YELP INC (YELP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:YELP - US9858171054 - Common Stock
28.13 USD
-1.03 (-3.53%)
28.1064 USD
-0.02 (-0.08%)
Overall YELP gets a fundamental rating of 7 out of 10. We evaluated YELP against 70 industry peers in the Interactive Media & Services industry. YELP has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. YELP may be a bit undervalued, certainly considering the very reasonable score on growth This makes YELP very considerable for value and quality investing!
1. Profitability
1.1 Basic Checks
- YELP had positive earnings in the past year.
- YELP had a positive operating cash flow in the past year.
- YELP had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years YELP had a positive operating cash flow.
1.2 Ratios
- YELP's Return On Assets of 15.16% is amongst the best of the industry. YELP outperforms 85.71% of its industry peers.
- YELP has a Return On Equity of 20.46%. This is amongst the best in the industry. YELP outperforms 88.57% of its industry peers.
- With an excellent Return On Invested Capital value of 20.29%, YELP belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for YELP is below the industry average of 13.70%.
- The 3 year average ROIC (11.39%) for YELP is below the current ROIC(20.29%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.16% | ||
| ROE | 20.46% | ||
| ROIC | 20.29% |
ROA(3y)8.95%
ROA(5y)5.79%
ROE(3y)12.07%
ROE(5y)7.84%
ROIC(3y)11.39%
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 10.23%, YELP is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
- YELP's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 13.35%, YELP is in the better half of the industry, outperforming 78.57% of the companies in the same industry.
- In the last couple of years the Operating Margin of YELP has grown nicely.
- YELP has a better Gross Margin (90.47%) than 91.43% of its industry peers.
- In the last couple of years the Gross Margin of YELP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.35% | ||
| PM (TTM) | 10.23% | ||
| GM | 90.47% |
OM growth 3Y54.25%
OM growth 5Y26.2%
PM growth 3Y34.72%
PM growth 5Y18.46%
GM growth 3Y-0.43%
GM growth 5Y-0.56%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), YELP is creating value.
- The number of shares outstanding for YELP has been reduced compared to 1 year ago.
- YELP has less shares outstanding than it did 5 years ago.
- There is no outstanding debt for YELP. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- An Altman-Z score of 4.87 indicates that YELP is not in any danger for bankruptcy at the moment.
- The Altman-Z score of YELP (4.87) is better than 78.57% of its industry peers.
- There is no outstanding debt for YELP. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.87 |
ROIC/WACC2.29
WACC8.88%
2.3 Liquidity
- YELP has a Current Ratio of 2.99. This indicates that YELP is financially healthy and has no problem in meeting its short term obligations.
- The Current ratio of YELP (2.99) is better than 75.71% of its industry peers.
- A Quick Ratio of 2.99 indicates that YELP has no problem at all paying its short term obligations.
- The Quick ratio of YELP (2.99) is better than 75.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.99 | ||
| Quick Ratio | 2.99 |
3. Growth
3.1 Past
- YELP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 38.92%, which is quite impressive.
- YELP shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 24.97% yearly.
- The Revenue has been growing slightly by 5.35% in the past year.
- Measured over the past years, YELP shows a small growth in Revenue. The Revenue has been growing by 6.84% on average per year.
EPS 1Y (TTM)38.92%
EPS 3Y56.59%
EPS 5Y24.97%
EPS Q2Q%8.93%
Revenue 1Y (TTM)5.35%
Revenue growth 3Y11.02%
Revenue growth 5Y6.84%
Sales Q2Q%4.36%
3.2 Future
- Based on estimates for the next years, YELP will show a very strong growth in Earnings Per Share. The EPS will grow by 26.76% on average per year.
- YELP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.80% yearly.
EPS Next Y15.74%
EPS Next 2Y24.15%
EPS Next 3Y20.96%
EPS Next 5Y26.76%
Revenue Next Year4.55%
Revenue Next 2Y3.68%
Revenue Next 3Y3.52%
Revenue Next 5Y2.8%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 12.13, which indicates a correct valuation of YELP.
- Compared to the rest of the industry, the Price/Earnings ratio of YELP indicates a somewhat cheap valuation: YELP is cheaper than 75.71% of the companies listed in the same industry.
- YELP's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.47.
- Based on the Price/Forward Earnings ratio of 9.51, the valuation of YELP can be described as reasonable.
- YELP's Price/Forward Earnings ratio is rather cheap when compared to the industry. YELP is cheaper than 81.43% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of YELP to the average of the S&P500 Index (24.26), we can say YELP is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.13 | ||
| Fwd PE | 9.51 |
4.2 Price Multiples
- 87.14% of the companies in the same industry are more expensive than YELP, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, YELP is valued cheaply inside the industry as 95.71% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.56 | ||
| EV/EBITDA | 5.55 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- YELP has an outstanding profitability rating, which may justify a higher PE ratio.
