GMDC share price today: Gujarat Mineral Development Corporation jumps 6% as rare‑earth magnet scheme sparks heavy buying (27 November 2025)

Mumbai, 27 November 2025 — Shares of Gujarat Mineral Development Corporation Limited (GMDC) (NSE: GMDCLTD, BSE: 532181) extended their sharp up-move on Thursday, riding a powerful policy-driven rally in mineral and metals stocks after the Union Cabinet cleared a ₹7,280‑crore incentive scheme for rare earth permanent magnets. ^[1]

GMDC share price today: intraday action, volumes and market context

By early afternoon on 27 November 2025, GMDC was one of the most actively traded PSU stocks on the market:

On the NSE, the stock was quoted around ₹556–₹559, up roughly 5–6% versus Wednesday’s close of ₹528.10. ^[2]
On the BSE, GMDC hit an intraday high of about ₹575.65–₹575.90 and a low near ₹538, implying a wide trading range of nearly ₹38 per share. ^[3]
End‑of‑day data from one price feed shows GMDC closing near ₹558.50, up about 5.8% day‑on‑day. ^[4]

Turnover has been the other big story:

Moneycontrol’s live data shows volumes around 41 million shares on Thursday, compared with a 20‑day average of about 3.7 million — more than 10 times the usual activity. ^[5]
Business Standard similarly reports that about 39.23 million shares, or over 12% of GMDC’s equity, changed hands across NSE and BSE by early afternoon. ^[6]

The move caps a third consecutive day of gains:

GMDC climbed 3.9% on 25 November, 8.2% on 26 November, and another ~5–7% intraday on 27 November, taking the three‑day rally to roughly 19%. ^[7]
The stock is now only about 14–15% below its 52‑week high near ₹651, hit in October 2025. ^[8]

All this is happening against a buoyant backdrop: the Sensex and Nifty 50 both hit fresh record highs on Thursday, continuing a broader bull run in Indian equities. ^[9]

Why GMDC is surging: the rare‑earth magnet incentive scheme

The immediate trigger for the latest leg of the GMDC rally is the Cabinet’s approval of the “Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets (REPM)”: ^[10]

Total outlay: ₹7,280 crore over seven years.
Goal: Build 6,000 metric tonnes per annum of integrated REPM manufacturing capacity in India.
Structure:
- Around ₹6,450 crore earmarked as sales‑linked incentives over five years.
- About ₹750 crore as capital subsidy for setting up capacity. ^[11]
Scope: Focuses on the entire value chain — converting rare‑earth oxides into metals, then alloys, and finally finished magnets. ^[12]

These magnets are critical components in electric vehicles, wind turbines, consumer electronics, aerospace and defence, making the scheme strategically important as India seeks to reduce import dependence and position itself as a global manufacturing hub. ^[13]

Why investors think GMDC could benefit

Financial media coverage on Thursday repeatedly grouped GMDC with other potential beneficiaries of the scheme:

ET Now highlighted GMDC as a PSU miner that surged over 9% intraday, explicitly linking the move to the Cabinet’s REPM scheme clearance. ^[14]
Business Standard noted that industrial mineral PSUs GMDC and MOIL rallied up to 9% on strong volumes after reports that the government approved the ₹7,280‑crore magnet incentive programme. ^[15]
The same Business Standard piece cited brokerage commentary that GMDC is developing a facility capable of processing up to 12,000 tonnes of total rare‑earth oxides annually, including about 1,800 tonnes of high‑value neodymium–praseodymium (Nd‑Pr) oxide — key inputs for permanent magnets. ^[16]

This combination — a national strategic scheme plus GMDC’s stated intention to build rare‑earth processing capacity — has led traders to treat the stock as one of the more visible “rare‑earth theme” plays in the listed universe.

