Yelp (NYSE:YELP) Shares Up 11.2% – Time to Buy?

Yelp Inc. (NYSE:YELP) shares were up 11.2% on Wednesday. The stock traded as high as $21.97 and last traded at $22.0510. Approximately 194,581 shares changed hands during mid-day trading, a decline of 85% from the average daily volume of 1,277,895 shares. The stock had previously closed at $19.83.

Key Yelp News

Here are the key news stories impacting Yelp this week:

• Positive Sentiment: Q3 2026 adjusted earnings were $0.63 per share, above the $0.43 consensus estimate, while revenue of $370.9 million also topped expectations of $368.7 million. Zacks Q3 earnings report
• Positive Sentiment: Yelp said it introduced more than 30 features and updates during the quarter, including a more personalized Yelp Assistant, as it advances its AI transformation. Yelp Q3 results
• Neutral Sentiment: FY 2026 revenue guidance was $1.5 billion, matching the consensus estimate; the outlook therefore offered no clear upward surprise. Yelp Q3 results
• Negative Sentiment: Revenue declined 1.4% year over year, and commentary flagged erosion in ad clicks as a potential warning for Yelp’s advertising business. That may be weighing more heavily on sentiment than the quarterly beat. Analysis of Yelp ad clicks

Wall Street Analysts Forecast Growth

A number of research analysts recently weighed in on the company. UBS Group reaffirmed a “neutral” rating on shares of Yelp in a research note on Friday. JPMorgan Chase & Co. started coverage on Yelp in a research note on Friday, September 11th. They issued an “underweight” rating and a $19.00 price objective for the company. Weiss Ratings reissued a “sell (d+)” rating on shares of Yelp in a research note on Wednesday. Morgan Stanley decreased their price objective on Yelp from $24.00 to $17.00 and set an “underweight” rating for the company in a report on Tuesday, October 13th. Finally, Zacks Research raised Yelp from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, October 27th. One research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, three have given a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat.com, Yelp currently has an average rating of “Hold” and a consensus target price of $25.29.

Yelp Price Performance

The stock has a market capitalization of $1.05 billion, a P/E ratio of 9.22, a price-to-earnings-growth ratio of 1.98 and a beta of 0.43. The business’s 50 day simple moving average is $19.90 and its two-hundred day simple moving average is $23.56. The company has a quick ratio of 1.75, a current ratio of 1.75 and a debt-to-equity ratio of 0.16.

Yelp (NYSE:YELP) last posted its earnings results on Thursday, November 5th. The local business review company reported $0.63 EPS for the quarter, topping the consensus estimate of $0.43 by $0.20. Yelp had a net margin of 8.59% and a return on equity of 19.52%. The company had revenue of $370.92 million during the quarter, compared to the consensus estimate of $368.66 million. During the same period in the previous year, the firm posted $0.61 earnings per share. The firm’s revenue for the quarter was down 1.4% on a year-over-year basis. As a group, sell-side analysts forecast that Yelp Inc. will post 1.86 earnings per share for the current fiscal year.

Insider Buying and Selling at Yelp

In other Yelp news, CTO Alexander Coleman Levy sold 3,829 shares of Yelp stock in a transaction on Monday, August 24th. The shares were sold at an average price of $23.40, for a total transaction of $89,598.60. Following the transaction, the chief technology officer directly owned 54,124 shares of the company’s stock, valued at $1,266,501.60. The trade was a 6.61% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO David Schwarzbach sold 8,809 shares of the company’s stock in a transaction on Friday, August 21st. The stock was sold at an average price of $23.19, for a total transaction of $204,280.71. Following the completion of the sale, the chief financial officer owned 180,466 shares of the company’s stock, valued at approximately $4,185,006.54. The trade was a 4.65% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last 90 days, insiders have sold 28,638 shares of company stock worth $614,249. Company insiders own 8.30% of the company’s stock.

Institutional Investors Weigh In On Yelp

A number of institutional investors have recently added to or reduced their stakes in the company. Money Concepts Capital Corp lifted its position in shares of Yelp by 16.9% during the third quarter. Money Concepts Capital Corp now owns 96,925 shares of the local business review company’s stock worth $1,793,000 after acquiring an additional 13,998 shares in the last quarter. Eurizon Capital SGR S.p.A. bought a new position in shares of Yelp in the third quarter worth $26,000. Maryland State Retirement & Pension System bought a new position in shares of Yelp in the third quarter worth $210,000. Lido Advisors LLC grew its position in shares of Yelp by 27.0% in the third quarter. Lido Advisors LLC now owns 10,891 shares of the local business review company’s stock valued at $201,000 after purchasing an additional 2,315 shares in the last quarter. Finally, Ethic Inc. purchased a new position in shares of Yelp in the third quarter valued at $185,000. 90.11% of the stock is owned by institutional investors.

About Yelp

Yelp Inc operates an online platform that helps consumers discover and evaluate local businesses. Through its website and mobile applications, Yelp provides business listings, user-generated reviews, ratings, photos and other information across categories such as restaurants, home services, beauty and fitness, automotive, health and professional services.

The company generates revenue primarily by providing businesses with advertising and marketing solutions designed to increase their visibility and connect them with potential customers.