- YELP's earnings are expected to grow with 20.96% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.77
PEG (5Y)0.49
EPS Next 2Y24.15%
EPS Next 3Y20.96%
5. Dividend
5.1 Amount
- No dividends for YELP!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
28.13
-1.03 (-3.53%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)11-06 2025-11-06/amc
Earnings (Next)02-11 2026-02-11/amc
Inst Owners104.58%
Inst Owner Change0.17%
Ins Owners4.98%
Ins Owner Change-6.72%
Market Cap1.73B
Revenue(TTM)1.47B
Net Income(TTM)150.02M
Analysts54.12
Price Target34.26 (21.79%)
Short Float %9.61%
Short Ratio6.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.77%
Min EPS beat(2)13.69%
Max EPS beat(2)15.84%
EPS beat(4)4
Avg EPS beat(4)13.04%
Min EPS beat(4)7.11%
Max EPS beat(4)15.84%
EPS beat(8)7
Avg EPS beat(8)53.6%
EPS beat(12)10
Avg EPS beat(12)52.09%
EPS beat(16)13
Avg EPS beat(16)109.94%
Revenue beat(2)1
Avg Revenue beat(2)-0.46%
Min Revenue beat(2)-1%
Max Revenue beat(2)0.09%
Revenue beat(4)2
Avg Revenue beat(4)-0.01%
Min Revenue beat(4)-1%
Max Revenue beat(4)1.39%
Revenue beat(8)2
Avg Revenue beat(8)-0.85%
Revenue beat(12)4
Avg Revenue beat(12)-0.59%
Revenue beat(16)6
Avg Revenue beat(16)-0.39%
PT rev (1m)-0.33%
PT rev (3m)-4.13%
EPS NQ rev (1m)-4.05%
EPS NQ rev (3m)-4.05%
EPS NY rev (1m)0.45%
EPS NY rev (3m)0.57%
Revenue NQ rev (1m)-0.47%
Revenue NQ rev (3m)-3.71%
Revenue NY rev (1m)-0.13%
Revenue NY rev (3m)-0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.13 | ||
| Fwd PE | 9.51 | ||
| P/S | 1.18 | ||
| P/FCF | 5.56 | ||
| P/OCF | 4.82 | ||
| P/B | 2.36 | ||
| P/tB | 3.17 | ||
| EV/EBITDA | 5.55 |
EPS(TTM)2.32
EY8.25%
EPS(NY)2.96
Fwd EY10.52%
FCF(TTM)5.06
FCFY18%
OCF(TTM)5.83
OCFY20.73%
SpS23.86
BVpS11.92
TBVpS8.88
PEG (NY)0.77
PEG (5Y)0.49
Graham Number24.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.16% | ||
| ROE | 20.46% | ||
| ROCE | 24.3% | ||
| ROIC | 20.29% | ||
| ROICexc | 34.62% | ||
| ROICexgc | 57.36% | ||
| OM | 13.35% | ||
| PM (TTM) | 10.23% | ||
| GM | 90.47% | ||
| FCFM | 21.23% |
ROA(3y)8.95%
ROA(5y)5.79%
ROE(3y)12.07%
ROE(5y)7.84%
ROIC(3y)11.39%
ROIC(5y)N/A
ROICexc(3y)21.01%
ROICexc(5y)N/A
ROICexgc(3y)30.75%
ROICexgc(5y)N/A
ROCE(3y)13.64%
ROCE(5y)N/A
ROICexgc growth 3Y65.74%
ROICexgc growth 5Y41.57%
ROICexc growth 3Y58.74%
ROICexc growth 5Y35.54%
OM growth 3Y54.25%
OM growth 5Y26.2%
PM growth 3Y34.72%
PM growth 5Y18.46%
GM growth 3Y-0.43%
GM growth 5Y-0.56%
F-Score7
Asset Turnover1.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 125.91% | ||
| Cap/Sales | 3.21% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 153.69% | ||
| Profit Quality | 207.55% | ||
| Current Ratio | 2.99 | ||
| Quick Ratio | 2.99 | ||
| Altman-Z | 4.87 |
F-Score7
WACC8.88%
ROIC/WACC2.29
Cap/Depr(3y)75.78%
Cap/Depr(5y)70.69%
Cap/Sales(3y)2.44%
Cap/Sales(5y)2.89%
Profit Quality(3y)303.46%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)38.92%
EPS 3Y56.59%
EPS 5Y24.97%
EPS Q2Q%8.93%
EPS Next Y15.74%
EPS Next 2Y24.15%
EPS Next 3Y20.96%
EPS Next 5Y26.76%
Revenue 1Y (TTM)5.35%
Revenue growth 3Y11.02%
Revenue growth 5Y6.84%
Sales Q2Q%4.36%
Revenue Next Year4.55%
Revenue Next 2Y3.68%
Revenue Next 3Y3.52%
Revenue Next 5Y2.8%
EBIT growth 1Y31.82%
EBIT growth 3Y71.26%
EBIT growth 5Y34.84%
EBIT Next Year160.25%
EBIT Next 3Y38.71%
EBIT Next 5Y28.15%
FCF growth 1Y30.39%
FCF growth 3Y10.45%
FCF growth 5Y8.23%
OCF growth 1Y32%
OCF growth 3Y10.35%
OCF growth 5Y6.89%
YELP INC / YELP FAQ
Can you provide the ChartMill fundamental rating for YELP INC?
ChartMill assigns a fundamental rating of 7 / 10 to YELP.
Can you provide the valuation status for YELP INC?
ChartMill assigns a valuation rating of 9 / 10 to YELP INC (YELP). This can be considered as Undervalued.
How profitable is YELP INC (YELP) stock?
YELP INC (YELP) has a profitability rating of 8 / 10.
What is the valuation of YELP INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for YELP INC (YELP) is 12.13 and the Price/Book (PB) ratio is 2.36.