Paytm Share Price Rallies After RBI’s Big Nod – Is This a New Investment Opportunity?
The mood of the stock market is sometimes bearish, sometimes bullish, but when a strong regulatory approval is received, the investor sentiment changes immediately. The most talked about topic today is Paytm share price, which jumped more than 5% in a day, just because of an RBI decision. This jump was not just a normal market reaction, but a signal that new doors are opening for the company.
One 97 Communications, which is the parent company of Paytm, touched a high of ₹1,183.60 on NSE. The main reason for this rally is RBI’s in-principal approval to Paytm Payments Services Ltd (PPSL) to operate as an online payment aggregator. In the last one year itself, Paytm share price has given a return of more than 132%, and in the last 6 months it has made investors happy by giving a gain of almost 55%.
New strength in Paytm share price after RBI approval
This approval of RBI is not simple, along with it some strict compliance rules have also been given. PPSL will have to work under the Guidelines on Regulation of Payment Aggregators and Payment Gateways. The scope of this authorisation is limited, allowing only payment aggregation – things like merchant payouts are not covered under this licence.
RBI has ordered PPSL to conduct a thorough system audit, which will include a cybersecurity audit. This audit will have to be conducted by a CERT-In empanelled auditor or a CISA/DISA certified professional. The company will also have to fully comply with RBI’s cyber resilience and payment data storage rules. If this audit report is not submitted within 6 months, this authorisation will automatically expire.
Expert View on Paytm Share Price – Should you buy it?
Market experts say that this approval could act as a “sentimental trigger” that could pave the way for more regulatory green signals in the coming times. Brokerage firm JM Financial has maintained a ‘buy’ rating on Paytm, with a target price of ₹1,300.
They say that this approval could have a positive impact of about 5% on FY27E EBITDA. If approvals related to UPI monetisation and Paytm wallet are also received, then EBITDA estimates could see an additional jump of 25-30%.
RBI Approval Banned Merchant Onboarding
When RBI rejected Paytm’s first payment aggregator license in 2022, a major restriction was imposed – a ban on onboarding new merchants. But now this restriction has been removed, which has brought a big business opportunity for the company.
This approval was given through an official letter dated 12 August 2025, which now comes under the Payment and Settlement Systems Act, 2007. This has given Paytm a clear path to expand its digital payment network.
Paytm Share Price Hits 52-Week High
After this big news from RBI, Paytm share price touched its 52-week high. For investors, this is a moment of fresh optimism, while for IPO investors, it is still a tough recovery journey as the stock is still more than ₹1,000 below its issue price of ₹2,150.
Paytm shares touched ₹1,186.50 in early trade on Wednesday on the BSE. The market is seeing this as a positive sign that Paytm can take its digital payment services to a new level.
Will it be right to invest in Paytm share price now?
This question will be on every investor’s mind. In the short term, the stock is trending positively, but always remember that share market is risky. Regulatory approvals form the basis of strong growth for the company, but decisions should be taken keeping in mind overall valuation, competition and market sentiment.
For investors who follow a high-risk-high-reward strategy, this can be a promising opportunity. But conservative investors should adopt a wait-and-watch approach until the stock shows stability with its fundamentals and earnings growth.
Disclaimer:
This article is for informational purposes only. It is not a financial or investment advice of any kind. Consult your financial advisor before investing in share market.
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