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Is Paytm stock worth buying?
Highlighting the high valuation of Paytm IPO, stock market experts Suresh Ganapathy and Param Subramanian wrote in the note, “Considering Paytm’s heavily cash-burning business model, no clear path to profitability, large regulatory risks to the business and questionable corporate governance, we believe the company is …
How is IPO performed?
How an Initial Public Offering (IPO) Works. IPO shares of a company are priced through underwriting due diligence. When a company goes public, the previously owned private share ownership converts to public ownership, and the existing private shareholders’ shares become worth the public trading price.
Is buying during IPO a good idea?
You shouldn’t invest in an IPO just because the company is garnering positive attention. Extreme valuations may imply that the risk and reward of the investment is not favorable at the current price levels. Investors should keep in mind a company issuing an IPO lacks a proven track record of operating publicly.
What will Paytm do with IPO?
What will Paytm use the funds for? Paytm has said it plans to use Rs 4,300 crore of the fresh issue to expand its existing business lines and acquire new merchants and customers. The company is expecting a valuation of $20-$22 billion, and at last fundraise, it was valued at $16 billion.
Why Paytm IPO GMP is low?
However, the expectations from the IPO were sky high over the past few months. This signalled that enough supply would be available in the secondary market and that, too, at a discounted rate and hence the fall in the GMP,” said Gaurav Garg, head of research at CapitalVia Global Research.
Why should you invest in IPO?
By investing in an IPO, you can enter the ‘ground floor’ of a company with a high growth potential. An IPO may be your window to rapid profit in a short time period. It may also help grow your wealth in the long run. Suppose, you invest in a young company that sells disruptive technology.
Is PayTm stock safe?
Yes, it is completely safe to invest your money in the stock market using Paytm money App. In fact, PayTm has come up with stock broking services recently and trying to establish itself in the said field.
What is Paytm IPO?
The initial public offering (IPO) of One97 Communications, Paytm’s parent firm, was one of the most awaited public offerings of 2021. There was a huge sense of excitement surrounding the Rs 18,300 crore IPO, the biggest in the history of Indian capital markets, even before it had opened for subscription.
How do you participate in an IPO?
Log into trading app or mobile application of the broker and go to ongoing IPO section. Select investor type and IPO to apply for. Enter number of shares and bid price. UPI id must be entered as well….Must haves
- Demat account.
- Trading account.
- Mobile number linked to the bank account.
- UPI ID.