Shares of One MobiKwik Systems, the parent company of the prominent fintech platform MobiKwik, have experienced a significant rally, extending gains for a third consecutive session. The stock closed at Rs 256, marking a remarkable 30.35% increase over three days.
RBI Approval Fuels Investor Confidence
The substantial surge in MobiKwik's stock price comes on the heels of a crucial announcement: the company has received in-principle approval from the Reserve Bank of India (RBI) for a Payment Aggregator – Physical (PA-P) licence. This regulatory nod is expected to be a key catalyst for the company's expansion.
MobiKwik stated that this approval is a pivotal step, enabling it to significantly deepen its presence in the offline merchant payments sector across India. The company highlighted that this marks an important milestone in its journey to become a comprehensive full-stack fintech platform, serving both consumers and merchants through a broad array of payment and financial services.
Strategic Expansion and Growth Targets
Currently, MobiKwik supports an extensive network of 4.9 million merchants, offering various products including UPI QR codes, Soundboxes, and EDC machines. Looking ahead, the company has identified three strategic focus segments for the next 18-24 months: small businesses, oil & gas outlets, and organised retail.
MobiKwik aims to substantially expand its market share within these identified segments. A key part of this strategy involves a significant increase in the deployment of Soundboxes and EDC machines, with an ambitious target of achieving 10x growth in its merchant business by the financial year 2028.
Analysts Weigh In on MobiKwik's Next Move
Market analysts are closely watching MobiKwik's performance following the recent rally.
AR Ramachandran, a Sebi-registered research analyst at Tips2trades, noted, "MobiKwik is bullish but also overbought on daily charts with next resistance at Rs 271. Investors should consider booking profits as a daily close below the support of Rs 237 could trigger a fall towards Rs 184 in the near term."
Conversely, Jigar S Patel, Senior Manager – Technical Research at Anand Rathi, offered a more optimistic perspective. "MobiKwik has witnessed a strong technical breakout after decisively surpassing its major resistance zone near Rs 240. The stock, currently around Rs 256, indicates sustained buying interest post-breakout," Patel stated. He added that the breakout is likely to remain constructive as long as the stock maintains above the Rs 240 breakout zone consistently.
Patel further suggested that "any dips towards the breakout area can be monitored for stability and buying interest. If the stock sustains above Rs 240 and the positive momentum continues, the counter could potentially move towards the Rs 275–280 zone in upcoming sessions." Overall, the technical setup remains positive, with Rs 240 emerging as a critical support level for the continuation of the uptrend.