What the news outlets are saying about GMDC today

A scan of major financial media on 27 November 2025 shows GMDC at the centre of several stories:

Moneycontrol – “GMDC stock extends rally with 7.6 percent surge; Sona Comstar also gains on rare earth magnet plans”
- Reports GMDC jumping about 7.6% to ₹568.3, extending a strong week‑long run.
- Notes the stock is up roughly 75% year‑to‑date, with a market capitalisation of ~₹18,000 crore, trading at about 18× trailing earnings and offering a ~1.8% dividend yield. ^[17]
Moneycontrol – “Rare earth magnet incentive lifts GMDC, other mineral stocks, yet Indian market lacks a true rare‑earth play”
- Describes the current spike in GMDC and peers as a policy‑driven rally but warns that no domestic miner is yet a pure rare‑earth magnet play.
- Quotes market experts arguing that GMDC’s long‑discussed shift from lignite to higher‑value minerals has not yet translated into a sustainable rare‑earth business, and that investors “cannot just buy GMDC” solely on the magnet theme. ^[18]
Business Standard – “GMDC, MOIL rally up to 9%; why industrial mineral stocks in focus?”
- Highlights GMDC’s intraday jump to ₹575.65, with the stock trading about 8% higher at ₹567.70 around 1 pm and volumes roughly 10× the recent average.
- Points out that GMDC had already hit a 52‑week high of ₹651.45 in October, and underscores the potential benefit from a domestic rare‑earth processing facility aligned with government policy. ^[19]
ET Now – “GMDC share price: PSU stock zooms 9% after Modi Cabinet clears Rs 7,280 crore scheme”
- Links the 9% surge and intraday high of ₹575.65 directly to the Cabinet decision, and explains the key features of the REPM scheme for readers. ^[20]
Economic Times (live market blog)
- Flags GMDC as a top mover, noting that shares were up around 7% and rising for the third straight session on the rare‑earth incentive news, amid record‑high levels for the Sensex and Nifty. ^[21]
MarketsMojo – “Gujarat Mineral Development Corporation Hits Intraday High with Strong Trading Momentum”
- Emphasises an intraday gain of about 6.8–7%, outperformance versus both the minerals & mining sector and the Sensex, and a three‑day cumulative return near 19.5%.
- Notes that GMDC’s price is above its 5‑day, 100‑day and 200‑day moving averages, signalling strong short‑term momentum despite some medium‑term consolidation. ^[22]

Taken together, the coverage paints a consistent picture: GMDC is one of the day’s most watched PSU stocks, with sentiment driven largely by the rare‑earth policy push rather than any fresh company‑specific announcement.

Fundamentals check: GMDC’s Q2 FY26 earnings under the hood

While the price is reacting to policy, fundamentals still matter — and here the latest quarterly numbers are more nuanced than the rally suggests.

GMDC announced its Q2 FY26 (quarter ended 30 September 2025) results earlier this month: ^[23]

Revenue from operations:
- About ₹527–528 crore, down roughly 11% year‑on‑year, and nearly 28% lower quarter‑on‑quarter, indicating a slowdown in core mining operations. ^[24]
Profit after tax (PAT):
- Surged to roughly ₹465–470 crore, up about 260–265% YoY and nearly 184% QoQ, implying a net margin above 40%. ^[25]
Profit before tax (before exceptional items):
- Business Standard points out that PBT before exceptional items actually fell ~15% YoY to ~₹155 crore, highlighting that underlying profitability was weaker once one‑offs are stripped out. ^[26]

Brokerage and data‑provider commentary suggests that the strong bottom line was supported by higher other income and exceptional gains, even as operational revenue and EBITDA softened. ^[27]

In other words, GMDC’s recent earnings beat is not purely operational. For investors, that makes it important to distinguish between recurring cash‑flow strength and one‑time boosts when interpreting headline profit growth.

Valuation snapshot: how expensive is GMDC after the rally?

Live valuation data from market trackers shows GMDC is no longer cheap on traditional multiples: ^[28]

Market capitalisation: ~₹17,700–18,000 crore.
Trailing twelve‑month EPS: about ₹31.6.
Trailing P/E: roughly 17.5–18×, which is above the metals & mining sector average (around 12–13×).
Price‑to‑book (P/B): about 2.8×, flagged as “high P/B” relative to its historical range.
Dividend yield: around 1.8% on a trailing basis.

Price‑performance metrics from MarketsMojo underline how far the stock has already come: GMDC’s share price has delivered about 37–38% returns in three months, ~75% year‑to‑date and over 60% in one year, while the five‑year return is reported above 1,000% versus sub‑100% gains for the Sensex in the same period. ^[29]

This combination — elevated valuations plus very strong historical returns — explains why some analysts describe GMDC as a financially sound but “highly valued” stock, even before layering in the rare‑earth story. ^[30]

Rare‑earth story: excitement vs reality

A key theme running through Thursday’s commentary is the gap between market excitement and operational reality in India’s rare‑earth value chain.

