Paytm shares are on a downward spiral, plunging 9% more to a fresh 52-week low, now down a staggering 65% from their highs. Let’s find out why.
Since January 31, Paytm shares have tumbled more than half their value, shedding around 53%. Today, they’re trading below Rs 350, hitting a new low.
What triggered this downfall? The RBI imposed restrictions on Paytm Payments Bank due to persistent non-compliances and supervisory concerns.
The regulator discovered major KYC irregularities, posing serious risks to customers. Thousands of cases revealed PAN misuse and potential money laundering concerns.
The RBI directed Paytm Payments Bank to halt certain services by February 29 and settle all pending transactions by March 15, causing further panic among investors.
How are experts reacting? Foreign brokerages have slashed One97 Communications’ target prices by 20-60%, signaling a lack of confidence in Paytm’s future prospects.
As Paytm’s troubles persist, investors face uncertainty. It’s crucial to stay informed and seek expert advice before making any investment decisions.