We initiate coverage on Yes Bank with a Strong BUY with a price target of Rs 408 (3.1x P/ Adj BV FY12E) representing an upside of 40.5% from the CMP of Rs 290.6 over a period of 15-18 months. Yes Bank has demonstrated beyond doubt its ability to execute its business plan and achieve growth much faster than its peers without compromising on asset quality. Yes Bank’s strategy of Knowledge Banking and innovation led business growth coupled with its aggressive branch expansion, brand building, high proportion of fee based revenues and strict adherence to asset quality will help the Bank broad base its business momentum.