Paytm share price: Paytm parent One97 Communications' shares hit a fresh low of Rs 990 on Wednesday. At this level, the stock changed hands at a discount of 54 percent to the issue price of Rs 2,150.
Paytm parent One97 Communications' shares hit a record low on Wednesday, closing below the Rs 1,000 mark for the first time ever. The stock fell 4.3 percent to end at a record closing low of Rs 997.4 apiece on BSE. At this level, the stock changed hands at a discount of 53.6 percent to the issue price.
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During the session, Paytm shares plunged as much as five percent to an all-time low of Rs 990. That was the lowest intraday level recorded since their market debut in mid-November.
Paytm shares have hit a series of lows in the recent past.
Since the beginning of their journey in the secondary market last year, One97 shares have failed to cross the issue price of Rs 2,150. The stock has even failed to revisit its listing day high of Rs 1,961.1 apiece.
On November 18, Paytm shares debuted on stock exchanges BSE and NSE at a discount of around nine percent to the issue price.
The prevailing weakness in the Paytm stock comes despite the company reporting a jump of four times in loan disbursals to Rs 2,180 crore for the third quarter of the current financial year.
In a business update last week, Paytm said its GMV or gross merchandise value was at Rs 2.5 lakh crore in the December quarter, as against Rs 1.1 lakh crore in the corresponding period a year ago.
Most analysts are skeptical on the stocks of new-age businesses such as Paytm.
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Here's how Paytm shares have performed in the past few weeks:
Last week, Macquarie maintained its 'underperform' rating for Paytm, reducing its target price by one-fourth to Rs 900.
Paytm's IPO was the biggest of all time in India. The company's public offer saw an overall subscription of 1.9 times the shares on offer. Though fully subscribed, the IPO failed to receive the kind of response enjoyed by most primary market entrants in 2021.
Paytm is yet to report its financial results for the quarter ended December.
For the quarter ended September 2021, Paytm posted an 8.5 percent increase in net loss on year to Rs 473 crore. Its revenue, however, rose 63.6 percent to Rs 1,086.4 crore.