Pine Labs shares, Sept. 23 -- Brokerage firm Motilal Oswal has initiated coverage on merchant payment platform Pine Labs, assigning a 'buy' rating, saying 'Monetization in motion'. The brokerage firm has given a target price of Rs.250 per share, seeing upside potential of up to 30% from the current market price.

The firm expects the company to post a strong CAGR of 24% in revenue, 46% in adjusted EBITDA and 129% in adjusted PAT over FY26-FY28E. It also expects the adjusted EBITDA margin to expand significantly to 28.7%, from 9% in FY24.

"We estimate a healthy revenue CAGR of ~24% over FY26-28E, driven by stable growth in DITP, continued traction in affordability solutions and online payments, and a faster scale-up of IAP business. DITP ...