dolot capital Market Pvt. Ltd., the third brokerage to launch coverage on the digital payments giant after Macquarie Capital Securities and JM Financial Institutional Securities Ltd., said it has a strong focus on cross-selling of services and strong growth of a “maker” of financial services from an agent. The number of transition users will help the company.
Paytm’s “super app” has emerged from the pure “wanted” category to reach “needed” status, said Dolat analysts led by Rahul Jain. He added that this positions the company as “one of the strongest digital brands to seize a significant share of the opportunities it is developing in the Indian Internet ecosystem”.
The brokerage has set a target price of Rs 2,500, which is 16 per cent higher than the issue price of the company. After falling 37% in the first two sessions of trading, it fell 2.7% to Rs 1,592 on Thursday, the fifth day of decline. JM Financial has a sell rating on the stock, while Macquarie rates it as underperforming.
a 97 communication Ltd., the parent company of Paytm,
Raised $2.5 billion in its IPO but it’s
loss of a debut This made it one of the worst early performances by a major technology firm since the dot-com bubble era of the late 1990s. The company is backed by top global investors including Masayoshi Son’s SoftBank Group Corp., Warren Buffett’s Berkshire Hathaway Inc. and Jack Ma’s Ant Group Company.
Paytm
reported its first financial results as a public company The loss in the July-September quarter widened to Rs 474 crore from a year ago amid rising expenses. Its revenue grew more than 60%, driven by strong growth in its financial, commerce and cloud services.
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“The entry multiple for Paytm may look steep, but we see it as sustainable as it is the most influential and real-economy internet business,” the note said.