yes Bank showed a remarkable 164% jump in net profit, driven by reduced provisions and investment income gains. Abhishek Pandya of StoxBox believes that ICICI Bank stands out for its balanced growth, operational excellence, and ability to navigate challenging market conditions effectively.
In terms of share price outlook, Mahesh M Ojha, AVP—Research at Hensex Securities, mentioned that Yes Bank’s stock is facing an immediate hurdle at ₹21.50. If it breaks above this on a closing basis, Yes Bank’s share price may rise to ₹25. On the other hand, the market expert at Hensex Securities believes that ICICI Bank’s share price looks positive on the technical chart pattern, with the private bank stock forming a strong base at ₹1,190 levels.
Mahesh M Ojha, a financial expert from Hensex Securities, recommends purchasing ICICI Bank shares in the range of ₹1,210 to ₹1,215 for a short-term target of ₹1,280 and ₹1,320. Shareholders of ICICI Bank are advised to maintain a trailing stop loss of ₹1,180 for the mentioned targets.
Regarding IDFC First Bank, Ojha noted that the bank reported weak Q3 results, which may lead to selling pressure on Monday. He suggests investors consider a buy-on-dip strategy for IDFC First Bank shares. Investors can purchase the stock in the range of ₹60 to ₹61.50 with an immediate target of ₹64. If the stock closes above ₹64, it could potentially reach ₹68 per share, according to Mahesh M Ojha.
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Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Investors should conduct thorough research and consult with a qualified financial advisor before making any investment decisions.