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In the latest trading session, MakeMyTrip (MMYT) closed at $112.30, marking a -0.53% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.16%. Elsewhere, the Dow gained 0.25%, while the tech-heavy Nasdaq lost 0.06%.
Shares of the online travel company have depreciated by 6.36% over the course of the past month, underperforming the Computer and Technology sector's loss of 0.39% and the S&P 500's loss of 2.7%.
The upcoming earnings release of MakeMyTrip will be of great interest to investors. The company's upcoming EPS is projected at $0.44, signifying a 25.71% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $256.68 million, indicating a 19.82% upward movement from the same quarter last year.
MMYT's full-year Zacks Consensus Estimates are calling for earnings of $1.61 per share and revenue of $968.67 million. These results would represent year-over-year changes of +31.97% and +23.79%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for MakeMyTrip. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Right now, MakeMyTrip possesses a Zacks Rank of #3 (Hold).
In the context of valuation, MakeMyTrip is at present trading with a Forward P/E ratio of 69.75. This indicates a premium in contrast to its industry's Forward P/E of 26.25.
Meanwhile, MMYT's PEG ratio is currently 4.84. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The average PEG ratio for the Internet - Delivery Services industry stood at 1.19 at the close of the market yesterday.
The Internet - Delivery Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 44, which puts it in the top 18% of all 250+ industries.