MAKEMYTRIP LTD (MMYT) Stock Fundamental Analysis
NASDAQ:MMYT - Nasdaq - MU0295S00016 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to MMYT. MMYT was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. MMYT is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. MMYT shows excellent growth, but is valued quite expensive already. This makes MMYT very considerable for growth investing!
1. Profitability
1.1 Basic Checks
In the past year MMYT was profitable.
MMYT had a positive operating cash flow in the past year.
MMYT had negative earnings in 4 of the past 5 years.
Of the past 5 years MMYT 4 years had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 13.13%, MMYT belongs to the best of the industry, outperforming 90.08% of the companies in the same industry.
The Return On Equity of MMYT (20.06%) is better than 79.39% of its industry peers.
MMYT has a Return On Invested Capital (6.35%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.13% | ||
| ROE | 20.06% | ||
| ROIC | 6.35% |
ROA(3y)2.93%
ROA(5y)-7.36%
ROE(3y)4.38%
ROE(5y)-9.06%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MMYT's Profit Margin of 25.42% is amongst the best of the industry. MMYT outperforms 98.47% of its industry peers.
MMYT's Operating Margin of 12.44% is in line compared to the rest of the industry. MMYT outperforms 58.78% of its industry peers.
Looking at the Gross Margin, with a value of 71.67%, MMYT belongs to the top of the industry, outperforming 87.79% of the companies in the same industry.
In the last couple of years the Gross Margin of MMYT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.44% | ||
| PM (TTM) | 25.42% | ||
| GM | 71.67% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.66%
GM growth 5Y2.43%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MMYT is destroying value.
The number of shares outstanding for MMYT has been increased compared to 1 year ago.
MMYT has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, MMYT has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 11.14 indicates that MMYT is not in any danger for bankruptcy at the moment.
MMYT's Altman-Z score of 11.14 is amongst the best of the industry. MMYT outperforms 98.47% of its industry peers.
The Debt to FCF ratio of MMYT is 2.77, which is a good value as it means it would take MMYT, 2.77 years of fcf income to pay off all of its debts.
MMYT's Debt to FCF ratio of 2.77 is amongst the best of the industry. MMYT outperforms 82.44% of its industry peers.
MMYT has a Debt/Equity ratio of 0.19. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.19, MMYT is doing good in the industry, outperforming 78.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 2.77 | ||
| Altman-Z | 11.14 |
ROIC/WACC0.63
WACC10.07%
2.3 Liquidity
A Current Ratio of 2.88 indicates that MMYT has no problem at all paying its short term obligations.
MMYT has a better Current ratio (2.88) than 93.89% of its industry peers.
MMYT has a Quick Ratio of 2.88. This indicates that MMYT is financially healthy and has no problem in meeting its short term obligations.
MMYT has a better Quick ratio (2.88) than 96.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.88 | ||
| Quick Ratio | 2.88 |
3. Growth
3.1 Past
MMYT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 74.12%, which is quite impressive.
MMYT shows a strong growth in Revenue. In the last year, the Revenue has grown by 28.52%.
Measured over the past years, MMYT shows a quite strong growth in Revenue. The Revenue has been growing by 9.99% on average per year.
EPS 1Y (TTM)74.12%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)28.52%
Revenue growth 3Y68.56%
Revenue growth 5Y9.99%
Sales Q2Q%24.81%
3.2 Future
Based on estimates for the next years, MMYT will show a very strong growth in Earnings Per Share. The EPS will grow by 29.17% on average per year.
The Revenue is expected to grow by 22.02% on average over the next years. This is a very strong growth
EPS Next Y10.37%
EPS Next 2Y26.46%
EPS Next 3Y29.17%
EPS Next 5YN/A
Revenue Next Year24.59%
Revenue Next 2Y22.79%
Revenue Next 3Y22.02%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
MMYT is valuated quite expensively with a Price/Earnings ratio of 66.13.
The rest of the industry has a similar Price/Earnings ratio as MMYT.
The average S&P500 Price/Earnings ratio is at 29.63. MMYT is valued rather expensively when compared to this.
With a Price/Forward Earnings ratio of 53.22, MMYT can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MMYT indicates a slightly more expensive valuation: MMYT is more expensive than 62.60% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.68. MMYT is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 66.13 | ||
| Fwd PE | 53.22 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MMYT is valued more expensive than 83.21% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, MMYT is valued a bit more expensive than the industry average as 60.31% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 127.94 | ||
| EV/EBITDA | 72.2 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
MMYT's earnings are expected to grow with 29.17% in the coming years. This may justify a more expensive valuation.
