Shares of One 97 Communications Ltd (Paytm) were up nearly 2% on Friday, Nov 28, trading at ₹1,308.10, gaining ₹21.60 in early trade. The rise comes after Goldman Sachs upgraded the stock to ‘Buy’ and raised its target price to ₹1,570.
The global brokerage said that the regulatory environment—earlier a major drag on Paytm’s sentiment—is now incrementally improving, leading to early signs of recovery in the company’s payments market share. It added that better earnings visibility and the relaunch of key products should help Paytm sustain 20%+ revenue growth for the foreseeable future.
Goldman Sachs also highlighted potential upside triggers over the next 1–2 years if there are positive regulatory interventions around payments charges or further market share recovery. It expects EBITDA margins to more than double over the next 3–4 years, driven by operating leverage and improved business efficiency.
Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions. Author or Business Upturn is not liable for any losses arising from the use of this information.
