Morgan Stanley has maintained an Equal-Weight rating on Paytm with a target price of ₹976 per share, citing the recent approval of the sale of its PayPay stock acquisition rights as a key development. This strategic move is seen as a net positive, enabling the company to strengthen its balance sheet and improve financial flexibility.
The sale proceeds are expected to allow Paytm to focus more sharply on its core businesses of payments and financial distribution. Morgan Stanley believes this divestment aligns with the company’s broader strategy to streamline operations and achieve efficiency in its core verticals.
The brokerage also highlights Paytm’s improving operating metrics and continued investments in expanding its merchant and consumer ecosystem. This move is expected to provide a solid foundation for growth in its key revenue-generating segments, making it well-positioned for long-term success.
