Paytm share price drops 14% this week; breaks support levels on tech chart

Paytm share price: From its 52-week high level of Rs 1,063, which it hit on December 17, 2024, Paytm share price has crashed 20.6 per cent

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Paytm share price: Paytm shares were trading lower in stock markets today, falling up to 5.6 per cent on the BSE. Paytm share price hit an intraday low of Rs 843.5 per share on the stock exchange, and Rs 842.8 per share on the NSE.

 

By comparison, the benchmarks Sensex and Nifty indices were trading flat at 1:30 PM.

 

Including today’s decline, Paytm share price has tumbled 14.13 per cent on the BSE during this week. From its 52-week high level of Rs 1,063, which it hit on December 17, 2024, the share price has crashed 20.6 per cent. This means that the stock has entered the ‘bear’ zone – a situation when security declines 20 per cent or more from its recent peak.

 

The Sensex, on the other hand, has slipped 2.6 per cent, thus far, this week.

 

Paytm share news 

As per the latest NPCI data, Paytm struggled with its UPI transactions in December, 2024, as its transaction volume stood at 1.15 billion last month, which was worth Rs 1.25 trillion.

 

By comparison, PhonePe saw UPI transaction volume of 7.98 billion, valued at Rs 11.76 trillion, in December. This was followed by Google Pay, which saw UPI transaction volume of 6.1 billion worth Rs 8.22 trillion.

 

In terms of market share by transaction volume, PhonePe held the dominant share of 47.7 per cent last month, followed by Google Pay at 36.7 per cent, and Paytm at 6.87 per cent.

 

Notably, Paytm’s UPI transaction volumes seem to have plateaued as they were 1 billion in November 2024, 1.16 billion in October, 1 billion in September, 1.07 billion in August, 1.12 billion in July, and 1.1 billion in June. Prior to that, between January and May 2024, UPI transaction volumes stayed in the range of 1.1 billion to 1.4 billion.

 

The market share of PhonePe and Google Pay, on the other hand, has been on a steady uptrend.

PhonePe’s transaction volume was 5.7 billion in January 2024, which rose to 7.98 billion in December. Google Pay’s volume, meanwhile, has risen from 4.4 billion to 6.14 billion during the period.

 

Paytm Q3 results date

Meanwhile, Paytm is scheduled to report its Q3 results on January 20, 2025.

 

The Vijay Shekhar Sharma-led company reported a net profit of Rs 930 crore for the July-September quarter (Q2) for the current financial year. This came against a net loss of Rs 290.5 crore year-on-year (Y-o-Y).

 

The company, however, could have incurred a net loss of Rs 415 crore, if it had not sold its entertainment and ticketing business to Zomato during the quarter.

 

Revenue for the quarter had dropped 34 per cent Y-o-Y to Rs 1,660 crore.

 

Paytm share price target

Paytm share price today has broken below the lower end of the Bollinger band on the daily chart, which stood at Rs 885.2.

 

With this, the share price now stares at the next support level of Rs 802, its 20-week moving average (WMA), followed by Rs 785.35 per share (100-day moving average). Below this, the next support is far below at Rs 599.8, Paytm share’s 200-DMA.

 

Momentum oscillators, MACD and Slow Stochastic, are showing negative crossovers, suggesting persisting weakness. The RSI indicator, however, is near the oversold level on the daily chart.

 

If this oversold zone triggers a bounce-back, the stock has a resistance at Rs 885, followed by Rs 905 (50-DMA) and Rs 975 (20-DMA).