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MakeMyTrip (MMYT) Stock Dips While Market Gains: Key Facts

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In the latest close session, MakeMyTrip (MMYT - Free Report) was down 1.27% at $93.36. The stock's change was less than the S&P 500's daily gain of 0.61%. On the other hand, the Dow registered a gain of 0.49%, and the technology-centric Nasdaq increased by 0.95%.

Coming into today, shares of the online travel company had lost 4.26% in the past month. In that same time, the Computer and Technology sector gained 5.6%, while the S&P 500 gained 3.85%.

The investment community will be paying close attention to the earnings performance of MakeMyTrip in its upcoming release. The company's earnings per share (EPS) are projected to be $0.45, reflecting a 15.38% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $277.12 million, indicating a 8.88% growth compared to the corresponding quarter of the prior year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.98 per share and a revenue of $1.16 billion, representing changes of +26.92% and +18.78%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for MakeMyTrip. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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 past month, the Zacks Consensus EPS estimate has remained steady. MakeMyTrip is currently sporting a Zacks Rank of #5 (Strong Sell).

In terms of valuation, MakeMyTrip is currently trading at a Forward P/E ratio of 47.88. This represents a premium compared to its industry average Forward P/E of 15.37.

The Internet - Delivery Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 90, positioning it in the top 37% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow MMYT in the coming trading sessions, be sure to utilize Zacks.com.


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