Mumbai, Aug. 13 -- Global brokerages Bank of America Securities and JM Financial have raised their price targets on Paytm, saying the potential monetisation of UPI merchant payments through the application of a Merchant Discount Rate (MDR) could boost revenues and open up a new earnings stream for the fintech company, while its underlying business momentum remains strong.

BofA Global Research raised its price objective on Paytm to Rs.1,775 from Rs.1,560 and reiterated its Buy rating, describing the company as a "key beneficiary" from a potential MDR on select UPI transactions. JM Financial also maintained its Buy rating and increased its target price to Rs.1,950 from Rs.1,500.

BofA said a potential MDR framework could create an incremen...