"Manappuram Finance" Share Price Fall: Factors Driving the Decline
The stock price of Manappuram Finance, one of India's top non-banking financial companies (NBFCs), has recently dropped. This downward trend has been caused by a number of causes, which has made investors wary about the stock's performance. The heightened rivalry in the gold loan market is one of the main causes of Manappuram Finance's stock price decline. The company is under pressure to lower prices as a result of the aggressive entry of banks and NBFCs into the market, which could have an effect on its profit margins. Manappuram is facing challenges in maintaining its economic trajectory as gold lending rates become more competitive. Secondly, the volatility in gold prices also affects the company’s stock performance. As Manappuram Finance's core business is based on gold loans, any fluctuation in gold prices directly impacts the value of its collateral. A decline in gold prices can increase the risk of loan defaults and impact the company’s overall profitability. A...