One 97 Communications Ltd.
Banking · NSE
52-week range
₹808 – ₹1,382
From 52w high
-14.1%
RSI (14)
61.9
vs SMA 50 / 200
↑ 50 · ↓ 200
One 97 Communications (Paytm) is a fintech-oriented entity classified in the Banking sector, trading at 1186.7 — marginally below its 200-DMA of 1194.8 and 14.1% off its 52-week high. The trailing PE of 138.8x and ROE of 3.56% sit at the far end of the Banking peer spectrum, while a 35.9% 1-year price gain reflects sharp market re-rating despite the April 2026 RBI cancellation of the Paytm Payments Bank licence.
- ✓Revenue has grown at an 18.4% CAGR over 5 years, indicating sustained top-line expansion from the digital payments and financial services distribution business.
- ✓Debt-to-equity of 1.07 is below typical banking-sector leverage levels, and the debt trend is classified as falling, reflecting an improving balance sheet position over recent periods.
- ✓The forward PE of 37.5x represents a material compression from the trailing PE of 138.8x, reflecting market expectations of a significant step-up in near-term earnings.
- ✓Mean analyst rating of 1.79 across 19 analysts (1 to 5 scale, lower = more constructive) indicates a relatively constructive analyst coverage stance at current price levels.
- ✗Zero FCF-positive years and zero years with ROE above 15% across the available history; the consistency score of 10/100 indicates persistent failure to generate meaningful returns on capital — both HIGH risk flags are grounded in this structural profitability deficit.
- ✗The RBI cancelled Paytm Payments Bank's licence in April 2026 and the payments bank is being wound up, representing a structural contraction in the regulated-entity perimeter of the One 97 Communications group.
- ✗Trailing PE of 138.8x against sector peers at 14.9 to 31.0x, with ROE of 3.56% against peers at 11.3 to 17.9% — the stock is priced at a significant premium while delivering materially lower returns on equity than every peer in the cohort.
- ✗Quality score of 41 ranks 4th out of 6 Banking peers; combined with last-place PE and ROE rankings (6th of 6), PAYTM occupies the weakest fundamental position within its sector comparison group.
- ·The RBI cancelled the Paytm Payments Bank licence in late April 2026 and initiated a wind-up process; One 97 Communications stated there is no financial impact from this cancellation, a claim the market continues to evaluate given the payments bank's role in the broader ecosystem.
- ·Bernstein retained its Outperform rating after the RBI action, characterising the development as incrementally negative for One 97 Communications.
- ·The most recent earnings report showed an EPS miss of 8.4% versus analyst estimates (as of early May 2026), adding to near-term earnings visibility concerns alongside the regulatory backdrop.
- ?Does the 18.4% five-year revenue CAGR reflect a structural expansion in Paytm's addressable market, or is a portion attributable to the now-wound-up Payments Bank contributing to recognised revenue?
- ?How does the wind-up of Paytm Payments Bank affect the company's ability to cross-sell financial products — deposits, lending, insurance — through its merchant and consumer network?
- ?Given a consistency score of 10/100 with zero FCF-positive years in the available history, what conditions need to be in place for the business to generate positive free cash flow, and has management provided a timeline?
- ?The trailing PE of 138.8x implies very high future earnings growth expectations; how sensitive is the current valuation to a scenario where earnings growth comes in materially below the forward consensus?
PE
138.8
Forward PE
37.5
ROE
+3.6%
Profit margin
+6.5%
D/E
1.07
Dividend yield
—
Quality score
41/100
ROE 5y above 15%
0/5 yrs
FCF 5y positive
0/5 yrs
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.Analysis generated 11 May 2026.