MakeMyTrip (MMYT) ended the recent trading session at $84.59, demonstrating a +2.41% change from the preceding day's closing price. This change outpaced the S&P 500's 0.16% loss on the day. Meanwhile, the Dow lost 0.09%, and the Nasdaq, a tech-heavy index, lost 0.59%.
The stock of online travel company has risen by 8.38% in the past month, leading the Computer and Technology sector's loss of 0.43% and the S&P 500's loss of 0.21%.
The investment community will be closely monitoring the performance of MakeMyTrip in its forthcoming earnings report. The company is forecasted to report an EPS of $0.43, showcasing a 10.26% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $313.62 million, indicating a 17.3% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.62 per share and revenue of $1.11 billion, indicating changes of +3.85% and +13.49%, respectively, compared to the previous year.
Any recent changes to analyst estimates for MakeMyTrip should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. MakeMyTrip is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, MakeMyTrip currently has a Forward P/E ratio of 50.99. Its industry sports an average Forward P/E of 14.22, so one might conclude that MakeMyTrip is trading at a premium comparatively.
The Internet - Delivery Services industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 194, placing it within the bottom 22% of over 250 industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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MakeMyTrip Limited (MMYT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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