Is Manappuram Finance a Good Investment in India in 2025?

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At HelloSafe, our expert has been tracking the performance of Manappuram Finance for over three years. Every month, lakhs of users in India trust us to decipher market trends and identify the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, paid by Manappuram Finance.

What is Manappuram Finance?

Manappuram Finance Stock Price

The price of Manappuram Finance stock is rising this week. Currently, the share trades at ₹276.65, marking an increase of ₹1.80 in the last 24 hours and a slight decline of 0.09% over the week. The company’s market capitalization stands at ₹23,416 crores, with an average 3-month daily volume of 10.74 million shares. It posts a P/E ratio of 19.25, a dividend yield of 1.27%, and a beta of 1.08, reflecting moderate market volatility. This combination of robust volume and solid fundamentals highlights its ongoing appeal to Indian investors.

Our full analysis of the Manappuram Finance stock

After an in-depth review of Manappuram Finance’s latest quarterly results and an integrated study of the stock’s multi-year performance, we leveraged our proprietary models to synthesize financial metrics, technical signals, and competitive benchmarks. By aggregating a wide spectrum of credible market data and sector-specific trends, our analysts are able to provide a discriminating perspective for institutional and retail investors alike. So, why might Manappuram Finance stock once again become a strategic entry point into the Indian NBFC sector in 2025?

Recent performance and market context

Manappuram Finance has established itself as one of the top-performing NBFC stocks on the Indian exchanges, trading at ₹276.65 as of July 2025—only 3% off its 52-week high. Over the past six months, the stock has surged by 47%, with a one-year total return exceeding 32%. This performance is especially noteworthy given heightened regulatory scrutiny and macroeconomic challenges, reflecting strong underlying demand for gold-backed loans. Recent regulatory clarity from the Reserve Bank of India (RBI), which set the loan-to-value cap at a market-friendly 75%, provided needed stability to the business model. The market’s positive reaction—evidenced by robust daily volumes averaging 10.74 million shares—signals renewed institutional confidence. As India continues to drive financial inclusion and credit growth in rural and semi-urban India, Manappuram Finance’s agile model positions it to thrive in this expanding ecosystem.

Technical analysis

The technical outlook for Manappuram Finance is decisively bullish. The shares currently sit above all major moving averages: 5-day (₹275.28), 20-day (₹271.87), 50-day (₹247.74), and 200-day (₹204.68), reflecting a strong upward momentum. Key oscillators point to continued strength, with a 14-day RSI at 49.66 (neutral but trending towards the upper band) and a positive MACD reading of 0.657, triggering a clear buy signal. Notably, the Momentum technical score stands at 62.5/100, confirming medium-term investor confidence. Immediate support is found at ₹273.60, with major resistance at ₹284.90 (the recent 52-week high). The stock’s ability to consolidate around its upper range—against a backdrop of strong sector flows—suggests an attractive setup for both new entrants and accumulators eyeing an extended bullish phase.

Fundamental analysis

Fundamentally, Manappuram Finance’s robust revenue growth is a highlight: FY25 saw annual revenues climb to ₹10,041 crores, up 13.5% year-over-year, outpacing many direct competitors. While headline profitability for the last quarter showed a temporary setback (₹191 crore net loss due to one-off provisioning), full-year net profit remains healthy at ₹1,173 crores, supporting an EPS of ₹14.37. The company’s P/E ratio of 19.25 is modest in comparison to both historical averages and the sector P/E of 28.79, speaking to an attractive relative valuation. The P/B ratio of just 1.87, against a book value per share of ₹147, signals further downside protection. Strategically, Manappuram Finance’s brand recognition, near-zero debt, and expansion across gold, vehicle, and home finance distinguish it as a diversified, innovation-minded market leader. Its capacity to pivot and expand beyond traditional gold loans—while managing asset quality—underscores a structural strength that is hard to replicate.

Volume and liquidity

One of the most compelling signals underpinning the current uptrend is the sustained trading liquidity. With an average of 10.74 million shares exchanging hands daily, Manappuram Finance consistently ranks among the most liquid NBFCs on the market. This robust float is a mark of institutional interest and greatly enhances price discovery. High liquidity not only cushions against volatility but also enables large-volume entries or exits for both retail and professional investors, keeping the stock dynamic and responsive to positive news or sector tailwinds.

Catalysts and positive outlook

Looking ahead, several bullish catalysts make Manappuram Finance a name to watch. First, the new RBI regulatory framework brings stability and transparency, which is expected to facilitate sustained growth in the gold loans segment. Management’s ongoing diversification into auto and home finance lines positions the company for multi-vector revenue expansion—an essential hedge in a dynamic NBFC environment. The recent dividend payout of ₹0.50 per share, maintained despite quarterly losses, is a strong signal of management’s confidence and commitment to shareholder returns. Strategically, Manappuram Finance is embedded in the heart of India’s accelerating gold-loan market, a sector benefitting from demographic tailwinds, heightened unmet rural credit needs, and the country’s ongoing formalization of collateralized lending. Additional catalysts include digital transformation initiatives, improved asset quality management, and the company’s prominent placement in the BSE 500 and Nifty 500 indices, which ensure ongoing institutional attention and ETF flows. As the Indian economy continues to expand, Manappuram Finance’s scale, technological integration, and market reach position it for outsized gains.

