12 Apr , 2022 By : Kanchan Joshi
Paytm share price has been giving upside moves for last few sessions, especially after it gave fresh breakout above Rs620 apiece levels. In last two days, Paytm share price has surged from Rs617 to Rs719 levels, logging more than 16 per cent rise in this small time.
According to stock market experts, there is no such fundamental trigger in Paytm shares and stock market investors should take this rise as bounce back from the lower levels only. However, technical analysts are of the opinion that the stock is looking in 'uptrend' on chart pattern and it is close to next breakout level of Rs750 per share levels.
Highlighting the reason for Paytm share price rally; Anuj Gupta, Vice President — Research at IIFL Securities said, "On chart pattern, Paytm shares are in uptrend. It has recently given breakout at Rs620 per share levels and regained Rs700 levels. If the stock sustains above Rs645 levels for next few trade sessions, then we can expect next breakout in the stock at Rs750 levels in near term. Currently, Rs750 mark should be treated as big hurdle for the fintech stock. However, if the stock manages to give breakout above Rs750 on closing basis, then one can expect it to go up to Rs900 per share levels in short term. Immediate support for Paytm shares is placed at Rs645 per share levels whereas strong support of the stock is placed between Rs600 to Rs610 per share levels."
On fundamentals that may be fueling Paytm shares; Avinash Gorakshkar, Head of Research at Profitmart Securities said, "In stock market today, there is no fundamental reason that is fueling Paytm share price rally. If someone is coming across any such development then it should be treated as mere rumour only. As per the official fundamentals of Paytm, the management has said one week ago that they would be able to achieve operating EBIDTA in next six quarters that itself enough to understand what's coming in Q4FY22 results of the company. Though, there would be some cheering numbers on loan disbursal, etc. but overall profitability of the company would be in focus in upcoming quarterly results. Those who have this stock in their portfolio should take this rise as bounce back from the lows and fresh investors are advised to wait for the Q4 results of Paytm."
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