Paytm Share Price: Paytm share price surged 4.4 per cent to Rs 1,324 on Thursday after touching its 52-week high of Rs 1,333.45 on the BSE. The stock opened at Rs 1,302.35 and hit an intraday high of Rs 1,331.80, following the company’s September-quarter results that reflected improved profitability and steady revenue growth driven by its payments and financial services businesses.
Paytm Q2FY26 Results
During the second quarter, Paytm’s operating revenue rose 24 per cent year-on-year to Rs 2,061 crore, led by growth in both payments and financial services segments.
The company reported a profit after tax (PAT) of Rs 211 crore before a one-time impairment charge of Rs 190 crore on a loan to its joint venture, First Games Technology Pvt Ltd. After accounting for this charge, the reported PAT stood at Rs 21 crore.
EBITDA improved to Rs 142 crore, reflecting a 7 per cent margin, while contribution profit rose 35 per cent year-on-year to Rs 1,207 crore with a 59 per cent margin. Growth in payment margins and financial services revenue contributed to the improvement.
Paytm’s payment services revenue increased 25 per cent year-on-year to Rs 1,223 crore, and net payment revenue rose 28 per cent to Rs 594 crore.
The company’s Gross Merchandise Value (GMV) grew 27 per cent year-on-year to Rs 5.67 lakh crore, supported by higher growth in credit cards on UPI and EMI-based affordability offerings.
The company’s merchant ecosystem expanded further, with subscriptions reaching 1.37 crore, up 25 lakh year-on-year.
Revenue from the distribution of financial services increased 63 per cent year-on-year to Rs 611 crore, driven by merchant loan disbursements and improved collection performance. Around 6.5 lakh consumers used Paytm’s financial services during the quarter.
On the cost front, indirect expenses were down 18 per cent year-on-year and 1 per cent sequentially to Rs 1,064 crore. Marketing expenses declined 42 per cent year-on-year, indicating lower customer acquisition spending.
The company stated it will continue to invest selectively while maintaining control over costs.
Paytm Share Price Targets
Following the results, several global brokerages revised their outlook and target prices for Paytm.
JP Morgan upgraded the stock to “Neutral” from “Underweight” and raised its target price to Rs 1,290 from Rs 800.
Citi maintained a “Buy” rating and lifted its target to Rs 1,500 from Rs 1,215, citing stronger margin performance and reduced device costs. The brokerage also raised its FY26–FY28 EBITDA estimates by 33 per cent, 19 per cent, and 13 per cent, respectively.
Bernstein maintained an “Outperform” rating and raised its target price to Rs 1,600 from Rs 1,200.
CLSA kept its “Reduce” rating but revised its target upward to Rs 1,000 from Rs 920, citing steady core growth but limited near-term upside.
Morgan Stanley maintained an “Equalweight” stance with a target of Rs 1,175. At the current market price of Rs 1,268, brokerage targets imply a potential upside ranging between 5 per cent and 26 per cent, depending on the firm’s outlook.