YELP INC (YELP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:YELP - US9858171054 - Common Stock
30.85 USD
+0.54 (+1.78%)
30.85 USD
0 (0%)
Overall YELP gets a fundamental rating of 7 out of 10. We evaluated YELP against 70 industry peers in the Interactive Media & Services industry. Both the health and profitability get an excellent rating, making YELP a very profitable company, without any liquidiy or solvency issues. A decent growth rate in combination with a cheap valuation! Better keep an eye on YELP. This makes YELP very considerable for value and quality investing!
1. Profitability
1.1 Basic Checks
In the past year YELP was profitable.
YELP had a positive operating cash flow in the past year.
YELP had positive earnings in 4 of the past 5 years.
YELP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
YELP has a better Return On Assets (15.16%) than 85.71% of its industry peers.
YELP's Return On Equity of 20.46% is amongst the best of the industry. YELP outperforms 88.57% of its industry peers.
The Return On Invested Capital of YELP (20.29%) is better than 85.71% of its industry peers.
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
YELP has a Profit Margin of 10.23%. This is in the better half of the industry: YELP outperforms 80.00% of its industry peers.
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.
YELP's Operating Margin has improved in the last couple of years.
YELP has a better Gross Margin (90.47%) than 91.43% of its industry peers.
YELP's Gross Margin has been stable in the last couple of years.
| 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.
YELP has less shares outstanding than it did 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 5.18 indicates that YELP is not in any danger for bankruptcy at the moment.
YELP's Altman-Z score of 5.18 is amongst the best of the industry. YELP outperforms 82.86% of its industry peers.
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 | 5.18 |
ROIC/WACC2.3
WACC8.83%
2.3 Liquidity
A Current Ratio of 2.99 indicates that YELP has no problem at all paying its short term obligations.
YELP has a Current ratio of 2.99. This is in the better half of the industry: YELP outperforms 75.71% of its industry peers.
YELP has a Quick Ratio of 2.99. This indicates that YELP is financially healthy and has no problem in meeting its short term obligations.
YELP has a better Quick ratio (2.99) than 75.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.99 | ||
| Quick Ratio | 2.99 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 38.92% over the past year.
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.
Based on estimates for the next years, YELP will show a small growth in Revenue. The Revenue will grow by 2.80% on average per year.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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
YELP is valuated correctly with a Price/Earnings ratio of 13.30.
Based on the Price/Earnings ratio, YELP is valued a bit cheaper than 75.71% of the companies in the same industry.
When comparing the Price/Earnings ratio of YELP to the average of the S&P500 Index (27.19), we can say YELP is valued rather cheaply.
A Price/Forward Earnings ratio of 10.42 indicates a reasonable valuation of YELP.
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.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.88, YELP is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.3 | ||
| Fwd PE | 10.42 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of YELP indicates a rather cheap valuation: YELP is cheaper than 85.71% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, YELP is valued cheaper than 95.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.09 | ||
| EV/EBITDA | 6.12 |
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.
A more expensive valuation may be justified as YELP's earnings are expected to grow with 20.96% in the coming years.
PEG (NY)0.85
PEG (5Y)0.53
EPS Next 2Y24.15%
EPS Next 3Y20.96%
5. Dividend
5.1 Amount
No dividends for YELP!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
30.85
+0.54 (+1.78%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners104.58%
Inst Owner Change0%
Ins Owners4.98%
Ins Owner Change-6.71%
Market Cap1.90B
Revenue(TTM)1.47B
Net Income(TTM)150.02M
Analysts54.12
Price Target34.48 (11.77%)
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)-3.5%
EPS NQ rev (1m)3.27%
EPS NQ rev (3m)-4.05%
EPS NY rev (1m)0.45%
EPS NY rev (3m)0.57%
Revenue NQ rev (1m)-0.91%
Revenue NQ rev (3m)-3.71%
Revenue NY rev (1m)-0.13%
Revenue NY rev (3m)-0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.3 | ||
| Fwd PE | 10.42 | ||
| P/S | 1.29 | ||
| P/FCF | 6.09 | ||
| P/OCF | 5.29 | ||
| P/B | 2.59 | ||
| P/tB | 3.47 | ||
| EV/EBITDA | 6.12 |
EPS(TTM)2.32
EY7.52%
EPS(NY)2.96
Fwd EY9.59%
FCF(TTM)5.06
FCFY16.41%
OCF(TTM)5.83
OCFY18.9%
SpS23.86
BVpS11.92
TBVpS8.88
PEG (NY)0.85
PEG (5Y)0.53
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 | 5.18 |
F-Score7
WACC8.83%
ROIC/WACC2.3
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 8 / 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 13.3 and the Price/Book (PB) ratio is 2.59.