Gensol Share Price in Focus as It Commissions Ground-mounted Solar Plant in Jharkhand

Gensol share price was down 5.01% and was trading at ₹132.66 at 9.25 AM on Friday. It has commissioned a new ground-mounted solar power plant in Panchet, Jharkhand. The company also plans to diversify into electric mobility, battery storage, and green hydrogen. 

Clean Energy Output and Environmental Impact

The plant is designed to generate more than 15 million units of clean energy annually. It will play a key role in helping Jharkhand reduce its dependence on fossil fuels and meet its sustainability targets. The project is expected to reduce CO₂ emissions by approximately 21,000 metric tonnes every year.

Gensol believes that industrial-scale solar plants are essential for India’s transition towards clean energy and its long-term net-zero goals. The company stated that such projects are not only environmentally beneficial but also economically scalable.

Financial Performance of Gensol Engineering 

Gensol reported robust financial growth in Q3 FY25. Its net sales rose by 30% to ₹345 crore, while net profit increased by 6% to ₹18 crore compared to Q3 FY24. For the nine months ending December 2024 (9MFY25), net sales surged 42% to ₹1,056 crore. EBITDA rose by 89% to ₹246 crore, and net profit jumped 34% to ₹67 crore.

For the full year ending FY23, Gensol recorded a 142% increase in net sales to ₹336 crore and a 129% rise in net profit to ₹53.5 crore. These numbers reflect the company’s rapid growth and strong market presence.

Gensol Share Price Performance 

Despite a current decline of over 80% from its 52-week high of ₹1,125.75, Gensol’s long-term performance remains strong. It has delivered returns of over 500% in the last 5 years. The company maintains a 52.1% CAGR in profit over 5 years, along with a 9x PE ratio and 20% ROE.

As of 31 December 2024, Gensol had a market capitalisation of ₹533 crore and an order book worth ₹7,000 crore. Founded in 2012, the company has delivered over 770 MW of solar EPC projects and employs more than 500 people.

Conclusion

Gensol’s commissioning of the Jharkhand solar plant highlights its technical capabilities and commitment to clean energy. With strong financials and strategic planning, the company is well-positioned for future growth in renewable energy and sustainable technologies.

Read more on: CRISIL to Pay ₹26 Dividend Per Share; Ex-Date is Today

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.

TCS Share Price in Focus After Dividend Declaration: Check Details Here!

TCS share price was up 1.32% and was trading at ₹3,289.55 at 9.07 AM on Friday. The IT giant has announced a final dividend of ₹30 per equity share for FY25. Each share has a face value of ₹1. 

This decision was made at the Board Meeting held on Thursday. The final dividend will be paid 5 days after the 30th Annual General Meeting (AGM), subject to shareholder approval.

Total TCS Dividend for FY25 Surpasses FY24

With the ₹30 final dividend, the total dividend declared for FY25 now stands at ₹126 per share. This includes a ₹10 interim dividend and a special dividend of ₹66 declared in January 2025.

In comparison, the total dividend per share for FY24 was ₹73. That financial year saw multiple payouts: ₹18 per share in January, ₹28 in May, and ₹10 each in July and October.

TCS Share Price Movement and Stock Performance 

Despite generous dividends, TCS shares have seen a significant drop recently. Over the past month, the stock has fallen by 10%. It has declined by 20% in 3 months and 24% in six months. Over the past year, it has been down 18%.

However, the stock has shown strong long-term performance. In the last 5 years, TCS share price has gained by 84%. On Wednesday, the stock closed 1.44% lower at ₹3,246.10 on the BSE.

Rising Attrition Rate in Q4

TCS also reported a rise in attrition during Q4. The attrition rate reached 13.3% over the last 12 months. This is an important metric for investors and analysts as it reflects workforce stability.

Conclusion

TCS has rewarded shareholders with a generous total dividend of ₹126 per share for FY25, outpacing last year’s payouts. While the stock has underperformed in the short term, news reports suggest that its long-term growth outlook remains strong. Investors should weigh the company’s consistent dividend policy against the recent share price trends.

