MMYT Maintained at Buy by Citigroup, May 2026

Citigroup kept its Buy rating on MakeMyTrip Limited (MMYT) on May 19, 2026, but trimmed its price target to $70 from $80. The travel platform trades at $41.46, down 7.7% today amid broader market pressure. Despite the target cut, analysts maintain conviction in the company’s long-term growth trajectory. Meyka AI rates MMYT with a grade of B+, reflecting solid fundamentals despite near-term headwinds.

Citigroup Maintains Buy Rating on MMYT Stock

Citigroup’s decision to maintain its Buy rating signals continued confidence in MakeMyTrip’s business model. The analyst firm lowered the price target to $70 from $80, reflecting a more cautious near-term outlook. This adjustment suggests Citi sees near-term challenges but believes the stock offers value at current levels.

The rating maintenance is notable given the stock’s 60% decline over the past year. MMYT trades below its 50-day average of $44.38 and significantly below its 200-day average of $71.94. Five analysts currently rate the stock as Buy, with no Holds or Sells in the consensus.

Financial Metrics Show Mixed Signals for MMYT

MakeMyTrip’s valuation metrics reveal why Citi remains cautious. The stock trades at a P/E ratio of 79.73, well above typical travel industry standards, while the price-to-sales ratio sits at 4.17x. Operating margins remain healthy at 14.1%, but net income fell 56% year-over-year, pressuring earnings per share.

The company maintains a solid balance sheet with $8.33 per share in cash and a current ratio of 1.85x. However, the $3.9 billion market cap reflects investor concerns about profitability recovery. Free cash flow generation remains strong at $2.29 per share, supporting the Buy thesis despite valuation concerns.

Travel Sector Headwinds Impact MMYT Outlook

The travel services industry faces cyclical pressures that weigh on MakeMyTrip’s near-term performance. Consumer spending patterns have shifted post-pandemic, affecting both leisure and corporate travel bookings. Citi’s price target reduction acknowledges these temporary headwinds affecting the sector broadly.

Despite challenges, MMYT benefits from India’s growing middle class and digital adoption. The company operates air ticketing, hotels, packages, and bus ticketing segments across multiple geographies. Revenue grew 25% year-over-year, demonstrating underlying demand strength despite margin pressures.

Meyka AI Grade and Analyst Consensus

Meyka AI rates MMYT with a grade of B+, factoring in S&P 500 benchmark comparison, sector performance, financial growth, key metrics, and analyst consensus. This grade reflects balanced risk-reward dynamics in the stock. The B+ suggests the stock has merit but carries execution risks.

Analyst consensus remains solidly bullish with five Buy ratings and no downgrades. Meyka’s AI price forecasts suggest potential upside, with yearly targets at $114.75 and five-year targets at $186.77. These grades are not guaranteed and we are not financial advisors.

Final Thoughts

Citigroup’s maintained Buy rating on MMYT reflects confidence in the company’s long-term travel platform potential, despite near-term sector headwinds justifying the lower $70 price target. The stock’s B+ Meyka grade and five-analyst Buy consensus suggest institutional support remains intact. At current levels, MMYT offers risk-reward appeal for investors with longer time horizons, though near-term volatility should be expected as the travel sector navigates cyclical pressures.

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Stock markets involve risks. This content is for informational purposes only. Analyst ratings are opinions and not guarantees of future performance. Past performance does not guarantee future results. Meyka AI PTY LTD provides market analysis and data insights, not financial advice. Always conduct your own research and consider consulting a licensed financial advisor.