1. Structural supply constraints

Moneycontrol’s deep‑dive on the magnet scheme highlights several constraints that limit immediate upside for miners like GMDC: ^[31]

Only one significant domestic miner of rare‑earth elements today is IREL (India) Limited, under the Department of Atomic Energy.
In consultations with the government, IREL is reported to have indicated that it can supply no more than about 500 tonnes of rare‑earth oxides annually.
To support the targeted 6,000 tonnes of rare‑earth magnets per year, India would need roughly 1,500 tonnes of oxides, leaving a deficit of about 1,000 tonnes, which would still need to be imported.

Given this backdrop, listed miners like GMDC are not yet integrated into the magnet value chain, and their near‑term earnings will continue to be driven primarily by existing businesses — lignite, bauxite and other industrial minerals, along with GMDC’s thermal, wind and solar power operations. ^[32]

2. Expert caution on the “rare‑earth trade”

Market veteran Dipan Mehta, cited in Thursday’s coverage, struck a notably cautious tone: ^[33]

He argues that GMDC’s efforts to pivot from lignite toward higher‑value minerals haven’t yet produced a robust rare‑earth business model.
According to Mehta, investors “cannot buy GMDC purely on the assumption” that India will mine or process more rare‑earths in the future, because no Indian listed company currently offers true, large‑scale exposure to rare‑earth magnets.

The article concludes that while policy incentives can kick‑start investment, India’s rare‑earth value chain — from mining and refining to alloying and magnet manufacturing — remains fragmented and undersupplied, meaning the investable rare‑earth opportunity may still be several years away. ^[34]

Technical picture: momentum strong, but resistance looms

From a technical and price‑trend standpoint, the near‑term picture for GMDC looks bullish but extended: ^[35]

Momentum: The stock is trading above its 5‑day, 100‑day and 200‑day moving averages, signalling strong short‑ and long‑term uptrends.
Medium‑term consolidation: It remains below its 20‑day and 50‑day moving averages, suggesting the current move is attempting to break out from a recent consolidation phase.
Volumes: Thursday’s volumes are multiple times the 20‑day average, typically a sign of institutional and high‑conviction participation in the move.
Key levels to watch:
- Immediate resistance: The October 52‑week high near ₹651.
- Near‑term support: The ₹530–540 zone, roughly in line with Wednesday’s close and Thursday’s intraday low.

Short‑term traders tracking the stock will likely watch whether follow‑through buying can push GMDC closer to its prior high, or whether profit‑taking emerges as the rare‑earth euphoria cools.

What to watch next for GMDC investors

For investors and traders following Gujarat Mineral Development Corporation Limited, the key monitorables over the coming weeks and months include:

Details and implementation of the REPM scheme
- Which companies ultimately win bids under the ₹7,280‑crore programme, and whether GMDC directly participates or benefits via supply agreements. ^[36]
Clarity on GMDC’s rare‑earth projects
- Timelines, capex plans and economics for the proposed rare‑earth oxide and Nd‑Pr processing facility, including any tie‑ups with technology partners or downstream magnet manufacturers. ^[37]
Core business performance
- Trends in lignite and bauxite volumes, realisations and margins, especially after Q2 FY26 revenue declined about 11% YoY even as PAT jumped on the back of non‑operational income. ^[38]
Valuation discipline
- With the stock now trading at a premium to sector P/E and P/B multiples, future returns may depend more on earnings growth catching up with price rather than further re‑rating. ^[39]
Market sentiment toward PSU and resource stocks
- GMDC’s trajectory is tied not only to its own fundamentals but also to broader risk appetite for PSU and commodity‑linked counters, which have benefited from the current macro and liquidity backdrop. ^[40]

Bottom line

The GMDC share price today reflects a powerful mix of policy excitement, strong recent price momentum and improving profitability on paper, even as core revenue has softened and the rare‑earth opportunity remains mostly prospective rather than immediate.

For long‑term investors, the key question is whether GMDC can translate the government’s magnet push and its own rare‑earth ambitions into durable, cash‑generating projects, while stabilising growth in its legacy lignite and mineral businesses.

For traders, Thursday’s action confirms GMDC as a high‑beta, theme‑linked PSU stock that can respond sharply to policy headlines — but also one where position sizing and risk management are crucial, given elevated valuations and the potential for volatility once the news‑driven sugar rush fades.

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References

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