Friday, Jan 23: Shares of One 97 Communications (Paytm) were trading lower in Friday’s session after the RBI ended the PIDF (Payment Infrastructure Development Fund) scheme, a programme that incentivised deployment of digital payment infrastructure. The scheme ended in December 2025 and has not been extended, which weighed on sentiment around near-term earnings visibility.
At 11:52 AM (IST), Paytm shares were trading at Rs 1,198.80, down 4.89% or Rs 61.70, compared with the previous close of Rs 1,260.50. The stock opened at Rs 1,261.90, before sliding sharply through the session.
Paytm stock check (as of 11:52 AM IST, Jan 23)
| Particulars | Value |
|---|---|
| Last traded price | Rs 1,198.80 |
| Change | -4.89% (-Rs 61.70) |
| Previous close | Rs 1,260.50 |
| Open | Rs 1,261.90 |
RBI’s PIDF scheme ends, seen as key negative
The PIDF scheme had supported the rollout of payment acceptance infrastructure, and its non-extension is being viewed as a meaningful negative for Paytm. As shared, PIDF contributed 20% of operating profit for Paytm, making the scheme’s end a material headwind for operating profitability assumptions in the near term.
Stock had risen earlier on Investec coverage initiation
Earlier in the session, Paytm shares had climbed over 2% after global brokerage Investec initiated coverage with a Buy rating and a target price of Rs 1,550 per share. Investec said Paytm is entering a structurally stronger phase of growth backed by deep technology capabilities and long-standing merchant relationships, which it believes create high switching costs for merchants and long-term pricing power across payments, commerce, and credit-adjacent offerings.
Investec also noted that Paytm has completed the bulk of its merchant acquisition phase, and expects incremental revenue growth to translate into stronger profitability due to operating leverage. The brokerage expects a 23% net revenue CAGR over FY26–FY28E and forecasts EBITDA margins (as a percentage of net revenue) expanding to 24% by FY28E, from 8% in 1HFY26, driven by scale efficiencies and a higher share of credit-linked products.
Why the stock reversed from day highs
Despite the early brokerage-led uptick, the market’s focus shifted to the RBI’s PIDF scheme ending without extension, which is being treated as a bigger, immediate negative given its stated contribution to operating profit. That shift appears to have triggered the reversal from day highs and pushed the stock into the red.
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