Read more on: TCS Q4FY25 Results: Revenue and Free Cash Flow Saw Double-Digit Growth

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.

Home Loan Interest Rates to Ease After RBI Repo Rate Cut

You can heave a sigh of relief as your home loan interest rates are expected to fall. In FY 26’s first MPC meeting, the RBI decided to cut its repo rate by 25-basis points. This will bring the repo rate down to 6% and ease your monthly home loan EMIs.

What is Repo Rate?

The repo rate is the interest rate at which a country’s central bank (the Reserve Bank of India, in this case) lends money to commercial banks when they face a shortage of funds.

A reduction in the repo rate can lower the cost of borrowing for banks, which, in turn, can lead to reduced home loan interest rates for consumers. This is because banks often pass on the benefits of a lower repo rate to borrowers, making loans more affordable and potentially reducing monthly EMI payments.

Impact on Home Loan Interest Rates for Borrowers

While banks have been hesitant to pass on the full benefits of repo rate cuts in the past, it remains to be seen how they will react this time. If banks reduce their rates by around 50 basis points, home loan borrowers could experience significant relief. For borrowers burdened by high interest rates in recent years, this would be a welcome change.

Will Banks Reduce Home Loan Interest Rates

Some major banks, such as HDFC Bank and Axis Bank, have already confirmed that they will pass on the full 25-basis point benefit to their existing customers. According to RBI guidelines, banks must review interest rates at least once every quarter, though adjustments may vary based on the loan agreement.

How Will It Affect Your EMI?

Let’s understand the impact of RBI’s rate cut on home loan interest rates with an example. If a borrower has a ₹50 lakh home loan with a tenure of 20 years at an interest rate of 9%, the EMI would be approximately ₹44,986. With a 50-basis point reduction in interest rates, the new EMI would drop to ₹43,391. This would result in a monthly savings of ₹1,595 and an annual saving of ₹19,140. Over the loan term, borrowers could save more than ₹3.8 lakh.

Benefit for New Borrowers

New borrowers can also benefit from the lower rates in the near future. Home loan rates are expected to fall below 8% once the RBI’s 25 basis point cut is implemented. Current rates for prime borrowers (credit score > 750) are in the range of 8.10% to 8.35%.

Refinancing Opportunities

Homeowners who are paying rates significantly higher than current rates should consider refinancing their loans to take advantage of lower interest rates. Full, immediate rate cuts are generally available on repo-linked home loans.

Conclusion

The RBI’s repo rate cut will likely ease home loan EMIs, bringing relief to borrowers. New borrowers and those refinancing will especially benefit from the lower rates.

Read more: Best Logistics Stocks in India in April 2025

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Best Logistics Stocks in India in April 2025

India’s logistics and warehousing sector is experiencing strong growth, driven by rising investments, digital innovation, and favorable government policies. Contributing approximately 13–14% to the nation’s GDP, the sector is witnessing a surge in private equity funding and increasing demand for warehouse space. Government initiatives like PM Gati Shakti and the National Logistics Policy are further enhancing infrastructure development.

Major logistics hubs such as Chennai, Mumbai, Pune, and the National Capital Region (NCR) are poised to lead warehouse expansion in 2025. Developers are actively securing land for new fulfillment centres and warehouses, with several multi-modal logistics park projects underway. These advancements are expected to lower transportation costs and boost overall supply chain efficiency.

Top 5 Logistics Stocks in India in April 2025 – 5Y CAGR Basis

Logistics Stocks Market Cap PE Ratio 5Y CAGR
Container Corporation of India Ltd 41,748.85 33.12 12.86
Blue Dart Express Ltd 14,423.74 47.92 24.99
Transport Corporation of India Ltd 8,161.51 23.27 44.03
shipping corporation of India Ltd 7,728.07 11.38 39.15
VRL Logistics Ltd 4,064.22 45.74 23.54

Note: The list of best logistics shares has been selected based on the market cap of over 1,000 crore and sorted based on 5Y CAGR as of April 9, 2025. 

