Looks like now they will be stopping Paytm Postpaid this was expected as they had hinted about stress in this book, lets see if going into PL and SME helps them get higher margins cause they are higher size loans but the market size shall reduce drastically as they can only target merchants and customers with good credit profile so they will be in direct competition with banks and NBFCs, also earlier they mentioned Postpaid as a part of funnel which they provide to customers and based on their behaviour they would be giving higher ticket loans, so I think the business of Paytm is more like an NBFC as their payment business does not have any meaningful take rates to earn money and also now their market size has reduced drastically and is in direct competition with other financial institutions, will be listening the next earnings concall and also I think the stock is basically a story stock without any fundamental business model so will have to watch if management walk the talk to even consider entering the stock.
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