Brokerages raise Paytm targets on UPI MDR optimism

Paytm is a company that lets people pay for things using their phones.

Some grown-ups who study companies, called brokers, think Paytm will earn more money soon.

The government made a new rule that could let Paytm charge a small fee on some UPI payments.

UPI is a way people send money to each other very quickly using their phones.

Because of this possible new money, three big finance firms raised their price guesses for Paytm's shares.

Bernstein thinks Paytm's shares could be worth Rs 2,200, BofA says Rs 1,775, and JM Financial says Rs 1,950.

Paytm's shares have already become more expensive in the last week and month.

Paytm also made a lot more profit recently, with net profit going up 79%.

But the experts warn the fee might be smaller than expected, or competition could get stronger.

So there is a chance the shares won't climb as high as the brokers hope.