MUTHOOTFIN

Share Prices Tumble Over 14% Weekly Amid RBI Regulations

Shares of Muthoot Finance witnessed a sharp decline, plunging as much as 16.32% during the week and ultimately closing with a weekly loss of over 14%. The steep fall followed the Reserve Bank of India’s (RBI) announcement of upcoming regulatory changes for gold-backed loans, including a uniform Loan-to-Value (LTV) cap of 75% and stricter norms for income-generating loans. This triggered a broad selloff across gold loan NBFCs. Importantly,

also breached a key support level and gave a breakdown from an upward-sloping trendline, sending the stock to its lowest level since December 10, 2024. Peers like and also saw declines of 2.95% and 4.85% respectively on a weekly basis. With regulatory overhang and technical weakness, investor caution is likely to persist in the near term. We will wait for further signals to see how the prices react to this critical level. Disclaimer: This post is for informational purposes only and does not constitute investment advice.