Muthoot Finance and Manappuram Finance get maximum business through gold loans only.
Muthoot Finance witnessed a 22 percent growth in its gold loan portfolio in the last financial year ended March 2020.
Muthoot Finance has rallied 132 percent in the past three months against a 35 percent surge in the Nifty.
In the January-March quarter, Muthoot Finance posted a 52.4 percent jump in consolidated net profit at Rs 835.78 crore due to higher demand for gold loans. Muthoot is clear what worked in his company’s favour.
It was trading with volumes of 342,051 shares, compared to its five day average of 76,139 shares, an increase of 349.25 percent.
The company had posted a net profit of Rs 548.56 crore during the corresponding January-March quarter of fiscal ended March 2019.
People are pledging their household gold to raise cash
The Indian NBFC industry has been affected given disruptions to economic activity from the coronavirus outbreak, which will weaken these companies' credit profiles, Moody's said.
The crude fall is very positive for India and like China if India can buy and store at current prices or buy in 1-year forward contract it would be even more positive.
The bond was launched with initial pricing guidance of 4.750 percent on February 20, but with strong demand from investors, it was able to tighten pricing by 35 basis points to 4.4 percent, the company has said.
Narnolia Research has upgraded the stock to “buy”.
He has been admitted to a private hospital, police said.
Rollover data suggest that index has seen lower rolls compared to its quarterly average of 78.66 percent and both the indices are light on positions
Moneycontrol’s Shraddha Sharma does a 3-Point Analysis to find out what is happening in the gold financing space.
The base size of the issue is Rs 100 crore, with an option to retain oversubscription of up to Rs 690 crore, the company said.
The transaction is expected to be completed by end of February 2020 subject to receipt of necessary regulatory approvals, Muthoot Finance said.
In FY19, IDBI Asset Management managed total 22 schemes — 12 equity funds, six debt funds, two hybrid funds, one gold Fund of Funds and one Gold Exchange Traded Fund
As on March 31, IDBI Bank’s stake in IDBI Asset Management stood at 66.67 percent, while IDBI Capital Markets & Securities owns 33.33 percent.
Muthoot Finance share price jumped by more than 8 percent in morning trade on Thursday to reclaim Rs 700 levels, a day after it reported a 76.4 percent jump in consolidated net profit at Rs 908.54 crore in Q2.
Earlier this month, the gold loan financier had informed about its proposal to raise $2 billion (around Rs 14,200 crore) from foreign market to fund its business growth.
The next levels for the Nifty are seen at its all-time high of 12,103 levels. If the market starts to trade below 11,785 levels then profit booking can extend towards 11,700-11,650 which was the breakout zone.
Trends on SGX Nifty indicate a negative opening for the broader index in India, with a 41 points loss compared to Monday’s close of 11,167.
The base issue size of Rs 100 crore with an option to retain over subscription of up to Rs 900 crore.