List of Logistics Companies in India

1.Container Corporation of India Ltd (CONCOR)

CONCOR, a government-owned logistics enterprise, provides multimodal transport solutions across India. It specializes in containerized cargo movement via both rail and road, along with warehousing and port-related logistics. As a key player in India’s export-import and domestic freight ecosystem, CONCOR plays a vital role in supporting the country’s trade infrastructure.

For FY23-24, the company reported a revenue of ₹8,632.49 crore and a net profit of ₹1,230.79 crore. In Q3 (Dec-24), revenue stood at ₹2,201.90 crore with a net profit of ₹343.44 crore.

Key Metrics:

  • EPS= ₹20.75
  • ROE= 10.39%

2.Blue Dart Express Ltd

Blue Dart is a top-tier express logistics provider known for its reliable domestic and international courier services. It excels in the swift delivery of time-sensitive shipments and maintains a strong presence in the logistics space through its robust air and ground network. The company is recognized globally for its high-performance delivery systems.

For FY23-24, the company recorded a revenue of ₹5,267.83 crore and a net profit of ₹288.64 crore. In Q3 (Dec-24), revenue was ₹1,511.69 crore with a net profit of ₹79.12 crore.

Key Metrics:

  • EPS= ₹112.72
  • ROE= 17.92%

3.Transport Corporation of India Ltd (TCI)

TCI is a comprehensive logistics solutions provider offering freight transportation, warehousing, supply chain management, and cold chain services. Catering to a wide range of industries, TCI facilitates seamless transportation across India and beyond. As a small-cap stock with diverse offerings, it plays a key role in integrated logistics.

For FY23-24, the company posted a revenue of ₹3,613.80 crore and a net profit of ₹327.90 crore. In Q3 (Dec-24), it reported ₹993.50 crore in revenue and ₹118.20 crore in net profit.

Key Metrics:

  • EPS= ₹50.64
  • ROE= 21.20%

4.Shipping Corporation of India Ltd (SCI)

SCI, a government-operated maritime logistics firm, is a cornerstone in India’s shipping sector. It manages a diverse fleet including bulk carriers, oil tankers, container ships, and offshore vessels. SCI supports both commercial trade and energy logistics, with a global footprint in maritime transportation.

For FY23-24, the company reported a revenue of ₹5,046.04 crore and a net profit of ₹612.15 crore. In Q3 (Dec-24), revenue stood at ₹1,302.97 crore with a net profit of ₹64.80 crore.

Key Metrics:

  • EPS= ₹20.05
  • ROE= 12.43%

5.VRL Logistics Limited

VRL Logistics is a leading Indian goods transport company, primarily focused on less-than-truckload (LTL) cargo services. Its core offerings include parcel delivery, courier services, full truckload (FTL) transport, and specialized cargo handling such as sensitive equipment and oversized items. The company operates an extensive fleet of 5,994 self-owned vehicles with a total carrying capacity of 86,405 tons.

For FY23-24, the company recorded a revenue of ₹2,888.62 crore and a net profit of ₹88.85 crore. In Q3 (Dec-24), it posted ₹825.22 crore in revenue and ₹59.42 crore in net profit.

Key Metrics:

  • EPS= ₹14.89
  • ROE= 13.09%

Logistics Sector Stocks Based On Market Capitalisation

Logistics Stocks Market Cap (₹ crore)
Container Corporation of India Ltd 41,748.85
Delhivery Ltd 18,143.73
Blue Dart Express Ltd 14,423.74
Transport Corporation of India Ltd 8,161.51
shipping corporation of India Ltd 7,728.07

Note: The list of best logistics shares has been selected based on the market cap of over 1,000 crore as of April 9, 2025.