Investment strategies

• Short-term traders could look for confirmations of support around ₹273 and add on technical breakout signals above ₹285, aiming to ride momentum as the stock tests new highs.
• Medium-term investors should consider phased entries on minor pullbacks, given the resilient uptrend and reasonable valuation metrics.
• Long-term allocators stand to gain from the company’s highly scalable business model, prudent capital allocation, and successful push into adjacent lending segments. The addition of sustained dividends, a proven management team, and strong governance ensure that Manappuram Finance remains well-positioned for compounding returns. Timing entry at or near established support zones offers an optimal risk/reward scenario, especially ahead of upcoming earnings and sectoral re-ratings.

Is it the right time to buy Manappuram Finance?

Manappuram Finance currently displays a rare synergy of technical strength, fundamental appeal, and positive sector tailwinds that justify renewed optimism. Its leadership in the gold loan NBFC segment, robust growth trajectory, attractive valuations, and consistent investor interest all argue in favor of serious consideration for portfolio inclusion. With trading momentum intact and a proven ability to capitalize on India’s credit and consumption megatrends, the stock seems to represent an excellent opportunity for investors seeking quality exposure to the financial sector’s next growth phase. As bullish catalysts multiply and institutional flows intensify, Manappuram Finance may well be entering a sustained upward cycle whose potential still appears underestimated by the broader market. The current environment appears highly favorable for those looking to capitalize on its promising outlook and sector leadership.

How to buy Manappuram Finance stock

Buying Manappuram Finance stock online is both simple and secure thanks to regulated brokers in India. Investors can choose between two main approaches: direct spot buying (owning shares outright) or using Contracts for Difference (CFDs) to speculate on price movements without physically owning the stock. Spot buying is ideal for those looking to invest and hold, while CFDs offer leveraged trading for more experienced investors. If you're unsure which method suits your needs, be sure to consult the broker comparison further down the page to make an informed choice.

Spot buying

A cash purchase means you acquire real Manappuram Finance shares listed on the NSE or BSE, becoming a shareholder. In India, spot buying typically incurs a fixed brokerage commission per order (usually around ₹20 to ₹40), plus statutory charges.

Gain scenario

If the Manappuram Finance share price is ₹276.65 (₹), you can buy around 3 shares with a $1,000 (approximately ₹83,000) stake, including a brokerage fee of around $5.

If the share price rises by 10%, your shares are now worth $1,100.

Result: +$100 gross gain, i.e. +10% on your investment.

Trading via CFD

CFD trading allows you to speculate on Manappuram Finance's share price using leverage, without taking ownership of the shares. Instead of a fixed fee, you pay the spread (the difference between buy and sell prices) and potentially overnight financing charges if you hold your position beyond a day.

CFD Gain Scenario with Leverage

You open a CFD position on Manappuram Finance shares, with 5x leverage.

This gives you a market exposure of $5,000 for a $1,000 deposit.

✔️ Gain scenario:

If the stock rises by 8%, your position gains 8% × 5 = 40%.

Result: +$400 gain, on a bet of $1,000 (excluding fees).

Final advice

Before you buy Manappuram Finance shares, always compare brokers' fees, trading conditions, and customer service standards. The best method depends on whether you want to hold the stock for the long term (spot) or prefer active, leveraged trading (CFD). To guide you further, a dedicated broker comparison is available further down the page.

Our 7 Tips for Buying Manappuram Finance Stock

The latest news about Manappuram Finance

Manappuram Finance stock remains within reach of its 52-week high supported by strong technical signals. In the past week, Manappuram Finance has continued to trade around ₹276.65, with recent intraday moves signaling resilience and stability despite minor profit-booking. Technical analyses maintain a strong buy signal, supported by the stock’s performance above key moving averages and a neutral RSI, indicating momentum and investor confidence within the Indian market.

The company declared a dividend of ₹0.50 per share even after a challenging quarterly result. Despite recording a net loss for Q4 FY25, Manappuram Finance’s Board sustained its commitment to shareholder returns by announcing a ₹0.50 per share dividend. This reinforces a sense of stability and management’s confidence in the medium-term outlook of the company.

Regulatory updates from the Reserve Bank of India have brought clarity to gold loan norms. The Reserve Bank of India’s latest guidelines, enacted in April 2025, limit the gold loan loan-to-value ratio to 75%. Manappuram Finance’s management confirmed that these changes bring beneficial standardisation and do not have a significant adverse effect on core operations, facilitating predictable business planning.

Momentum in the gold loan sector boosts growth prospects for Manappuram Finance. Industry reports point to increasing demand for gold-backed loans across India. As the second largest NBFC in this space, Manappuram Finance is well-positioned to capture this growth, and recent diversification moves into auto and housing finance further support long-term expansion.

Foreign institutional investors maintain substantial participation in Manappuram Finance’s shareholding. As of March 2025, FIIs held 28.43% of the company, signaling ongoing international confidence in Manappuram Finance and underlining the stock’s appeal in a diversified Indian portfolio. This foreign backing is viewed positively by market participants given its role in price stability and liquidity.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.