The case for & against
Bull & Bear analysis
MakeMyTrip Limited (NASDAQ: MMYT) is a leading online travel agency in India, providing a comprehensive range of travel services including accommodation bookings, air ticketing, and holiday packages. The company primarily caters to domestic tourists while also expanding its international offering as India's travel sector continues to grow. The rising disposable income among the Indian middle class and the increasing propensity to travel positions MakeMyTrip favorably in a burgeoning market characterized by rapid digital transformation and a shift towards experiential tourism.
Bull says
- ↑Revenue +10.7% YoY to $270.7M; management forecasts 20%+ growth.
- ↑Gross Booking Value reached $10.4B, up 34% over four years.
- ↑AI-driven Myra handles 80k+ daily conversations, improving UX.
- ↑Repurchased $50.3M of shares; $970M cash reserve underpins liquidity.
- ↑Analyst consensus ‘Buy’ with $71–$103 price targets implies upside.
- ↑Domestic travel demand rising; India remains underpenetrated market.
Bear says
- ↓Forward P/E at 60x vs 11x industry avg signals stretched valuation.
- ↓Negative earnings yield raises questions on return potential.
- ↓Geopolitical conflicts dented March bookings, risking future demand.
- ↓Weak momentum indicators suggest underperformance versus peers.
- ↓Marketing spend ~5% of bookings may erode margins if growth falters.
- ↓Negative analyst revisions and liquidity concerns elevate volatility risk.
Investment themes with MMYT
Commercial airline operators and related services
Online retail and e-commerce platforms
Earnings Call · Q4 2026 · Mgmt. Guidance
Transcript signals
Bull points
- we were able to deliver strong volume growth of 15.2% in our accommodation business, which includes hotels, homestays, and holiday packages.
- We recorded our highest ever domestic hotel check-ins on 24th January weekend, crossing 200,000 room nights on a single day for the first time.
- Accommodation bookings for spiritual destinations have continued to demonstrate strong momentum even after the confinement of last year, highlighting the structural rise of pilgrimage and faith-based tourism in India.
Bear points
- The reported financial year presented a challenging operating environment with several external factors impacting travel demand across quarters.
- The reported quarter was also marred by the West Asia conflict which has impacted westbound international travel and with increasing fuel costs has also led to an increase in domestic airfares in a highly price conscious market.
- this was impacted by a combination of supply side and geopolitical factors.