Paytm Stock Price: International brokerage Bernstein has reiterated its bullish stance on Paytm’s parent company One97 Communications. Bernstein has increased the target price for Paytm shares from Rs 750 to Rs 1,000 per share. This indicates an increase of 23 percent from the previous closing price of the stock on BSE. The brokerage said the discussion on Paytm has taken a new turn, moving from a discussion about the survival risks of the firm to a discussion of bull and bear case scenario for the firm.
In the bull case scenario, Bernstein thinks Paytm will partially borrow from its balance sheet, and payment margins will improve. In this case, the brokerage sees a 100 percent upside to its base case EPS estimates. However, in the bear case scenario, Bernstein thinks Paytm’s payment margins will come under pressure, while loan disbursal growth will remain slow. In the negative scenario, there could be a 40 percent downside risk to Bernstein’s base case estimates.
Paytm shares rose 135 percent in 6 months
Paytm shares are rising on 21st November. During the day, the stock touched a high of Rs 835.60, up 2.65 per cent from its previous closing price. Over the past year, Paytm shares have seen a lot of volatility in the stock markets. Shares are down 9 percent. The share price has increased by 135 percent in 6 months. It has strengthened by more than 7 percent in just one week.
Paytm earned a net profit of Rs 930 crore in the July-September 2024 quarter, compared to a net loss of Rs 290.5 crore during the same period last year. However, this change was due to a one-time gain of Rs 1,345 crore due to the sale of Paytm’s movie ticketing business to Zomato.
