A sweet that belongs to nobody, how India got its first meme stock through a mix-up

The short version

• A video featuring an Indian caramel sweet sent shares in Parle Industries up more than 15 percent over three trading days.
• The company does not make sweets. It works in infrastructure, property and paper recycling.
• The sweet is made by Parle Products, a privately held company that is not listed at all.

What happened

At a bilateral meeting in Rome in May 2026, Narendra Modi handed his counterpart Giorgia Meloni a packet of Melody, a well known Indian caramel sweet. Meloni then published a video thanking him and saying, in essence, that Modi had brought a very good sweet. Modi names the product, and both laugh.

The clip spread quickly and revived an existing internet trend that combines the two politicians' surnames into one word. Reports say the sweets sold out on delivery apps within a few hours.

The price move

On 20 May shares in Parle Industries hit the daily upper limit of five percent at 5.25 rupees, a gain of 25 paise. They had opened at 4.95 rupees, with a low of 4.84 rupees. Market value was around 25.64 crore rupees, roughly 2.6 million euros. The price to earnings ratio stood at 47.73.

Over three trading days the gain added up to more than 15 percent, with the limit reached several times. Reports put volume at close to 800,000 shares.

On Indian exchanges certain stocks may only rise or fall by a set percentage within a trading day. Once the upper limit is hit, the stock is blocked from rising further. When a stock closes at that limit several days running, it creates an impression of unbroken demand, because it becomes visible that buy orders go unfilled. That draws still more attention.

The mix-up in detail

The sweets are made by Parle Products, a private consumer goods company with well known biscuit and confectionery brands. It is not listed and cannot be bought at all.

Parle Industries is a different company. It was founded in 1983 under another name, later traded as Parle Software and has carried its present name only for some time. It was originally close to the Parle Bisleri group but now operates independently in infrastructure, property and the recovery of waste paper. There is no business link between the two companies.

Mix-ups of this kind hit the smallest companies hardest. At large firms a mistaken purchase barely registers, because billions trade every day. At a market value in the low millions, a small inflow is enough to push the price to the daily limit.

The pattern behind it

The Indian business press debated whether the country had just seen its first genuine meme stock. What sets this case apart from the American precedents is the cause. There a deliberate trading strategy usually stood behind it, such as exploiting high short interest. Here there was no strategy, only a name that happened to fit a viral news item.

The episode belongs to a longer series. In India, shares of companies from one particular state rose after a parliamentary election because they were associated with the incoming chief minister. In Hong Kong in June 2026 a maker of plum snacks rose 193.71 percent on its first trading day, partly because its ticker matches the English abbreviation for large language models.

What links these cases is a property of modern trading apps. An order can be placed in seconds. Checking whether the chosen company has anything to do with the news takes longer than the purchase itself.

Frequently asked questions

Does Parle Industries make Melody sweets

No. The sweets come from Parle Products, a privately held consumer goods company with no stock market listing. Parle Industries works in infrastructure, property and paper recycling. There is no business link between the two.

What is a meme stock

A stock whose price rises on enthusiasm in social networks rather than on business figures. The term arose around 2021 in the United States. Typical features are rapid spread through forums, a sharp rise in trading volume and an equally quick reversal.

Why do such mix-ups hit very small companies

Because there even small amounts move the price. At a market value of about 2.6 million euros, a modest inflow is enough to reach the daily limit. At large companies with billions traded, the same error stays invisible.

Who loses in a move like this

Whoever buys during the rise. They end up holding a stake in an infrastructure and paper recycling business at a price created by mistaken identity. When attention fades the demand disappears, and with thin trading there may be no buyer at the quoted price.

Does the company benefit from the jump

No. It sold no shares, earned no extra revenue and gained no business relationship. All it has is a name that happened to match a news story.

This text is not investment advice. It reports verifiable figures and puts them in context.

This analysis is for information only and is not investment advice.