Adobe Stock
After being written off by many, Paytm seems to be quietly staging a comeback. The stock climbed nearly 3 per cent today, trading at Rs 1,048 on the BSE. That’s a big moment, especially for investors who’ve seen it languish far below its Rs 2,150 IPO price.
Now, with June quarter results due any day, the Street is betting on shrinking losses, maybe even a profit surprise.
So, what’s driving the buzz?
- Momentum is strong: Paytm has gained 6 per cent in a week and over 19 per cent this month. On the charts, it’s showing bullish patterns, trading above all major moving averages.
- Losses narrowing: Analysts expect Q1FY26 losses to fall sharply to around Rs 125 crore, from Rs 540 crore in Q4FY25. That’s a major improvement.
- Valuation support: Despite being a loss-making company, its price-to-book ratio (P/B) is now closer to 4.5x—lower than what it was at IPO time.
The bottom line
Maybe. The sentiment is clearly shifting, and if the upcoming results show progress on the profitability front, the rally could sustain. But it’s still a risky bet. The core business remains loss-making and regulatory overhangs can’t be ignored. Thus, Q1 numbers will be key to validating this turnaround talk.
A quick look at the numbers
| Metric | Value |
|---|---|
| Market cap | Rs 66,663 crore |
| Book value | Rs 235.4 |
| P/B ratio | 4.4 |
| EPS | - Rs 23.2 |
| ROE | - 14 per cent |
| ROCE | - 10.4 per cent |
How does Value Research rate it?
- Overall: 2/5
- Quality: 1/10
- Growth: 8/10
- Valuation: 2/10
- Momentum: 9/10
Our opinion
Paytm, like any other stock, sees its share price move every day. But wealth isn’t built in days. It’s built over the years. That’s why long-term investing, not short-term trading, is the real recipe for financial freedom.
Even SEBI has said it: 91 per cent of traders lose money. Why? Because traders react.
So, take a long-term view, instead. Ask the right question: Can Paytm be a compounding machine over the next 10 years?
Our analysts have done the groundwork, the deep-dive, the number-crunching. Find out if Eternal makes it to Value Research Stock Advisor’s long-term recommendation list.
Disclaimer: This story was created with the assistance of artificial intelligence and has been reviewed by human experts for accuracy and is intended for informational purposes only. Please do your own due diligence and research before making investment decisions.
Ask Value Research 
New episodes every Friday 
New Process Alert 
Seems like you've uploaded a wrong QR code. Please upload the QR code downloaded from MF Central platform.