Top Logistics Companies in India Based On Net Profit Margin

Logistics Stocks PE Ratio Net Profit Margin (₹)
Container Corporation of India Ltd 33.12 13.68
Blue Dart Express Ltd 47.92 5.66
Transport Corporation of India Ltd 23.27 8.46
shipping corporation of India Ltd 11.38 12.74
VRL Logistics Ltd 45.74 3.05

Note: The list of best gold stocks has been selected based on the market cap of over 1,000 crore and sorted based on net profit margin as of April 9, 2025.

Benefits of Investing in India’s Top Logistics Companies

  1. Economic Expansion: India’s growing economy fuels higher demand for logistics services, which can positively impact the performance of logistics-related stocks.
  2. E-commerce Growth: With the boom in online retail, the need for efficient delivery systems has surged. This trend supports logistics companies, particularly those excelling in last-mile delivery, boosting their market potential.
  3. Supportive Government Policies: Initiatives like the National Logistics Policy and substantial infrastructure investment are designed to streamline the logistics sector, creating favorable conditions for the growth of logistics-focused stocks.
  4. Embracing Technology: Firms adopting automation and modern supply chain technologies can enhance efficiency, reduce costs, and improve profit margins, making them attractive investment options.
  5. Expansive Domestic Market: India’s large population and vast geography create consistent demand for logistics services, offering companies ample opportunities for scaling and revenue generation.
  6. Relative Stability: Though affected by economic cycles, well-established logistics firms with diversified services and strong operational networks tend to show resilience and consistent performance over time, making them suitable for long-term investment.

Conclusion

India’s logistics sector offers strong long-term potential, supported by economic growth, digital adoption, and government initiatives. Investing in top logistics stocks can provide stable returns and portfolio diversification. However, investors should conduct thorough research and consider financial goals before making decisions in this dynamic and evolving industry.

Read more on: Best Government Stocks in April 2025: RVNL, HAL, BDL & More Based on 5-Yr CAGR

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Top Gainers and Losers on April 9, 2025: Nestle India & Hindustan Unilever Shine

On April 9, 2025, the BSE Sensex was down by 0.51%, closing at 73,847.15 while the Nifty50 fell by 0.61% at 22,399.15.

Here are the day’s top gainers and losers:

Top Gainers of the Day

Symbol LTP %chng
NESTLEIND 2,350.00 3.28
HINDUNILVR 2,349.00 2.61
TITAN 3,178.95 1.81
POWERGRID 294.1 1.78
TATACONSUM 1,087.55 1.66

  • Nestle India

Nestle India share price opened at ₹2,283.20 and closed at ₹2,350.00, gaining 3.28%. The stock saw a rise amid positive market sentiment.

  • Hindustan Unilever

Hindustan Unilever share price opened at ₹2,293.95 and closed at ₹2,349.00, gaining 2.61%. The company continues to perform well with steady demand for its products.

  • Titan

Titan share price opened at ₹3,137.85 and closed at ₹3,178.95, gaining 1.81%. The stock reflects investor confidence in the brand’s strong retail performance.

  • Powergrid Corporation

Powergrid share price opened at ₹289.95 and closed at ₹294.10, gaining 1.78%. The company remains stable with ongoing infrastructure projects.

  • Tata Consumer Products

Tata Consumer Products share price opened at ₹1,062.00 and closed at ₹1,087.55, gaining 1.66%. The stock saw a positive movement as market demand for consumer goods remains strong.

Top Losers of the Day

Symbol LTP %chng
WIPRO 236.80 -4.23
SBIN 742.45 -3.4
TECHM 1,270.95 -3.31
LT 3,062.00 -3.13
TRENT 4,625.70 -2.97

  • WIPRO

Wipro share price opened at ₹240.7 and closed at ₹236.8, declining by 4.23%. The stock faced a drop following some weak market performance.

  • SBI

SBI share price opened at ₹767 and closed at ₹742.45, falling by 3.4%. The decline comes amid market volatility and lower investor sentiment.

  • Tech Mahindra

Tech Mahindra share price opened at ₹1,290.00 and closed at ₹1,270.95, down by 3.31%. The stock experienced a dip due to overall market weakness.

