Yelp (NYSE:YELP) Shares Up 9.2% Following Better-Than-Expected Earnings

Shares of Yelp Inc. (NYSE:YELP) shot up 9.2% on Friday following a better than expected earnings announcement. The company traded as high as $39.53 and last traded at $39.04. 97,744 shares were traded during trading, a decline of 87% from the average session volume of 737,889 shares. The stock had previously closed at $35.74.

The local business review company reported $0.36 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.31 by $0.05. Yelp had a return on equity of 18.07% and a net margin of 9.41%. The company had revenue of $358.53 million during the quarter, compared to the consensus estimate of $353.48 million. During the same quarter in the prior year, the company posted $0.20 EPS. The firm’s revenue was up 7.7% on a year-over-year basis.

Wall Street Analyst Weigh In

Several analysts recently issued reports on the stock. JPMorgan Chase & Co. decreased their price objective on shares of Yelp from $36.00 to $35.00 and set a “neutral” rating for the company in a report on Tuesday, April 22nd. Morgan Stanley lowered their price target on Yelp from $35.00 to $30.00 and set an “underweight” rating on the stock in a research report on Thursday, April 17th. Two equities research analysts have rated the stock with a sell rating, five have issued a hold rating, one has given a buy rating and one has given a strong buy rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $36.33.

Insider Buying and Selling at Yelp

In related news, insider Carmen Amara sold 1,500 shares of the company’s stock in a transaction on Tuesday, March 4th. The stock was sold at an average price of $33.16, for a total value of $49,740.00. Following the completion of the transaction, the insider now directly owns 107,207 shares in the company, valued at approximately $3,554,984.12. This represents a 1.38 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Craig Saldanha sold 1,000 shares of Yelp stock in a transaction on Monday, February 24th. The stock was sold at an average price of $35.75, for a total transaction of $35,750.00. Following the sale, the insider now owns 211,558 shares in the company, valued at $7,563,198.50. This represents a 0.47 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 57,727 shares of company stock valued at $2,025,717 in the last ninety days. Company insiders own 7.40% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in YELP. Silver Coast Investments LLC grew its stake in shares of Yelp by 29.2% in the 1st quarter. Silver Coast Investments LLC now owns 7,003 shares of the local business review company’s stock valued at $259,000 after purchasing an additional 1,584 shares during the period. Jupiter Asset Management Ltd. raised its stake in Yelp by 1,620.5% during the first quarter. Jupiter Asset Management Ltd. now owns 204,587 shares of the local business review company’s stock worth $7,576,000 after acquiring an additional 192,696 shares in the last quarter. LSV Asset Management lifted its holdings in shares of Yelp by 122.8% during the first quarter. LSV Asset Management now owns 1,902,318 shares of the local business review company’s stock valued at $70,443,000 after acquiring an additional 1,048,451 shares during the period. Jefferies Financial Group Inc. boosted its stake in shares of Yelp by 169.1% in the 1st quarter. Jefferies Financial Group Inc. now owns 16,662 shares of the local business review company’s stock valued at $617,000 after purchasing an additional 10,471 shares in the last quarter. Finally, Alberta Investment Management Corp grew its holdings in shares of Yelp by 64.8% in the 1st quarter. Alberta Investment Management Corp now owns 43,500 shares of the local business review company’s stock worth $1,611,000 after purchasing an additional 17,100 shares during the last quarter. Institutional investors and hedge funds own 90.11% of the company’s stock.

Yelp Stock Performance

The firm has a market cap of $2.52 billion, a price-to-earnings ratio of 20.21, a PEG ratio of 0.76 and a beta of 0.99. The business’s 50-day moving average is $35.25 and its 200-day moving average is $36.95.

About Yelp

Yelp Inc operates a platform that connects consumers with local businesses in the United States and internationally. The company's platform covers various categories, including restaurants, shopping, beauty and fitness, health, and other categories, as well as home, local, auto, professional, pets, events, real estate, and financial services.