One 97 Communications , the parent company of digital payments platform Paytm, experienced significant selling pressure on Friday as shares tumbled 10% to hit a day's low of ₹1,134. This marked the fourth decline in the past five trading sessions, raising concerns among investors about the company's near-term prospects.

Payment Infrastructure Fund Concerns Drive Selloff

The primary catalyst behind the sharp decline appears to be market apprehensions surrounding the Payment Infrastructure Development Fund (PIDF), a government scheme designed to incentivize digital payment infrastructure deployment. The scheme, currently extended until December 2025, lacks clarity on further extensions beyond that date.

According to analyst assessments, PIDF-linked incentives contribute approximately 20% to Paytm's operating profit. Any discontinuation of this scheme could materially impact companies providing digital payment and payment infrastructure services. However, these concerns remain speculative as the Reserve Bank of India has not issued any official clarification regarding the scheme's future.

Investec Initiates Bullish Coverage

Contrasting the market sentiment, brokerage firm Investec launched coverage on Paytm with a 'Buy' rating and an ambitious price target of ₹1,550 per share. This target suggests a potential upside of 23% from current trading levels.

Investec highlighted Paytm's robust technology infrastructure and embedded merchant relationships as key competitive advantages that provide sustainable pricing power and create high switching costs. The brokerage emphasized that with most merchant acquisition activities completed and a digital-first operational approach, the company is well-positioned to capitalize on strong operating leverage.

Institutional Investor Activity

The December quarter witnessed notable changes in Paytm's shareholding pattern, particularly among institutional investors. Domestic mutual funds reduced their stake for the first time since the company's stock market debut in November 2021, after consistently increasing exposure over three years.

Retail shareholders continued their selling streak, with their holdings dropping for the seventh consecutive quarter to the lowest level since September 2023. This persistent retail exodus reflects ongoing concerns about the company's long-term prospects and regulatory challenges.

Market Performance and Outlook

At approximately 12:30 pm on Friday, Paytm shares were trading at ₹1,160, representing an 8% decline from the previous session's close. The stock's recent volatility underscores the market's sensitivity to regulatory developments and policy changes affecting the digital payments sector.

The contrasting views between market participants and institutional analysts highlight the complex investment landscape surrounding Paytm. While immediate concerns about PIDF extension create near-term headwinds, the company's fundamental business strengths and growth potential continue to attract positive analyst attention.

One 97 Communications Limited has announced key dates for its Q3FY26 financial results disclosure and investor engagement activities. The company has scheduled a board meeting and earnings call to discuss its performance for the quarter and nine months ended December 31, 2025.

Board Meeting and Financial Results

The board of directors of One 97 Communications Limited will convene on Thursday, January 29, 2026 to consider and approve the unaudited standalone and consolidated financial results. This meeting is being held in compliance with Regulation 29(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Earnings Conference Call

Following the board meeting, the company will host an earnings conference call for investors and analysts on Friday, January 30, 2026. The call is scheduled to run from 8:00 AM IST to 8:45 AM IST, providing stakeholders an opportunity to discuss the financial performance and ask questions about the results.

Participants must complete mandatory pre-registration through the provided Zoom webinar link to attend the earnings call.

Trading Window Closure

In accordance with insider trading regulations, the company has implemented a trading window closure for designated persons and their immediate relatives. This restriction, which was initially communicated on December 29, 2025, will remain in effect until Saturday, January 31, 2026.

Corporate Communication

The announcement was signed by Sunil Kumar Bansal, Company Secretary and Compliance Officer (FCS: 4810), on January 16, 2026. All relevant details regarding the earnings call and financial results will be made available on the company's investor relations website at ir.paytm.com.

The disclosure has been submitted to both BSE Limited (Scrip Code: 543396) and National Stock Exchange of India Limited (Symbol: PAYTM) under Regulation 30 of the SEBI LODR Regulations, 2015.