Paytm Shares Record 25% Gain in 1 Week: Why Investors Find Vijay Shekhar Sharma’s Firm Attractive Again

Amar Deo Singh of Angel One says that earlier there were several negative factors including the RBI action that led to a sharp correction in Paytm’s stock price but now the stock seems to have bottomed out. Generally, whenever there is negative news either from the regulator or company, investors generally tend to stay away until they get more clarity.“We are witnessing some pullback in the stock as it has surged around 30 per cent from lows of Rs 310 to a recent high of Rs 440 amid expectations that the worst might be behind the company and it could witness growth in the coming times. One major factor behind this rally is investors appear to be more comfortable buying the stock at these levels. Secondly, news of a partnership with Samsung and IRDEA granting permission to withdraw their application has led to positive sentiments among investors,” he said.Deo cautioned that wherever there is some regulatory concern around the company, investors should remain cautious.Jigar S Patel, Senior Manager – Technical Research Analyst at Anand Rathi Shares and Stock Brokers, said, support will be at Rs 403 and resistance at Rs 440 A decisive close above the Rs 440 level may trigger a further upside to 470. The expected trading range will be between Rs 375 and Rs 475 for a month.Brokerage firm Motilal Oswal has slashed its earnings estimates and projected Paytm to achieve EBITDA breakeven in FY26. “We value Paytm based on 15 times FY28E Ebitda and discount the same to FY26E at a discount rate of 15 per cent. We thus value the stock at Rs 400, which implies 2.3 times FY26E P/Sales,” it added with a ‘neutral’ rating.

Buy cryptocurrency

Source link

Refer And Earn Demat Account – Get ₹300 | Referral Program

Open Demat Account In Angel One For FREE