YELP INC (YELP)
US9858171054 - Common Stock
Taking everything into account, YELP scores 7 out of 10 in our fundamental rating. YELP was compared to 73 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. A decent growth rate in combination with a cheap valuation! Better keep an eye on YELP. With these ratings, YELP could be worth investigating further for value and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year YELP was profitable.
In the past year YELP had a positive cash flow from operations.
Of the past 5 years YELP 4 years were profitable.
Each year in the past 5 years YELP had a positive operating cash flow.
1.2 Ratios
YELP has a Return On Assets of 12.04%. This is amongst the best in the industry. YELP outperforms 91.67% of its industry peers.
With an excellent Return On Equity value of 15.96%, YELP belongs to the best of the industry, outperforming 93.06% of the companies in the same industry.
YELP's Return On Invested Capital of 13.65% is amongst the best of the industry. YELP outperforms 90.28% of its industry peers.
YELP had an Average Return On Invested Capital over the past 3 years of 6.29%. This is below the industry average of 10.96%.
The last Return On Invested Capital (13.65%) for YELP is above the 3 year average (6.29%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.04% | ||
| ROE | 15.96% | ||
| ROIC | 13.65% |
ROA(3y)5.71%
ROA(5y)3.85%
ROE(3y)7.88%
ROE(5y)5.35%
ROIC(3y)6.29%
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 8.48%, YELP belongs to the best of the industry, outperforming 81.94% of the companies in the same industry.
YELP's Profit Margin has improved in the last couple of years.
YELP has a better Operating Margin (10.67%) than 77.78% of its industry peers.
In the last couple of years the Operating Margin of YELP has grown nicely.
YELP has a better Gross Margin (91.38%) than 91.67% 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 | 10.67% | ||
| PM (TTM) | 8.48% | ||
| GM | 91.38% |
OM growth 3YN/A
OM growth 5Y25.34%
PM growth 3YN/A
PM growth 5Y4.77%
GM growth 3Y-0.72%
GM growth 5Y-0.52%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so YELP is still creating some 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.
YELP has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
YELP has an Altman-Z score of 7.12. This indicates that YELP is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 7.12, YELP belongs to the best of the industry, outperforming 81.94% of the companies in the same industry.
YELP has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 7.12 |
ROIC/WACC1.55
WACC8.83%
2.3 Liquidity
A Current Ratio of 3.46 indicates that YELP has no problem at all paying its short term obligations.
YELP has a Current ratio of 3.46. This is in the better half of the industry: YELP outperforms 72.22% of its industry peers.
A Quick Ratio of 3.46 indicates that YELP has no problem at all paying its short term obligations.
With a decent Quick ratio value of 3.46, YELP is doing good in the industry, outperforming 72.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.46 | ||
| Quick Ratio | 3.46 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 32.54% over the past year.
Measured over the past years, YELP shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.47% on average per year.
The Revenue has been growing slightly by 6.81% in the past year.
YELP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.24% yearly.
EPS 1Y (TTM)32.54%
EPS 3YN/A
EPS 5Y16.47%
EPS Q2Q%-29.11%
Revenue 1Y (TTM)6.81%
Revenue growth 3Y15.27%
Revenue growth 5Y7.24%
Sales Q2Q%4.41%
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 22.63% on average per year.
Based on estimates for the next years, YELP will show a small growth in Revenue. The Revenue will grow by 3.95% on average per year.
EPS Next Y37.13%
EPS Next 2Y34.77%
EPS Next 3Y30.55%
EPS Next 5Y22.63%
Revenue Next Year4.77%
Revenue Next 2Y5.08%
Revenue Next 3Y5.22%
Revenue Next 5Y3.95%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
With a Price/Earnings ratio of 23.28, YELP is valued on the expensive side.
70.83% of the companies in the same industry are more expensive than YELP, based on the Price/Earnings ratio.
YELP's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 29.61.
A Price/Forward Earnings ratio of 15.86 indicates a correct valuation of YELP.
Based on the Price/Forward Earnings ratio, YELP is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of YELP to the average of the S&P500 Index (24.09), we can say YELP is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.28 | ||
| Fwd PE | 15.86 |
4.2 Price Multiples
81.94% of the companies in the same industry are more expensive than YELP, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of YELP indicates a rather cheap valuation: YELP is cheaper than 87.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.78 | ||
| EV/EBITDA | 10.6 |
4.3 Compensation for Growth
YELP's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of YELP may justify a higher PE ratio.
YELP's earnings are expected to grow with 30.55% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.63
PEG (5Y)1.41
EPS Next 2Y34.77%
EPS Next 3Y30.55%
5. Dividend
5.1 Amount
YELP does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
YELP INC
NYSE:YELP (12/4/2024, 1:57:06 PM)
38.875
+0.56 (+1.47%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.56B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.28 | ||
| Fwd PE | 15.86 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.63
PEG (5Y)1.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.04% | ||
| ROE | 15.96% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 10.67% | ||
| PM (TTM) | 8.48% | ||
| GM | 91.38% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.46 | ||
| Quick Ratio | 3.46 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)32.54%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y37.13%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)6.81%
Revenue growth 3Y15.27%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y