Shares of One 97 Communications, the parent company of fintech player Paytm, jumped more than 2 per cent to hit a 52-week high on Thursday as the stock saw some strong buying interest and ratings upgrade from the brokerage firms.
The stock has hit Rs 1,300 mark for the first time after January 2022, after listing in late November 2021.
Paytm shares soared more than 2 per cent to Rs 1,305 on Thursday, hitting a new 52-week high. The company commanded a total market capitalization of nearly Rs 83,500 crore. The stock has more than doubled investors’ wealth from its 52-week low Rs 652.30, hit in March 2025. Paytm shares have jumped 30 per cent the last 3 months.
The company board of One 97 Communications is scheduled to be held on Tuesday, November 04, 2025, interalia, to consider and approve the unaudited standalone and consolidated financial results of the for the quarter and half year ended September 30, 2025, it said in an exchange filing.
“We wish to inform you that the Company will hold its earnings conference call for investors and analysts on Wednesday, November 05, 2025, from 11.00 am to 11.45 am to discuss the financial results of the company for the quarter and half year ended September 30, 2025,” it added.
Large merchant payment players are entering a strong earnings expansion phase led by healthy pricing environment across online and offline merchants, improving margins as UPI mix in GMV is stabilizing and share of credit-linked products is rising, clear regulatory frameworks (PA regulations, merchant KYC, DLG model etc.) which accelerate ecosystem participation, said Axis Capital.
“Paytm is well positioned with an omnichannel presence and high vintage merchant relationships. Management focus has moved from stabilization to growth with fresh investments in new products and frontline staff. We raise FY27-28E EBITDA by 33-46 per cent led by better payment margins, financial services scale-up and tight opex,” it added, upgrading the stock to ‘buy’ with a target price of Rs 1,500.
Paytm recently announced to own 51.22 per cent stake in Paytm Financial Services for Rs 0.5 crore to make it a wholly owned subsidiary of the company. “The completion of the transaction mentioned above, the Company will further simplify the group structure by making Admirable, Mobiquest, Urja and Fincollect direct WOS of the Company through intra-group transactions amongst WOSs,” it said.
“The transfer is being undertaken to take steps to comply with the Reserve Bank of India’s Master Directions on Regulation of Payment Aggregators dated September 15, 2025. The proposed transfer will result in consolidation of the group’s Online and Offline Merchant Payments Businesses under PPSL which has in-principle approval from RBI to carry out PAO (Payment Aggregator Online) business,” said Patym in a different release.
YES Securities assumes 6 per cent QoQ growth in Payments Services Revenue and 8 per cent QoQ growth in Financial Services and Others and arrive at an overall growth in Revenue from operations of 5% QoQ. It forecasts Payment Processing Charges (PPC) as a proportion of Payments Revenue to be at 54 per cent, a metric that was 55.6 per cent in 1QFY26.
“We arrive at a Total Expenses (excl PPC and ESOP Expense) growth of 3 per cent QoQ, compared with a growth of 6 per cent in 1QFY26, resulting in an EBITDA margin (excl Other Income and before ESOP cost) of 8.7 per cent, a expansion of 341 bps QoQ,” said YES Securities.
In Paytm, the payments business is expected to grow mid single digits sequentially. Under the financial services business, while loan disbursal growth is likely to improve, revenue growth will be lower due to reducing DLG loans in the mix. Contribution margin will dip sequentially as 1Q had seen a spike in CM due to phasing out of DLG revenue, said JM Financial.
“However, flattish fixed cost will ensure strong operating leverage leading to EBITDA margin expansion. We expect the company to continue to be PAT profitable this quarter. Further, in-principle approval to PPSL lifts the ban on onboarding new merchants and could be precursor to further regulatory clearances for Paytm,” it added.