Paytm breaks its two-day winning streak,shares of One97 Communication, Paytm’s parent company, plummeted 10% to Rs 446.65 on February 8.
In a post-Monetary Policy Committee press conference, Reserve Bank of India Deputy Governor Swaminathan J stated that the steps taken against Paytm Payments Bank were the result of ongoing noncompliance with regulatory norms.
According to Ajit Mishra, senior vice president of technical research at Religare Broking, “the move indicates more pain ahead and it could retest the recent low i.e. 395,” a 52-week low level, which it hit on February 06. Also, the investors must refrain from taking new positions on the company’s stock till there’s any clarity, he added.
On February 7, the stock recovered and climbed 10%, reaching a high of Rs 496.25. On October 20, 2023, the firm touched its 52-week high of Rs 998.30.Paytm’s stock fell after the banking authority declined the company’s request to onboard new clients beginning February 29.On February 7, the company’s CEO travelled to meet the Finance Minister.