  • Larsen & Toubro

LT share price opened at ₹3,158.80 and closed at ₹3,062.00, falling by 3.13%. The company’s stock saw a decline in response to broader market trends.

  • TRENT

TRENT share price opened at ₹4,767.00 and closed at ₹4,625.70, down by 2.97%. The stock slipped due to investor concerns about retail performance.

Conclusion

Today’s top gainers and losers highlight the stock market’s volatility, driven by factors like corporate earnings, economic data, and global trends. Investors must stay informed and carefully analyse market movements before making any investment decisions to navigate the dynamic nature of the market effectively.

Read more on: Stocks That Hit Circuit Limits On April 9, 2025: Senco Gold, Godfrey Phillips and More

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

How Will 5 Day Banking Workweek Impact the Economy?

Debates over 5-day banking workweek have reemerged among bank employees amidst rapid digital transformation. They demand weekly offs like other banks’ employees worldwide. However, this shift has multiple pros and cons, and they must be carefully evaluated.

Advantages of a 5-Day Banking Workweek

Employee Well-being

A 5-day workweek for bank employees can enhance their well-being. A shorter workweek could provide much-needed relief from excessive workloads, staff shortages, and demand for extended hours. This will reduce burnout, improve job satisfaction and productivity, and enhance service quality.

Increased Efficiency

With the rise of digital banking, the need for physical bank branches to operate 6 days a week has diminished. A 5-day schedule would allow banks to optimise operations during the weekdays, enhancing productivity and focusing on high-impact tasks.

By extending weekday hours slightly and investing further in digital platforms, banks can continue offering essential services outside of office hours, maintaining customer satisfaction.

Global Trends

Countries with advanced banking systems, such as the US and the UK, have successfully implemented 5-day banking workweeks without compromising service quality. India’s banking sector could benefit from aligning itself with global practices, modernising operations while still ensuring effective customer service.

Challenges of a 5-Day Banking Workweek

Rural Accessibility

In rural India, many people still rely on physical bank branches for their financial needs. Reducing the number of operational days could limit access to services in underserved areas where digital banking is not widespread. This could create a barrier to financial inclusion, especially for the most vulnerable sections of society.

Staffing Strain in Public Sector Banks

Public sector banks, facing staffing shortages, would need to address the operational strain before transitioning to a five-day workweek. If not handled carefully, this could lead to further inefficiencies and increased stress on existing staff.

Conclusion

A 5-day banking workweek can be a feasible solution to address increasing levels of stress among bank employees. However, addressing rural accessibility and staffing challenges is crucial for its success. 

Read more: Can Bank Employees Expect a 5-Day Workweek From FY26?

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Here’s How the New Tax Regime Will Impact Your Monthly Tax Savings!

Curious about the changes in India’s new tax regime in India? It shows how much tax you will save monthly based on different annual incomes. The incomes considered are ₹15 lakh, ₹25 lakh, ₹35 lakh, and ₹45 lakh.

Previous New Tax Slab Rates

In the old new tax regime, income up to ₹3 lakh had no tax. After a rebate, income up to ₹7 lakh per year was also tax-free. The tax slab rate started from those earning above ₹7,00,001 at a 10% rate. Subsequently,

Income Range (₹) Tax Rate (%)
Above 10,00,001 15
Above 12,00,001 20
Above 15,00,001 30

Current New Tax Regime Slabs

Finance Minister Nirmala Sitharaman proposed the current new tax regime in February 2025. Under this, the tax-free limit increased to ₹4 lakh. Subsequently,

Income Range (₹) Tax Rate
₹4,00,000 – ₹8,00,000 5%
₹8,00,001 – ₹12,00,000 10%
₹12,00,001 – ₹16,00,000 15%
₹16,00,001 – ₹20,00,000 20%
₹20,00,001 – ₹24,00,000 25%
Above ₹24,00,001 30%

Other Key Changes That Impact Your Tax Savings

Another big change is that the tax-free income limit has increased to ₹12,00,000. For salaried individuals, this limit has become ₹12,75,000.

