Paytm stock surges as most bearish brokerage upgrades to outperform

MUMBAI: The brokerage with the most bearish call on India’s Paytm is now calling for the stock to outperform as the fintech firm shows prospects of turning profitable. Shares rose for a third day.

Macquarie Capital Securities (India) Pvt, which had kept an underperform call on the stock since its listing until the “double upgrade” on Wednesday, has set an 800 rupees target for the shares. The shares rose as much as 19% to 698 rupees in Mumbai but pared some gains later.

The firm is joining seven other brokerages that have either a buy or overweight recommendation on One 97 Communications Ltd, the parent company of the fintech firm.