Shares of surged to a 52-week high of ₹1,855.50 on the NSE on Wednesday morning, with the stock trading at ₹1,749.50, up 1.13 per cent from Tuesday’s close of ₹1,730, as of 11.15 am.
The stock opened sharply higher at ₹1,830 and has seen heavy trading volume of over 1.09 crore shares worth ₹1,956 crore so far in the session.
The rally follows a disclosure made by the company informing exchanges that the National Payments Corporation of India (NPCI) had introduced a Merchant Discount Rate (MDR) of up to 0.4 per cent on UPI Person-to-Merchant transactions exceeding ₹2,000. The circular, numbered NPCI/UPI/OC-No.237/2026-27 and dated September 15, 2026, takes effect from October 15, 2026.
The development is seen as a meaningful revenue tailwind for Paytm, which operates one of India’s largest merchant payment networks with 1.51 crore device merchants. UPI payments will continue to remain free for consumers under the new framework, with charges applicable only to merchants.
Goldman Sachs estimated 40-70 per cent potential upside to Paytm’s FY28 EBITDA, projecting an incremental EBITDA of around ₹1,400 crore in a high-end scenario, based on an industry revenue pool of approximately ₹20,600 crore.
Citi estimated the total ecosystem impact at ₹16,000-17,000 crore annually, with roughly 25 per cent accruing to UPI app providers like Paytm. JPMorgan pegged the total revenue pool at ₹17,000 crore, calling the framework positive but noting uneven distribution across players.
The company, which reported its first full year of profit in FY26 with a PAT of ₹552 crore, said it would make further disclosures once the circular’s financial impact is ascertained. The stock has gained over 43 per cent in the past year.