PEG (NY)6.38
PEG (5Y)N/A
EPS Next 2Y26.46%
EPS Next 3Y29.17%
5. Dividend
5.1 Amount
MMYT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
97.87
-3.77 (-3.71%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners84.96%
Inst Owner Change0.37%
Ins Owners2.2%
Ins Owner ChangeN/A
Market Cap10.74B
Analysts82.67
Price Target122.29 (24.95%)
Short Float %4.94%
Short Ratio4.03
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)21.16%
Min EPS beat(2)6.56%
Max EPS beat(2)35.75%
EPS beat(4)4
Avg EPS beat(4)42.42%
Min EPS beat(4)6.56%
Max EPS beat(4)90.08%
EPS beat(8)8
Avg EPS beat(8)59.28%
EPS beat(12)10
Avg EPS beat(12)23.81%
EPS beat(16)13
Avg EPS beat(16)-0.59%
Revenue beat(2)0
Avg Revenue beat(2)-2.47%
Min Revenue beat(2)-3.79%
Max Revenue beat(2)-1.15%
Revenue beat(4)2
Avg Revenue beat(4)-0.29%
Min Revenue beat(4)-3.79%
Max Revenue beat(4)3.03%
Revenue beat(8)5
Avg Revenue beat(8)1.87%
Revenue beat(12)7
Avg Revenue beat(12)2.12%
Revenue beat(16)9
Avg Revenue beat(16)1.1%
PT rev (1m)8.6%
PT rev (3m)10.48%
EPS NQ rev (1m)-23.52%
EPS NQ rev (3m)-2.09%
EPS NY rev (1m)-7.16%
EPS NY rev (3m)-7.51%
Revenue NQ rev (1m)0.62%
Revenue NQ rev (3m)3.56%
Revenue NY rev (1m)0.2%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 66.13 | ||
| Fwd PE | 53.22 | ||
| P/S | 11.48 | ||
| P/FCF | 127.94 | ||
| P/OCF | 110.99 | ||
| P/B | 9.06 | ||
| P/tB | 17.95 | ||
| EV/EBITDA | 72.2 |
EPS(TTM)1.48
EY1.51%
EPS(NY)1.84
Fwd EY1.88%
FCF(TTM)0.76
FCFY0.78%
OCF(TTM)0.88
OCFY0.9%
SpS8.52
BVpS10.81
TBVpS5.45
PEG (NY)6.38
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.13% | ||
| ROE | 20.06% | ||
| ROCE | 8.04% | ||
| ROIC | 6.35% | ||
| ROICexc | 12.35% | ||
| ROICexgc | 58.69% | ||
| OM | 12.44% | ||
| PM (TTM) | 25.42% | ||
| GM | 71.67% | ||
| FCFM | 8.97% |
ROA(3y)2.93%
ROA(5y)-7.36%
ROE(3y)4.38%
ROE(5y)-9.06%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.66%
GM growth 5Y2.43%
F-Score5
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 2.77 | ||
| Debt/EBITDA | 1.58 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 67.38% | ||
| Profit Quality | 35.3% | ||
| Current Ratio | 2.88 | ||
| Quick Ratio | 2.88 | ||
| Altman-Z | 11.14 |
F-Score5
WACC10.07%
ROIC/WACC0.63
Cap/Depr(3y)51.02%
Cap/Depr(5y)43.5%
Cap/Sales(3y)2.91%
Cap/Sales(5y)3.32%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)74.12%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y10.37%
EPS Next 2Y26.46%
EPS Next 3Y29.17%
EPS Next 5YN/A
Revenue 1Y (TTM)28.52%
Revenue growth 3Y68.56%
Revenue growth 5Y9.99%
Sales Q2Q%24.81%
Revenue Next Year24.59%
Revenue Next 2Y22.79%
Revenue Next 3Y22.02%
Revenue Next 5YN/A
EBIT growth 1Y106.22%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year53.35%
EBIT Next 3Y40.85%
EBIT Next 5YN/A
FCF growth 1Y706.35%
FCF growth 3Y26.52%
FCF growth 5YN/A
OCF growth 1Y798.94%
OCF growth 3Y24.9%
OCF growth 5YN/A