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MakeMyTrip (MMYT) Stock Falls Amid Market Uptick: What Investors Need to Know

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The most recent trading session ended with MakeMyTrip (MMYT - Free Report) standing at $101.88, reflecting a -1.31% shift from the previouse trading day's closing. The stock fell short of the S&P 500, which registered a gain of 0.58% for the day. At the same time, the Dow added 0.51%, and the tech-heavy Nasdaq gained 0.81%.

Coming into today, shares of the online travel company had lost 8.82% in the past month. In that same time, the Computer and Technology sector gained 7.05%, while the S&P 500 gained 4.61%.

Investors will be eagerly watching for the performance of MakeMyTrip in its upcoming earnings disclosure. On that day, MakeMyTrip is projected to report earnings of $0.46 per share, which would represent year-over-year growth of 17.95%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $277.12 million, up 8.88% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $1.98 per share and a revenue of $1.16 billion, demonstrating changes of +26.92% and +18.78%, respectively, from the preceding year.

Investors might also notice recent changes to analyst estimates for MakeMyTrip. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 6.3% decrease. Right now, MakeMyTrip possesses a Zacks Rank of #4 (Sell).

In terms of valuation, MakeMyTrip is currently trading at a Forward P/E ratio of 52.27. This indicates a premium in contrast to its industry's Forward P/E of 17.23.

The Internet - Delivery Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 54, positioning it in the top 22% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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