Paytm shares dive nearly 10%; company issues clarification on 'PIDF scheme'; what analysts say
"At the present time, there is no announcement by the RBI or other authorities on extension or replacement of this Scheme. In the scenario that the current Scheme is not extended or replaced, we expect to significantly offset the impact over time through a combination of higher revenues and more targeted sales efforts," Paytm stated.
- Jan 23, 2026,
- Updated Jan 23, 2026 5:55 PM IST
Shares of One 97 Communications Ltd, the parent firm of Paytm, tumbled 9.53 per cent on Friday to close at Rs 1,140.75. In response to an exchange query, the digital payments company issued a clarification on the "Payment Infrastructure Development Fund (PIDF) Scheme."
"With reference to the above captioned subject, news item and the Scheme, we would like to clarify that the Company has recognised incentive under the Scheme in accordance with the circular issued by the Reserve Bank of India (“RBI”) on qualifying expenditure incurred towards deployment of payment acceptance devices. This incentive was targeted towards the deployment of various Payment Devices (including Soundboxes and EDC Machines) in locations designated as Tier-3 to Tier-6 centres, as well as certain other regions of India (including the northeastern states of India and the Union Territory of Jammu, Kashmir and Ladakh), and valid till December 31, 2025," it stated.
"The amount of incentive was Rs 128 crore (Indian Rupees One Hundred Twenty Eight Crores only) for the six months ended September 30, 2025. At the present time, there is no announcement by the RBI or other authorities on extension or replacement of this Scheme. In the scenario that the current Scheme is not extended or replaced, we expect to significantly offset the impact over time through a combination of higher revenues and more targeted sales efforts," Paytm added.
Select analysts suggested that the stock's near-term path appeared 'bearish'. With that being said, one of them advised holding on to it with a medium- to long-term view.
Kranthi Bathini, Director – Equity Strategy at WealthMills Securities, stated that investors should hold on to the counter from a medium- to long-term perspective.
Osho Krishan, Senior Analyst – Technical & Derivative Research at Angel One, said, "The counter has witnessed a consolidation breakdown and might remain volatile in the near term. On the levels front, the previous swing low of Rs 1,120-1,100 subzone is likely to cushion the shortcomings, while on the flip side, Rs 1,230-1,240 is likely to act as a sturdy hurdle in the counter."
Drumil Vithlani, Technical Analyst at Bonanza, said, "Paytm has witnessed a sharp sell-off, breaking below key short- and medium-term EMAs, which confirms a bearish shift in trend. The price has slipped decisively below the 21 EMA and is now testing a critical horizontal support zone around 1,140–1,100. A sustained move below 1,100 could open further downside, while only a strong rebound above the 21 EMA would improve sentiment."
According to AR Ramachandran, part-time Sebi-registered research analyst at Tips2trades, "Paytm's stock is bearish on daily charts with strong resistance at Rs 1,304. A daily close below the support of Rs 1,140 could lead to a downward target of Rs 961 in the near term."
Ravi Singh, Chief Research Officer at Mastertrust, noted that the stock looked weak on charts and could slip towards Rs 1,000 level in the near term. He said one can consider taking an exit from the current level, with strong resistance seen at Rs 1,210.
Shares of One 97 Communications Ltd, the parent firm of Paytm, tumbled 9.53 per cent on Friday to close at Rs 1,140.75. In response to an exchange query, the digital payments company issued a clarification on the "Payment Infrastructure Development Fund (PIDF) Scheme."
"With reference to the above captioned subject, news item and the Scheme, we would like to clarify that the Company has recognised incentive under the Scheme in accordance with the circular issued by the Reserve Bank of India (“RBI”) on qualifying expenditure incurred towards deployment of payment acceptance devices. This incentive was targeted towards the deployment of various Payment Devices (including Soundboxes and EDC Machines) in locations designated as Tier-3 to Tier-6 centres, as well as certain other regions of India (including the northeastern states of India and the Union Territory of Jammu, Kashmir and Ladakh), and valid till December 31, 2025," it stated.
"The amount of incentive was Rs 128 crore (Indian Rupees One Hundred Twenty Eight Crores only) for the six months ended September 30, 2025. At the present time, there is no announcement by the RBI or other authorities on extension or replacement of this Scheme. In the scenario that the current Scheme is not extended or replaced, we expect to significantly offset the impact over time through a combination of higher revenues and more targeted sales efforts," Paytm added.
Select analysts suggested that the stock's near-term path appeared 'bearish'. With that being said, one of them advised holding on to it with a medium- to long-term view.
Kranthi Bathini, Director – Equity Strategy at WealthMills Securities, stated that investors should hold on to the counter from a medium- to long-term perspective.
Osho Krishan, Senior Analyst – Technical & Derivative Research at Angel One, said, "The counter has witnessed a consolidation breakdown and might remain volatile in the near term. On the levels front, the previous swing low of Rs 1,120-1,100 subzone is likely to cushion the shortcomings, while on the flip side, Rs 1,230-1,240 is likely to act as a sturdy hurdle in the counter."
Drumil Vithlani, Technical Analyst at Bonanza, said, "Paytm has witnessed a sharp sell-off, breaking below key short- and medium-term EMAs, which confirms a bearish shift in trend. The price has slipped decisively below the 21 EMA and is now testing a critical horizontal support zone around 1,140–1,100. A sustained move below 1,100 could open further downside, while only a strong rebound above the 21 EMA would improve sentiment."
According to AR Ramachandran, part-time Sebi-registered research analyst at Tips2trades, "Paytm's stock is bearish on daily charts with strong resistance at Rs 1,304. A daily close below the support of Rs 1,140 could lead to a downward target of Rs 961 in the near term."
Ravi Singh, Chief Research Officer at Mastertrust, noted that the stock looked weak on charts and could slip towards Rs 1,000 level in the near term. He said one can consider taking an exit from the current level, with strong resistance seen at Rs 1,210.