Paytm Shares in Focus as Stock Gains on Bullish Analyst Outlook

$PAYTM Paytm parent One 97 Communications is likely to remain in focus after the stock gained around 11% during the week, supported by a positive analyst outlook. Bernstein recently raised its target price to ₹2,200, citing improving earnings prospects and the potential for UPI monetisation to strengthen the company’s payments business. The stock has shown a strong recovery in recent months and touched a fresh 52-week high of around ₹1,658. Paytm’s Q1 FY27 performance also remained encouraging, with revenue rising 28% year-on-year to ₹2,448 crore and EBITDA reaching ₹203 crore, indicating continued improvement in the company’s operating performance. However, investors will also monitor regulatory developments after SEBI issued a show-cause notice to Paytm management concerning the timing of a 2023 regulatory disclosure. While the stock continues to benefit from improving business fundamentals and expectations of UPI monetisation, regulatory compliance and sustainable profitability remain important factors for its future performance.