Market expert SP Tulsian of sptulsian.com on Tuesday said it's bizarre to compare Yes Bank, RBL Bank with Punjab and Maharashtra Cooperative (PMC) Bank.

Tulsian said, "I have heard all three managements – Indiabulls Housing Finance yesterday, Vishwavir Ahuja today and Yes Bank in the morning and looking at their credibility and their financials, I will be relying on their statements."

"The culprit is seen to be Indiabulls Housing Finance and the negative effect of that is getting spread to all the banks, whether you talk of Yes Bank, RBL Bank, or you talk of IndusInd Bank. If one report is 5 percent exposure to the book or maybe of the net worth is seen been given to one company, I think this is bizarre. We need to have some control on the research reports,” he said.

Tulsian said, “Around couple of months back, HDFC and Kotak have subscribed to Yes Bank at Rs 82-83 and today the price is Rs 33. I have no doubts about the wisdom of both the funds. Both the funds have not put in their net worth where they have lost maybe Rs 300 crore."

"If you see the value got eroded by maybe 60-70 percent, it's not because of any kind of lack of fundamental or rational analysis. If you keep on riding the volatility and if you keep hearing the loose reports and the fearful comments, then the confidence will get shaken. I am not saying tomorrow or maybe in a month you will again see the share bouncing back, you need to have a view of at least 12 months. We know that the asset quality is seen deteriorating but to what extent has to be factored in and has to be considered. So, taking this into consideration, I will be a buyer in RBL Bank and Yes Bank."

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First Published:Oct 1, 2019 4:44 PM IST