Shares of Muthoot Finance slumped due to lower revenue from financing segment. The stock slumped as much as 7.6 per cent to Rs 387.60, lowest since March 26. The stock posted its biggest daily percentage loss since February 2.

The company had on Wednesday reported 8 per cent decline in revenue from the financing segment for March quarter. Its total revenue fell 6 per cent. However, the net profit jumped 40 per cent due to lower expenses.

Kotak Institutional Equities has cut the target price to Rs 480 from Rs 500; it says rise in non-performing loans is a primary concern. The brokerage expects earnings growth in core business to remain muted due to moderate loan growth offset by lower interest margins and higher credit costs.

Of eight brokerages covering the stock, seven have 'buy' or higher rating, while one has 'hold' rating; their median price target is Rs 515. More than 1.7 million shares traded against 30-day average volume of around 0.7 million.

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