Paytm parent One97 Communications' shares fell for a third straight day on Thursday to an all-time low. The stock dropped 2.7 percent to a closing low of Rs 1,253.9 apiece on BSE, a discount of 41.7 percent to the issue price of Rs 2,150. Paytm is one of the worst Dalal Street debutants of 2021.
During the session, Paytm shares slid to as low as Rs 1,250 apiece -- an all-time low since their listing on bourses BSE and NSE.
One97 shares have completed seven weeks of trading on Dalal Street following a weak listing on November 18. During this period, the Paytm stock has failed to cross the issue price.
Here's how Paytm shares have fared since their debut in the secondary market:
A number of brokerages have initiated coverage on Paytm.
JPMorgan has an ‘overweight’ rating on Paytm with a target price of Rs Rs 1,850 apiece for March 2023.
Morgan Stanley also has an ‘overweight’ rating on One97, with a target price of Rs 1,875 apiece.
Goldman Sachs has a ‘neutral’ rating on the Paytm stock with a target price of Rs 1,630 apiece.
Macquarie has an 'underperform' rating on One97 Communications with a target price of Rs 1,200.
In December, Dolat Capital Market became the first brokerage to assign a 'buy' rating on Paytm. The brokerage has set a target price of Rs 2,500 for Paytm, 16 percent higher than the issue price.
JM Financial has a 'sell' rating on the stock.
One97 Communications shares listed on bourses at a discount of around nine percent to the issue price. Paytm is among the worst debutants of 2021, a year that saw most IPOs receiving a robust response from investors.
Paytm's IPO was the biggest of all time in India. It saw an overall subscription of 1.9 times the shares on offer.
One97 Communications reported a net loss of Rs 473 crore for the second quarter of the current financial year. The net loss, on account of higher expenses, was up 24 percent on a quarter-on-quarter basis and 8.5 percent on a year-on-year basis. Revenue from operations, however, stood at Rs 1,086.4 crore, up 63.6 percent annually and 22 percent sequentially.
(Edited by : Akanksha Upadhyay)
First Published: IST