Yatra Online (YTRA) AI Stock Analysis

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Yatra Online

(NASDAQ:YTRA)

59Neutral

Yatra Online shows promise with strong revenue growth and strategic expansions in the corporate travel sector. However, the stock faces significant risks due to negative cash flows and a negative P/E ratio, indicating profitability concerns. The bearish technical indicators further caution investors, although the company's robust liquidity and strategic initiatives offer some optimism for future performance.

Positive Factors

Acquisition Benefits

Investors should begin to see financial benefits from the acquisition of Globe All India Services.

Corporate Travel Expansion

The company continues to be active in corporate travel, adding a record 50 new corporate customers during the quarter.

Revenue Growth

The company reported revenue of $28.2M, which was well above the $11.9M estimate and increased 147.4% on a USD basis from the year ago period.

Negative Factors

B2C Market Challenges

The challenging B2C market continues to weigh on investor opinion, leading to a lowering of the price target to $3 from $4.

Revenue Miss

The company reported revenue of $27.5M, which was below the $29.8M estimate.

Yatra Online (YTRA) vs. S&P 500 (SPY)

Market Cap

$45.59M

Dividend YieldN/A

Average Volume (3M)93.71K

Price to Earnings (P/E)―

Beta (1Y)0.82

Revenue Growth54.50%

EPS Growth89.80%

CountryUS

Employees1,268

SectorConsumer Cyclical

Sector Strength63

IndustryTravel Services

Share Statistics

EPS (TTM)<0.01

Shares Outstanding61,922,424

10 Day Avg. Volume108,578

30 Day Avg. Volume93,709

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)1.04

Price to Cash Flow (P/CF)N/A

P/FCF Ratio0.00

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

$3.00

Price Target Upside376.19% Upside

Rating ConsensusModerate Buy

Number of Analyst Covering1

Yatra Online Business Overview & Revenue Model

Company DescriptionYatra Online, Inc. (YTRA) is a leading online travel agency in India that offers a comprehensive range of travel-related services. The company operates in the travel and hospitality sectors, providing an extensive selection of domestic and international flight bookings, hotel reservations, holiday packages, bus and rail ticketing, and ancillary services such as travel insurance and visa assistance. Yatra caters to both corporate and individual customers through its user-friendly website and mobile applications.

How the Company Makes MoneyYatra Online generates revenue through multiple streams, primarily from service fees and commissions on travel bookings. The company earns commissions from airlines, hotels, and other travel service providers for facilitating bookings through its platform. Additionally, Yatra offers value-added services like travel insurance and visa facilitation, which contribute to its income. The business also maintains strategic partnerships with various travel suppliers and corporate clients, enhancing its service offerings and customer reach. Another significant revenue source is its corporate travel management services, where it provides end-to-end travel solutions to businesses, further diversifying its income channels.

Yatra Online Financial Statement Overview

Summary

Yatra Online has shown strong revenue growth and improving equity positions, indicative of a recovering business trajectory. However, profitability and cash flow management need attention to ensure sustainable financial health. The company should focus on optimizing operational efficiency and enhancing cash conversion to mitigate risks associated with negative cash flows.

Income Statement

Positive

Yatra Online has demonstrated commendable revenue growth with a significant increase from previous periods, particularly evident in the TTM data. Gross profit margins have shown resilience and improvement. However, profitability remains a concern with fluctuating EBIT and net income margins, indicating potential challenges in cost management and operational efficiency.

Balance Sheet

Positive

The company maintains a healthy equity position with a favorable equity ratio, suggesting strong shareholder backing. However, the debt-to-equity ratio, while not overly high, indicates room for improvement in leveraging. The consistent increase in stockholders' equity over recent periods is a positive sign of financial stability.

Cash Flow

Neutral

Cash flow management appears to be a challenge, with negative operating and free cash flows in the TTM period. While there has been some fluctuation in free cash flow growth, the negative trend in operating cash flow compared to net income highlights potential issues in cash generation from core operations.

TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Breakdown
Income Statement		Total Revenue
6.80B	4.19B	3.38B	1.81B	1.08B	6.73B
	Gross Profit
2.85B	3.32B	1.65B	680.50M	324.75M	2.55B
	EBIT
116.96M	-158.81M	386.00M	-179.29M	-488.90M	-463.40M
	EBITDA
514.02M	107.55M	538.67M	38.58M	-492.89M	-361.60M
	Net Income Common Stockholders
85.28M	-45.10M	76.34M	-307.86M	-1.19B	-698.50M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.00B	4.02B	1.00B	1.24B	1.95B	2.03B
	Total Assets
12.37B	12.17B	6.81B	5.48B	5.63B	8.78B
	Total Debt
264.46M	853.93M	1.78B	628.18M	614.91M	1.46B
	Net Debt
-357.11M	-888.02M	1.32B	-86.23M	-841.42M	167.20M
	Total Liabilities
4.60B	4.70B	5.12B	4.47B	4.39B	232.10M
	Stockholders Equity
5.33B	7.47B	1.70B	1.01B	1.23B	2.12B
Cash Flow		Free Cash Flow
-638.78M	-1.69B	-1.68B	-934.24M	963.25M	-443.60M
	Operating Cash Flow
-638.78M	-1.43B	-1.53B	-833.86M	1.04B	-427.00M
	Investing Cash Flow
776.30M	-2.34B	-166.74M	-84.45M	-211.09M	125.10M
	Financing Cash Flow
-763.88M	4.66B	1.38B	200.81M	64.58M	315.00M

