Paytm stock price: Macquarie has cut Paytm target price to Rs 275 in a fresh downgrade.

Global brokerage Macquarie downgraded Paytm to underperform in neutral currency, lowering its target price to Rs 275 due to sharp decline in revenue across various segments.

“Due to recent regulatory changes and enforcement, Paytm now faces significant customer churn risk that significantly jeopardizes its revenue generation and business model,” Macquarie said in a note.

We have increased our loss estimates by 170%/40% over FY25/26 to account for a 60-65% decline in revenue due to lower payments and distribution revenues. The securities firm also assumed a cash burn rate of 50% and a PER of 20x for normalized profits of the distribution business.

More to come…

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