MakeMyTrip (NASDAQ: MMYT) and GATX (NYSE:GATX) are both mid-cap computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, dividends, profitability, valuation, institutional ownership, earnings and analyst recommendations.
Volatility & Risk
MakeMyTrip has a beta of -0.06, suggesting that its share price is 106% less volatile than the S&P 500. Comparatively, GATX has a beta of 1.22, suggesting that its share price is 22% more volatile than the S&P 500.
GATX pays an annual dividend of $1.76 per share and has a dividend yield of 2.4%. MakeMyTrip does not pay a dividend. GATX pays out 37.4% of its earnings in the form of a dividend.
Institutional and Insider Ownership
48.7% of MakeMyTrip shares are held by institutional investors. 3.6% of GATX shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
This table compares MakeMyTrip and GATX’s net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
Valuation & Earnings
This table compares MakeMyTrip and GATX’s top-line revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|MakeMyTrip||$447.62 million||6.91||-$110.16 million||($1.88)||-17.95|
|GATX||$1.38 billion||2.00||$502.00 million||$4.70||15.82|
GATX has higher revenue and earnings than MakeMyTrip. MakeMyTrip is trading at a lower price-to-earnings ratio than GATX, indicating that it is currently the more affordable of the two stocks.
This is a summary of recent ratings and recommmendations for MakeMyTrip and GATX, as provided by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
MakeMyTrip presently has a consensus price target of $33.00, indicating a potential downside of 2.08%. GATX has a consensus price target of $68.50, indicating a potential downside of 7.87%. Given MakeMyTrip’s stronger consensus rating and higher probable upside, equities analysts plainly believe MakeMyTrip is more favorable than GATX.
GATX beats MakeMyTrip on 10 of the 16 factors compared between the two stocks.
MakeMyTrip Company Profile
MakeMyTrip Limited, an online travel company, provides travel products and solutions in India and internationally. MakeMyTrip Limited, an online travel company, engages in the business of selling travel products and solutions in India, the United States, the Netherlands, Singapore, Malaysia, Thailand, the United Arab Emirates, Peru, Hong Kong, and Bangladesh. It operates through two segments, Air Ticketing, and Hotels and Packages. The company's services and products include air tickets, hotels, packages, rail tickets, bus tickets, and car hire, as well as ancillary travel requirements, such as facilitating access to travel insurance and visa processing. It allows travelers to research, plan, book, and purchase a range of travel services and products through its Websites makemytrip.com, makemytrip.ae, makemytrip.com.sg, us.makemytrip.com, hoteltravel.com, and easytobook.com; and other technology-enhanced distribution channels, including call centers, travel stores, and travel agents' network, as well as mobile service platform. As of March 31, 2017, the company had 16 company-owned travel stores and 35 franchisee-owned travel stores. MakeMyTrip Limited serves leisure travelers and small businesses. The company was founded in 2000 and is based in Gurgaon, India.
GATX Company Profile
GATX Corporation leases, operates, manages, and remarkets assets in the rail and marine markets in North America and internationally. The company operates through four segments: Rail North America, Rail International, American Steamship Company (ASC), and Portfolio Management. The Rail North America segment primarily leases railcars and locomotives. This segment also offers services, including interior cleaning of railcars, routine maintenance and repairs to car body and safety appliances, regulatory compliance work, wheelset replacements, exterior blast and painting, and car stenciling. The Rail International segment leases railcars, as well as offers repair, regulatory compliance, and modernization work for railcars. The ASC segment operates a fleet of vessels that provide waterborne transportation of dry bulk commodities, such as iron ore, coal, limestone aggregates, and metallurgical limestone for the steel making, automobile manufacturing, electricity generation, and non-residential construction markets. The Portfolio Management segment is involved in leasing, marine, and asset remarketing operations, as well as manages portfolios of assets for third parties. As of December 31, 2017, it operated a fleet of 147,005 railcars; 665 locomotives; and 12 vessels. GATX Corporation was founded in 1898 and is headquartered in Chicago, Illinois.
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