Yatra Online Technical Analysis

Technical Analysis Sentiment

Negative

Last Price0.63

Price Trends

50DMA

0.89

Negative

100DMA

1.09

Negative

200DMA

1.27

Negative

Market Momentum

MACD

-0.07

Negative

RSI

35.91

Neutral

STOCH

48.72

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YTRA, the sentiment is Negative. The current price of 0.63 is below the 20-day moving average (MA) of 0.75, below the 50-day MA of 0.89, and below the 200-day MA of 1.27, indicating a bearish trend. The MACD of -0.07 indicates Negative momentum. The RSI at 35.91 is Neutral, neither overbought nor oversold. The STOCH value of 48.72 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for YTRA.

Yatra Online Risk Analysis

Yatra Online disclosed 102 risk factors in its most recent earnings report. Yatra Online reported the most risks in the “Finance & Corporate” category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

Yatra Online Peers Comparison

Overall Rating

UnderperformOutperform

Sector (60)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MMYT	75 Outperform	$10.75B	45.97	23.09%	―	28.51%	367.34%
EXPE	74 Outperform	$19.23B	16.68	79.84%	0.26%	6.64%	69.85%
BKNG	72 Outperform	$151.36B	26.71	-146.32%	0.78%	11.11%	47.03%
TRIP	61 Neutral	$1.64B	718.79	0.55%	―	2.63%	-58.77%
Sector *	60 Neutral	$7.23B	11.55	3.67%	4.04%	2.96%	-13.54%
YTRA	59 Neutral	$45.59M	―	-0.57%	―	54.50%	89.80%
SABR	43 Neutral	$822.33M	―	20.22%	―	4.19%	53.84%

* Consumer Cyclical Sector Average

Performance Comparison

YTRA

Yatra Online

0.63

-0.80

-55.94%

EXPE

Expedia

152.57

24.54

19.17%

MMYT

Makemytrip

101.89

40.67

66.43%

BKNG

Booking Holdings

4,540.84

1,139.11

33.49%

TRIP

TripAdvisor

11.77

-13.48

-53.39%

SABR

Sabre

2.03

-0.54

-21.01%

Yatra Online Earnings Call Summary

Earnings Call Date: Feb 11, 2025 | % Change Since: -44.74% | Next Earnings Date: May 29, 2025

Earnings Call Sentiment Positive

The earnings call highlighted significant revenue growth and expansion in corporate travel and MICE segments, alongside strong brand recognition and a robust liquidity position. However, challenges such as declining air travel volumes and increased personnel expenses were noted.

Highlights

Record Revenue Growth

Revenue from operations reached INR 2.35 billion, a significant year-over-year increase of 113%.

Corporate Client Expansion

Onboarded a record 50 new corporate clients with an annual billing potential of INR 2.8 billion, reinforcing leadership in the corporate travel space.

Synergies from Globe Acquisition

The integration of Globe, acquired in September 2024, is ahead of schedule, generating positive synergies and contributing to profitability.

Hotels and Packages Growth

Adjusted margins in the Hotels and Packages segment grew 65.8% year-over-year, with hotel gross bookings up 83%.

Adjusted EBITDA Increase

Adjusted EBITDA surged 173% year-over-year to INR 121.5 million, driven by cost optimizations and strategic focus on higher-margin segments.

Brand Recognition

Yatra recognized as one of India's biggest brand movers by YouGov, highlighting gains in brand awareness and consumer engagement.

Strong Liquidity Position

Cash and term deposits totaled INR 1.89 billion, maintaining a strong liquidity position.

Lowlights

Decline in Air Travel Volumes

Gross bookings declined 3.4% year-over-year due to reduced air travel volumes in the B2C segment.

Decreased Air Ticketing Margins

Adjusted margin for air ticketing declined 23% year-over-year, attributed to lower gross bookings and a reduction in headline take rate.

Increased Personnel Expenses

Personnel expenses, including ESOP cost, rose 34% year-over-year due to the impact of Globe acquisition and annual appraisal cycle.

Company Guidance

During the Yatra Third Quarter 2025 Earnings Conference Call, the company reported a strong performance for the quarter ended December 31, 2024. Revenue from operations reached INR 2.35 billion, marking a 113% year-over-year increase. The Revenue less Service Costs, or gross margin, grew by 25% to INR 1.04 billion, driven primarily by the Hotels and Packages segment and the Corporate Travel sector, including a record onboarding of 50 new corporate clients with an annual billing potential of INR 2.8 billion. The adjusted EBITDA surged 75% year-over-year, while hotels and packages adjusted margin increased by 65.8%. Despite a 3.4% year-over-year decline in gross bookings to INR 1.8 billion, profitability was bolstered by a 173% increase in adjusted EBITDA to INR 121.5 million. The integration of Globe, acquired in September 2024, is ahead of schedule and contributing positively. The company's liquidity remains strong with cash and term deposits totaling INR 1.89 billion. Yatra continues to focus on expanding high-margin business segments and leveraging strategic initiatives for sustained growth.

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.