Muthoot Finance shares tumble 7.5 pc after Moody's changes outlook to negative

Shares of Muthoot Finance on Wednesday plunged 7.5 per cent after Moody's downgraded the outlook on company's ratings to negative from stable. The company's scrip declined 7.53 per cent to close at Rs 691 on the BSE. During the day, it dropped 9.31 per cent to Rs 677.65.

At the NSE, it fell 7.43 per cent to close at Rs 690.55. The ratings agency retained the rating on Muthoot Finance, but downgraded outlook to negative from stable, it said on Monday.

Equity markets were closed on Tuesday on account of Dr Baba Saheb Ambedkar Jayanti. Domestic non-banking financial companies (NBFCs) have been affected given disruptions to economic activity from the coronavirus outbreak, which will weaken their credit profiles, the agency said.

Moody's regards the coronavirus outbreak as a social risk under its ESG (environmental, social and governance) framework, given the substantial implications for public health and safety, it added..