Big upgrade for Paytm: 3 critical factors powering Jefferies 19% upside call

Is the worst over for Paytm? The share price is up 3% intra-day after posting Rs 123 crore profit in Q1. Jefferies, a global brokerage house, upgraded One97 Communications, parent firm of Paytm, to ‘Buy’ from ‘Hold’ and raised the target price to Rs 1,250 from Rs 900, implying an upside of 19% from the current market price. The rating and target price upgrade came a day after the company reported that it has swung back to black after two consecutive quarters of loss.