Shares of Paytm (listed as One 97 Communications Ltd) rose 8% in early deals today after brokerage Emkay Global upgraded Paytm to 'Buy' from 'Add'. Paytm stock zoomed 8% to Rs 926.95 in the current session against the previous close of Rs 858.25 on BSE. Market cap of Paytm climbed to Rs 57,731 crore on BSE.
During the session, the stock also hit a 52-week high of Rs 1,063 on December 17, 2024. Total 3.28 lakh shares of the firm changed hands amounting to a turnover of Rs 29.87 crore. The stock fell to a 52-week low of Rs 310 on May 9, 2024.
The Paytm stock has risen 21.39% in a year but lost 8% in 2025. The stock has a beta of 0.9, indicating low volatility in a year. In terms of technicals, the relative strength index (RSI) of Paytm stands at 40.7, signaling it's trading neither in the overbought nor in the oversold territory. Shares of Paytm are trading higher than the 5 day, 10 day, 100 day, 150 day, 200 day but lower than the 20 day, 30 day, 50 day moving averages.
The domestic brokerage also raised its price target on Paytm by 40% to Rs 1,050 from Rs 750 earlier. The fresh price target from the brokerage implies a potential upside of 23% from Wednesday's close.
Emkay believes the recent correction in the stock offers an attractive entry point, considering its reasonable valuations.
In its note, the brokerage said that the recent NPCI approval has solved a major regulatory overhang. This should help Paytm rebuild its MTU (Monthly Transacting Users) base over the next 12 to 18 months, enabling it to cross-sell retail financial products such as loans (e.g., home loans), insurance, and wealth management products, thereby improving revenue per user.
Emkay also said Paytm was on an early path to profitability, expected by the financial year 2026, with further acceleration beyond that.