Gold Loan Stocks

Shares of Muthoot Finance have surged 37.7 per cent so far in CY-25, while that of Manappuram Finance have rallied 54.6 per cent. Gold has surged 42 per cent in 2025

Gold loan companies stocks in focus: Muthoot Finance, Manappuram Finance can rally up to 19%; while IIFL Finance faces a 9% downside risk; suggests technical charts.

Muthoot Finance and Manappuram Finance have gained up to 19% thus far in June after RBI eased norms on small-ticket gold loans. Technical charts hint that these stocks can potentially rally 32% more.

Technical chart shows that Muthoot Finance stock has broadly held the 200-DMA support for the last two years, since May 2023. Here's what may possibly happen next.

Technical chart shows that Muthoot Finance and Manappuram Finance have retraced from their record highs levels with select momentum oscillators hinting towards a likely consolidation ahead.

Commercial banks reported a 62 per cent increase in gold loan NPAs, which rose to Rs 2,445 crore in June 2024 from Rs 1,513 crore in March 2024

Muthoot, Manappuram Finance outlook: Shares of gold loan lenders could see limited downside in the near-term, as broader trend remain up; charts show.

According to reports, the RBI has said no gold loan NBFC should disburse loan amount in excess of Rs 20,000 in cash

Muthoot Finance is aiming to issue benchmark-sized bonds, which means the issuance will be around $500 mn

The company will pay an annual coupon of 9.03% on this issue and has invited commitment bids for the same on Thursday

Analysts believe the continued aggression of banks and fintechs would make gold loan NBFCs pivot their business models to lower spreads and margin

Gold prices have regained footing following some significant losses and a comparable softer US Dollar

Asset quality worsened during the quarter as gross non-performing asset (NPA) and net NPA ratio increased by 160 basis points (bps) and 170 bps quarter on quarter (QoQ) to 3 per cent and 2.7 per cent.

The management of Muthoot Finance is optimistic about growing the company's gold loan book further and maintains 15 per cent growth guidance for FY22.

While stocks of Muthoot Finance and Manappuram Finance fell, impact of new lending norms is limited