MakeMyTrip vs AutoNation

This page compares MakeMyTrip Limited and AutoNation Inc., examining their business models, financial performance, and market context in a neutral, accessible way. It highlights the factors shaping each stock and contrasts their approaches to growth and resilience. Educational content, not financial advice.

This page compares MakeMyTrip Limited and AutoNation Inc., examining their business models, financial performance, and market context in a neutral, accessible way. It highlights the factors shaping ea...

Comparison Snapshot

Key Financial Metrics

MMYT

Metric

AN

$7.10B

Market Cap

$7.85B

67.33%

Potential Profit

7.92%

Buy

Analyst Rating

Buy

Investment Analysis

MakeMyTrip

MMYT

Pros

MakeMyTrip has experienced a 127% stock price surge in the past year, reflecting strong growth momentum and favorable macroeconomic conditions.
The company has a solid return on equity (ROE) of 15.9% on a trailing twelve-month basis, indicating efficient use of shareholder capital.
MakeMyTrip benefits from geographic diversification with operations across India, the US, Southeast Asia, and other regions, reducing reliance on any single market.

Considerations

The stock currently trades at a high price-to-earnings ratio above 110, suggesting a premium valuation that may pressure future returns.
Recent trading shows increased volatility and setting new 52-week lows, pointing to investor uncertainty and potential near-term downward risks.
Profitability is uneven historically, with a low five- and ten-year average ROE indicating challenges in consistent long-term value creation.

AutoNation

AN

Pros

AutoNation boasts a strong return on equity of approximately 27%, reflecting robust profitability and effective capital management.
The company benefits from its dominant position as the largest automotive retailer in the US, supporting scale advantages and broad market access.
AutoNation’s revenue and earnings growth are driven by diversified automotive sales, services, and used vehicle segments, supporting stable cash flows.

Considerations

AutoNation’s business is highly sensitive to economic cycles and consumer demand trends in the automotive sector, increasing earnings volatility.
The company faces risks from rising interest rates and inflation, which can dampen vehicle sales and financing activity.
Intense competition in auto retail from online platforms and manufacturers’ direct sales strategies creates execution risks and margin pressure.

About The Companies

MakeMyTrip (MMYT)

MakeMyTrip Limited (MMYT) is an India-based online travel company that operates a marketplace for flights, hotels, holiday packages and ancillary services. Investors should know it benefits from India's rising domestic and outbound travel demand, digital adoption and increasing discretionary spending. Revenue stems from transaction fees, merchant model hotel bookings, packaged tours and advertising; margins can fluctuate with promotional activity and commission mix. Key strengths include brand recognition, a large user base and mobile-led distribution, while challenges include intense competition (global and local players), regulatory and tax changes, sensitivity to fuel prices and economic cycles, and the potential for travel disruptions (pandemic, geopolitical events). The company’s market capitalisation is about $8.57bn, reflecting investors’ expectations for growth in a large travel market. This summary is educational, not advice: travel stocks can be volatile, and prospective investors should consider fit with their objectives and seek personalised guidance if needed.

AutoNation (AN)

AutoNation, Inc. is a prominent automotive retailer in the United States, operating through a large network of franchises. The company's business is structured into several key segments: Domestic, featuring brands like Ford and General Motors; Import, with manufacturers such as Toyota and Honda; and Premium Luxury, which includes marques like Mercedes-Benz and BMW. Beyond selling new and used vehicles, AutoNation provides a comprehensive range of services. These include vehicle parts and automotive servicing, as well as finance and insurance products for customers. The company also operates its own finance division, AutoNation Finance, which offers financing solutions directly to its retail customers. This diversified model allows AutoNation to engage with customers at multiple points in the vehicle ownership lifecycle. As with any investment, the value can go down as well as up, and returns are not guaranteed.

Which Baskets Do They Appear In?

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Published: September 19, 2025

MakeMyTrip vs AutoNation

Comparison Snapshot

Investment Analysis

MakeMyTrip

Pros

Considerations

AutoNation

Pros

Considerations

About The Companies

Which Baskets Do They Appear In?

Live Entertainment Lawsuit: What's Next for Rivals

Riding Europe's Airline Recovery

Leveling the Digital Playing Field

Which Baskets Do They Appear In?

Live Entertainment Lawsuit: What's Next for Rivals

Riding Europe's Airline Recovery

Leveling the Digital Playing Field

Activist Investor Impact: Travel Tech

Europe's Open Search Market

India's Hidden Gems

Indian Aviation Soars

India's Credit Growth Story

Ephemeral Experiences

Experience Economy

Wanderlust Economy

Made in India

Buy MMYT or AN in Nemo

Zero Commission

Trusted & Regulated

6% Interest on Cash

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Frequently asked questions

What does a stock comparison page like this show about MakeMyTrip and AutoNation?

What is ROE and why is it mentioned for both stocks?

How does diversification influence risk in this comparison?

What does a high price-to-earnings (P/E) ratio imply in this context?

How should profit volatility influence decision-making for these stocks?

What role do equity returns play in assessing long-term value?

How do macroeconomic conditions affect these stocks differently?

Why is market context important when comparing growth stories?

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Is the information on this page financial advice?

Comparison Snapshot

About The Companies