After being volatile since it’s listing Paytm share price finally seems to be settled, the company’s financials have gotten much better and it is more focused than ever to become profitable
Paytm’s high ambitions can be understood by looking at its IPO size which is 18300cr, on 18 nov 2021 paytm got listed on stock market at a price of 1500 while it’s IPO price is ₹2100. Reasons for this weak listing included volatile market conditions at the time of ipo, Paytm’s high valuation and its presence in many different sectors seemed like lack of focus or clear path to investors, those different sectors include online bill payments, peer to peer money transfer,loans to merchants and consumers, credit card lending, bnpl,e-commerce, payments Bank, ticket booking, paytm money,Paytm first games
| Mar’23 | Dec’22 | Sep’22 | Jun’22 | Mar’22 | Dec’21 | Sep’21 | Jun’21 | Jun’20 | |
| Revenue | 2.3Tcr | 2.06Tcr | 1.9Tcr | 1.68Tcr | 1.54Tcr | 1.45Tcr | 1.08Tcr | 890cr | 551cr |
| Profit | -168cr | -392cr | -571cr | -644cr | -761cr | -778cr | -472cr | -380cr | -281cr |
| Expenditure | ~2.5Tcr | ~2.4Tcr | ~2.5Tcr | ~2.3Tcr | ~2.2Tcr | ~2.2Tcr | ~1.53Tcr | 1.25Tcr | 900cr |
by looking at the company’s financials we can see that it’s revenue is consistently increasing and its losses are decreasing but the problem lies in its costs , employee cost is one of the major operating expenses of company because of its presence in sectors which it has no experience in company has burnt a lot of cash, now because of increased focus company’s management is very confident in achieving operating profit very soon
Shareholders
Paytm’s parent company is one97 communications ltd, one of its major shareholders is China’s ant group which owns 25% in the company, softbank group owns 13.2% and the founder of the company Vijay shekar Sharma owns 9.13%
Brokerage firms on Paytm share
ICICI securities has given a buy call with a target price of 1055₹
Motilal Oswal also gave a buy call with a target price of 900₹
global brokerage firm Macquarie which has always maintained an underperform rating on stock since it’s listing has also changed its rating to outperform and gave a target price of 800₹
