Comparing MakeMyTrip (MMYT) & The Competition

MakeMyTrip (NASDAQ:MMYT) is one of 382 publicly-traded companies in the “Hotels, Restaurants & Leisure” industry, but how does it weigh in compared to its peers? We will compare MakeMyTrip to similar businesses based on the strength of its risk, valuation, institutional ownership, profitability, earnings, dividends and analyst recommendations.

Earnings and Valuation

This table compares MakeMyTrip and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
MakeMyTrip	$1.04 billion	$51.80 million	227.60
MakeMyTrip Competitors	$3.70 billion	$247.14 million	-153.87

MakeMyTrip’s peers have higher revenue and earnings than MakeMyTrip. MakeMyTrip is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for MakeMyTrip and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MakeMyTrip	0	2	5	0	2.71
MakeMyTrip Competitors	3793	17208	25479	901	2.50

MakeMyTrip currently has a consensus target price of $72.25, suggesting a potential upside of 58.72%. As a group, “Hotels, Restaurants & Leisure” companies have a potential upside of 59.11%. Given MakeMyTrip’s peers higher possible upside, analysts plainly believe MakeMyTrip has less favorable growth aspects than its peers.

Insider & Institutional Ownership

51.9% of MakeMyTrip shares are owned by institutional investors. Comparatively, 48.6% of shares of all “Hotels, Restaurants & Leisure” companies are owned by institutional investors. 10.3% of MakeMyTrip shares are owned by insiders. Comparatively, 22.1% of shares of all “Hotels, Restaurants & Leisure” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk & Volatility

MakeMyTrip has a beta of 1.07, indicating that its stock price is 7% more volatile than the S&P 500. Comparatively, MakeMyTrip’s peers have a beta of 1.61, indicating that their average stock price is 61% more volatile than the S&P 500.

Profitability

This table compares MakeMyTrip and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MakeMyTrip	3.91%	-312.82%	8.92%
MakeMyTrip Competitors	2.30%	-40.19%	2.09%

Summary

MakeMyTrip peers beat MakeMyTrip on 7 of the 13 factors compared.

MakeMyTrip Company Profile

MakeMyTrip Limited, an online travel company, sells travel products and solutions in India, the United States, Singapore, Malaysia, Thailand, the United Arab Emirates, Peru, Colombia, Vietnam, and Indonesia. The company operates through three segments: Air Ticketing, Hotels and Packages, and Bus Ticketing. Its services and products include air tickets; hotels and packages; rail tickets; bus tickets; and car hire, as well as ancillary travel requirements, such as visa processing and facilitating access to travel insurance. The company allows travelers to research, plan, book, and purchase travel services and products through its websites, such as makemytrip.com, goibibo.com, redbus.in, makemytrip.com.sg, and makemytrip.ae; and other technology-enhanced distribution channels, such as call centers, travel stores, and travel agents network, as well as mobile service platform. The company serves leisure and corporate travelers. MakeMyTrip Limited was incorporated in 2000 and is based in Gurugram, India.