Paytm - Raising Gross Merchandise Value, Disbursement Projections By 4-21%: Motilal Oswal

"BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.We believe that constant improvement in contribution margin and operating leverage will continue to drive One 97 Communications Ltd.’s operating profitability. We believe that after reporting adjusted Ebitda breakeven, almost a year ahead of its guidance, Paytm is on track to report Ebitda breakeven in H2 FY25. We raise our FY25E gross merchandise value and disbursement estimates by 5% and 21%, respectively, and estimate the mix of financial revenue to increase to 32% by FY25E from 19% in FY23. We thus estimate revenue/contribution profit to register a compound annual growth rate of 31%/36% over FY23-28, while Adjusted Ebitda/Ebitda margin improves to 13%/5.9%, respectively, by FY25. We revise our target price to Rs 1,050 based on 16 times FY28E enterprise value/Ebitda and discount the same to FY25E, with a discount rate of ~15%. Our fair value corresponds to 4.7 times FY25E price/sales. We thus reiterate our ' Buy' rating on the stock. Ability to maintain strong portfolio quality amid rapid disbursement growth, supply overhang from some of the large shareholders, and evolving regulatory environment adversely affecting Fintechs remain the key risks to our call..Click on the attachment to read the full report:.Ambuja Cements - Building A Better Tomorrow: Dolat Capital.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner."

Paytm - Raising Gross Merchandise Value, Disbursement Projections By 4-21%: Motilal Oswal

On track to achieve Ebitda breakeven in H2 FY25; reiterate 'Buy'.

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Paytm - Raising Gross Merchandise Value, Disbursement Projections By 4-21%: Motilal Oswal

On track to achieve Ebitda breakeven in H2 FY25; reiterate 'Buy'.

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