Bernstein reiterated an Outperform rating for Paytm with a target of Rs 1,500, stating that its June-quarter performance shows the financial services distribution business as the key growth driver. Paytm reported Q1 FY27 revenue up 28% YoY and a 45% YoY rise in its financial services distribution revenue to Rs 814 crore, aided by improved cross-selling of credit and other financial products. EBITDA jumped 182% on the back of the revenue growth, with comparable EBITDA rising nearly tenfold when PIDF incentives are excluded. The firm credited disciplined cost management, noting platform-building expenses fell 3% despite continued AI and product investments, bolstering confidence in the sustainability of the earnings trajectory. Payments activity remained strong, with merchant GMV up 31% to Rs 7.1 trillion, consumer UPI value up 45%, and monthly transacting users around 80 million. Peers, including Jefferies, also expressed optimism, lifting its target to Rs 1,600 and calling the quarter a period of strong growth momentum for Paytm.