Muthoot

Gold financier Muthoot Finance on Friday, November 7, announced the board meeting date for the consideration of the financial results and the fundraising plan via non-convertible debentures (NCDs).

Gold loan NBFC stocks faced pressure as gold prices crashed, with Muthoot Finance and Manappuram Finance dropping 3% and 1.45%. Despite recent declines, both stocks show solid year-to-date gains of around 49% and 50%, respectively.

Muthoot Finance's stock surged to ₹3,374, gaining 3.25%, driven by rising gold prices. This marks four consecutive days of gains, with a total rise of 5%. Analysts expect continued growth in gold loan demand, supporting the company's outlook.

The Enforcement Directorate has initiated a PMLA case against Muthoot Finance branch managers, based on FIRs from Kerala Police, for allegedly misleading investors regarding fixed deposits and NCDs, and “diverting” funds to Srei Equipment Finance.

Gold prices have surged to record highs, boosting gold loan NBFCs like Muthoot Finance and Manappuram Finance. Analysts expect rising gold prices to enhance demand for gold loans, with both companies experiencing significant stock price increases this year amid favorable lending guidelines.

MCX gold rate hit an all-time high of over ₹1.16 lakh per 10 grams, while MCX silver price crossed ₹1.44 lakh per kg, marking a new lifetime high. Copper prices also extended their upward momentum, rising above ₹948 per kg on MCX, supported by global supply disruptions.

Bosch, Cummins India, Polycab India, and Dixon Technologies (India) are also seen as potential large-cap entrants, though some of these names, including Swiggy, Canara Bank, Polycab, and Dixon, remain borderline cases.

On Friday, Indian stock markets showed an upward trend with the Nifty 50 and BSE Sensex increasing. Market analysts predict recovery due to GST reforms, while Muthoot Finance, Nykaa, and Syrma stocks show bullish trends, encouraging investors to buy and hold.