Salaried individuals get a standard deduction under Section 87A and get an extra tax break of ₹75,000.

If someone earns ₹12 lakh, their tax before rebate would be ₹60,000. However, under Section 87A, they get a maximum tax rebate of ₹60,000. This makes their income of ₹12 lakh tax-free.

The new tax regime offers another important benefit. If a taxpayer’s income is slightly above the tax-free limit, they don’t pay tax on the entire income. For example, if someone earns ₹12,05,000, they don’t pay tax on the whole amount. Their total tax will be ₹5,000 plus 4% (education and health cess) of the ₹5,000.

Calculation of Tax Savings

Tax Savings at ₹15 Lakh Income

  • Old New Tax Regime (FY24-25): ₹1,30,000
  • Current New Tax Regime (FY25-26): ₹97,500
  • Yearly Saving: ₹32,500
  • Monthly Saving: ₹2,708.33

Tax Savings at ₹25 Lakh Income

  • Old New Tax Regime (FY24-25): ₹4,34,200
  • Current New Tax Regime (FY25-26): ₹3,19,800
  • Yearly Saving: ₹1,14,400
  • Monthly Saving: ₹9,533.33

Tax Savings at ₹35 Lakh Income

  • Old New Tax Regime (FY24-25): ₹7,46,200
  • Current New Tax Regime (FY25-26): ₹6,31,800
  • Yearly Saving: ₹1,14,400
  • Monthly Saving: ₹9,533.33

Tax Savings at ₹45 Lakh Income

  • Old New Tax Regime (FY24-25): ₹10,58,200
  • Current New Tax Regime (FY25-26): ₹9,43,800
  • Yearly Saving: ₹1,14,400
  • Monthly Saving: ₹9,533.33

Conclusion

The revised new tax regime in India, effective from FY25-26, brings significant changes in tax slabs and tax-free income limits. While some income groups will see substantial monthly savings, others might experience less benefit compared to the previous new tax regime. Taxpayers should review these changes to understand their tax liabilities better.

Read more on: SBI Revises ATM Charges: What It Means for You

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.

India’s GDP Growth Revised to 6.7% by ADB

The risk posed by US tariffs have prompted the Asian Development Bank (ADB) to reduce its growth forecast for India. In FY26, the economy is expected to grow by 6.7%, instead of 7%.

In its April 2025 outlook report, the ADB also noted that global economic uncertainty could slow down investment projects in India. This can potentially cause instability in India’s financial market and impact its export potential.

However, the ADB report also mentions some positive news. India’s goods exports to the US are a relatively small part of its GDP, accounting for only 2%. A potential trade agreement between India and the US can mitigate future risks to economic growth. Currently, the Indian government is in negotiations with the USA.

ADB on Factors Supporting India’s Growth

The ADB highlighted several factors that would support India’s economic growth. These include favorable monetary and fiscal policies. Apart from this, rising rural incomes and moderating inflation are also expected to contribute positively. The ADB expected India to record a GDP growth of 6.8% in FY27.

Challenges with Food Inflation

The ADB pointed out that managing food inflation alongside extreme weather events will be a challenge for India. This poses risks to the agricultural sector.

The report also warned that a mismatch between demand and supply could lead to higher food inflation and raise inflationary expectations. This could happen unless policies are implemented to strengthen the food supply chain.

Growth Forecast of ADB for Developing Asia

The ADB projects that developing Asia and the Pacific will grow by 4.9% in FY26. This is a decrease from the 5% growth recorded last year.

The growth forecasts were finalised before US President Donald Trump announced tariffs on several nations on April 2.

Conclusion

The ADB has slightly lowered India’s growth forecast for FY26 due to potential risks from US tariffs and global uncertainty. However, favourable domestic policies and a possible trade deal may mitigate the risks of economic slowdown. The ADB has emphasised the importance of open trade for Asia to navigate future economic headwinds.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Muthoot Finance Share Price Falls by 7.32% After THIS Announcement of RBI

Today at 12.55 PM, Muthoot Finance share price was down 7.32% and was trading at ₹2,124.90. This can be attributed to a recent RBI announcement. The Central Bank plans to create a new set of guidelines that harmonises gold loan lending practices across India. This will encourage responsible lending practices by gold loan companies.

