Paytm hits 52-week high, stock rallies 16% so far in October; here's why

One 97 Communications (Paytm) share price today

 

Shares of One 97 Communications, the parent company of Paytm, hit a 52-week high of ₹1,305, gaining 2 per cent on the BSE in Thursday’s intra-day trade amid heavy volumes. The stock price of the fintech company surpassed its previous high of ₹1,296.70 touched on September 4, 2025.

 

Thus far in the month of October, Paytm has outperformed the market by surging 16 per cent, as compared to 3.6 per cent rise in the BSE Sensex. Further, in the past six months, the Paytm stock has rallied 50 per cent, as against a 8 per cent gain recorded by the benchmark index.

 

 

At 12:29 PM; Paytm share price was quoting 1.7 per cent higher at ₹1,298.65 on the BSE. A combined 2.93 million equity shares changed hands on the NSE and BSE.

What's driving Paytm stock price?

 

On Wednesday, October 15, 2025, the board of directors of Paytm approved the transfer of its offline merchant payments business to its wholly-owned subsidiary, Paytm Payments Services Ltd (PPSL), to comply with the Reserve Bank of India's (RBI) guidelines for payment aggregators.

 

In a stock exchange filing, the company said the transfer is being undertaken to take steps to comply with RBI’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. This will ensure that all payment aggregation activities are housed within one regulated entity and will build efficiency and synergy within the group, the company said.  ALSO READ | BLS International shares jump 6% after this contract win; details here

Brokerages view on Paytm

 

Analysts at Axis Securities raised their rating on the fintech giant's stock to 'Buy' from 'Reduce', citing the non-linear growth potential from the merchant discount rate (MDR) on UPI and the ramp-up in Buy Now Pay Later (BNPL) services as key drivers for future upgrades.

 

Analysts at Axis Securities have raised their FY27-28 Ebitda projections by 33-46 per cent. This upward revision comes on the back of expectations for stronger payment margins, a scalable financial services business, and the company’s focus on tight operational expenses.  With this upgrade, the analysts set a target price of ₹1,500 for Paytm, implying a 41x EV/Ebitda multiple for FY28.

 

Meanwhile, according Axis Securities technical analyst, on the quarterly chart, since June 2022, Paytm has been consolidating within ₹1,020-₹400 levels. However, with the previous quarter’s price action, the stock has decisively surpassed the “multiple resistance” zones at the ₹1,030 level on a closing basis.

 

This price action suggests the completion of a long-term base formation, with the previous resistance zone around ₹1,030 now expected to act as a crucial support level. This bullish view is confirmed by the MACD indicator, which has registered a positive crossover above its zero line, signalling a significant shift in momentum to the upside.The above analysis indicates an upside toward ₹1310-₹ 1505 levels, analysts said.

 

With National Payments Corporation of India (NPCI) guidelines allowing MDR on credit lines on UPI for a certain set of transactions, analysts at Emkay Global Financial Services expect the unit economics to be the same as or slightly inferior to the erstwhile product’s. A frictionless experience, low charges, and ubiquitous acceptance network are the key to success for such a product.   ALSO READ | Waaree Renewable soars 10% on heavy volume on securing ₹157 crore order 

As Paytm has started with a small set of users, merchant awareness for credit lines (CL) on UPI is low; due to this and the relatively smaller bank partner, the brokerage firm said they will watch the company’s scale-up before incorporating this development into its estimates. If Paytm reaches 50 per cent of the erstwhile scale by Q4FY26, analysts expect 10.4 per cent increase in FY27E EBITDA.  

 

The brokerage firm maintains a positive stance on the company, considering its strong execution in merchant payments and loan distribution, along with various optionalities. Analysts reiterate a BUY rating on the stock, with DCF-based target price of ₹1,350.