Muthoot Finance Share Price Drops Sharply

Muthoot Finance’s share price began trading today on the BSE at ₹228. The stock then reached a high of ₹228.55 and a low of ₹222 during the day. As per news reports, nearly 98% of Muthoot’s Assets Under Management (AUM) come from gold loans. Thus, any development in the sector will have affect its operations and revenue.

What to Expect From RBI’s New Rules?

The rules will apply uniformly to all banks and financial companies. This signals a potential shift in the way gold loans are disbursed across India. Gold loans are often secured by gold jewellery and ornaments. They help common people to meet their personal needs during an emergency. They also serve as capital for small-size businesses.

Currently, different gold loan companies follow different operational guidelines in lending. The new regulations could therefore lead to changes in the processes and terms associated with obtaining loans by pledging gold.

Potential Impact

The RBI’s proposed plan will increase standardisation of practices in the gold loan industry. This will ensure greater accountability of companies and reduce the risk of defaults.

Conclusion

The RBI’s plan for uniform gold loan rules caused a sharp fall in Muthoot Finance’s share price, given that 98% of its AUM is gold loans. These new regulations aim to standardise lending practices, increase accountability, and reduce default risks across the sector, potentially impacting Muthoot’s operations.

Read more on: Gensol Share Price Locked in 5% Lower Circuit: Dropped 88% From its June 2024 High

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.

What Does CRISIL’s Research Note Say About US Tariffs?

A CRISIL research note has indicated that US tariffs will negatively impact profitability for Indian companies. This was shared widely on social media channels. As per its information, US tariffs will especially affect micro, small, and medium enterprises in India.

Role of MSMEs in India’s Economic Growth

Micro, small, and medium-sized enterprises (MSMEs) are crucial to the Indian economy. They make a significant contribution to employment, exports, and overall economic growth. They account for over 30% of India’s GDP. They contribute over 40% of India’s exports and providing employment to millions.

What Does CRISIL say?

CRISIL’s analysis indicates a negative outlook for the gems and jewellery sector, and a slightly negative outlook for chemicals, aluminium, and auto components.

The note indicates a neutral outlook for pharmaceuticals, solar PV modules, and steel producers.

However, it is slightly more positive for manufacturers of agricultural products, textiles, apparel, and smartphones.

These sectors collectively account for over 60% of India’s non-petroleum merchandise exports to the US.

Here is a breakdown of the sectoral impact of US tariffs on Indian industries:

Industry India’s Exports as a % of Domestic Output Exports to the US Old tariff structure Additional duties New Tariffs Potential Impact
Textiles and apparel 28.00% 37.00% 11.00% 26 37.00% Marginally favourable
Steel 5.00% 1.00% 0.00% 25 25.00% Neutral
Smartphones 30.00% 37.00% 0.00% 26 26.00% Marginally favourable
Photovoltaics 26.00% 97.00% 0.00% 0.00% Neutral
Pharmaceuticals 32.00% 53.00% 1.30% Exempt 1.30% Neutral
Gems and jewellery 26.00% 37.00% 7.00% 26 33.00% Unfavourable
Chemicals 40.00% 13.00% 3.70% 26 29.70% Marginally unfavourable
Auto components 15.00% 28.00% 2.00% 25 25.00% Marginally unfavourable
Aluminium 47.00% 6.00% 2.60% 25 25.00% Marginally unfavourable
Agriculture NA 11.00% 0.00% 26 26.00% Marginally favourable

Conclusion

US tariffs are expected to negatively impact Indian companies, particularly MSMEs. While gems and jewellery face the most significant challenges, sectors like chemicals, aluminium, and auto components also see a negative outlook. However, textiles, apparel, and smartphones might benefit slightly.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.