Nov. 27, 2015, 1:16 PM
- Yelp (YELP -1.1%) has claimed a victory in court, winning a dismissal of a lawsuit challenging the company over the quality of reviews placed on the site.
- The suit claimed that Yelp overstated the authenticity and quality of its reviews, which let Yelp insiders sell at inflated prices, but Judge Jon Tigar said reasonable Yelp investors would understand that reviews aren't firsthand -- a "common-sense understanding of what it means for a website to host user-generated content."
- Tigar said he found no basis to conclude that insider sales of $81.5M worth of stock were out of line with prior sales.
- The plaintiff, Joseph Curry, also tried to show that Yelp tried to extort ad payments from businesses in order to suppress bad or fake reviews.
Nov. 20, 2015, 2:51 PM
- YELP has topped $30 for the first time since July without any major news crossing the wires. 4.7M shares have been traded, well above a 3-month daily average of 2.9M.
- The online local reviews leader. Shares rallied last week after IAC's bid for Angie's List fueled hopes Yelp would also get an offer, and added to their gains on an RBC upgrade. They're up 23% since the IAC offer was disclosed, but still down 44% YTD.
Nov. 13, 2015, 8:45 AM
- It's a risk-reward call, says RBC Capital's Mark Mahaney, upgrading YELP to Outperform with price target boosted to $42 from $34.
- The new price target is 62% above last night's close says Mahaney, but his valuation analysis suggests maybe a 20% downside and 100%+ upside potential using Yelp's historical forward multiples.
- Other factors: There's a realistic path to local ad revenue growth stabilization; strong and improving local solution; significant value to a strategic buyer; core play on mobile and native advertising growth.
- Shares +4.25% to $27 premarket
- Previously: Yelp up 2.5% after IAC offers to buy Angie's List (Nov. 11)
Nov. 11, 2015, 5:09 PM
- YELP has risen to $25.61 after hours after Barry Diller's InterActiveCorp offered to buy Angie's List (competes with IAC's HomeAdvisor platform) for roughly $512M in cash.
- Yelp, whose local services reviews act as a free alternative to Angie's reviews, reportedly hired Goldman earlier this year to help find a buyer, but was later reported to have abandoned its sale efforts. Shares trade 75% below a March 2014 high of $101.75.
Oct. 28, 2015, 4:08 PM
- Yelp (NYSE:YELP): Q3 EPS of $0.03 beats by $0.12.
- Revenue of $143.6M (+40.2% Y/Y) beats by $2.18M.
- Expects Q4 revenue of $149.5M-$154.5M vs. a $152.1M consensus.
- Shares +8.8% after hours.
Oct. 27, 2015, 5:35 PM
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Oct. 27, 2015, 11:28 AM
- A day after posting big gains, YELP is off sharply after online food ordering/delivery leader GrubHub (down 20.6%) missed Q3 estimates amid slowing transaction and food sale growth, and provided below-consensus Q4 revenue and adjusted EBITDA guidance.
- Yelp bought GrubHub rival Eat24 for $134M earlier this year, and undoubtedly counts many GrubHub-supporting restaurants as local ad clients. Yelp's Q3 report arrives tomorrow afternoon.
Oct. 26, 2015, 11:51 AM
- Online local services plays Yelp (YELP +8.2%) and Angie's List (ANGI +11%) are each up big on strong volume. Yelp has seen 3.2M shares traded vs. a 3-month daily average of 3.3M. Angie's has seen 1.02M traded vs. a 3-month daily average of 868K.
- No major news has arrived for either company. Some minor Yelp stories: Amazon has announced its Echo speaker/voice assistant now supports Yelp recommendations, and CNN has taken a look at the use of Yelp reviews by health officials to track food poisoning outbreaks.
- Angie's is now up 24% since posting mixed Q3 results and cutting its full-year guidance last Wednesday. Shares initially sold off following the numbers, but quickly staged a turnaround.
Oct. 12, 2015, 11:05 AM
- After opening down modestly, Yelp (YELP -9%) has steadily sold off in morning trading. 1.1M shares have been traded thus far; the 3-month daily average is 3.5M.
- No major new has hit the wires yet. The local reviews leader is now down 58% YTD, and trades for just 2x 2016E sales after backing out net cash.
- 8.7M shares (14% of the float) were shorted as of Sep. 15, down from 11.3M as of July 31.
Sep. 28, 2015, 9:55 AM| Sep. 28, 2015, 9:55 AM | 1 Comment
Sep. 16, 2015, 11:33 AM
- Vague M&A rumors have given Yelp (YELP +2.3%) a boost on a quiet morning for the Nasdaq. Also helping: The purchase of 4K call option contracts sporting a $27 strike price and expiring next week.
- Bloomberg reported in May Yelp had hired Goldman to find a buyer, and in July that the company had decided against a sale for now.
Aug. 24, 2015, 12:45 PM
- Off nearly 9% in early trading, the Nasdaq is now down just 0.4%. Along the way, many tech names have not only erased their early losses, but are now posting major gains.
- Standouts include Micron (MU +5.3%), Skyworks (SWKS +6.7%), GoPro (GPRO +4.1%), Cree (CREE +6.7%), SunPower (SPWR +6.1%), Mobileye (MBLY +5.1%), Amkor (AMKR +9.1%), ExOne (XONE +4.7%), NXP (NXPI +3.7%), Yelp (YELP +4.3%), Cirrus Logic (CRUS +4.4%), and GoDaddy (GDDY +4.1%).
- See also: SolarCity, SunEdison
- Update (4:08PM ET): The Nasdaq went south again in afternoon trading, closeng down 3.8%. Skyworks, Cree, SunPower, Amkor, Mobileye, ExOne, and GoDaddy managed to stay in the green, while Micron, NXP, Yelp, GoPro, and Cirrus closed with modest losses.
Aug. 14, 2015, 12:42 PM
- Apex Capital's Gil Simon, making a contrarian bull case for YELP on CNBC: "We've seen this before. A lot of Internet companies have struggled as they've grown ... Facebook is a great example ... Netflix obviously had similar issues. And really, these companies have had crises of confidence on Wall Street, which have lasted for periods of time." (video)
- Apex notes only 4% of businesses on Yelp are currently paying the company, and argues (like Facebook/Netflix a few years ago) its growth story remains in its early stages. The defense of the local reviews leader comes two weeks after its shares plunged due to a Q2 EPS miss and soft guidance.
- Previously: Citron calls Yelp's selloff "a bit overdone"
Aug. 6, 2015, 7:51 PM
- Uber (Pending:UBER) is working on an expansion of its UberEATS meal delivery service, hiring in at least nine U.S. cities and pursuing an expansion to 15 cities, according to Cowen & Co.
- That could push competitors in the burgeoning space, including GrubHub (NYSE:GRUB) and Yelp's (NYSE:YELP) Eat24. Food delivery startups have received $500M in funding YTD, exluding Uber, writes Cowen's Kevin Kopelman.
- Uber is pioneering the "Ultra-Fast" delivery category, Kopelman says, with limited food selection but delivered in 10 minutes or less with a flat delivery fee.
- Google uses six services to provide food delivery via its search results: GrubHub, Eat24, Seamless, Delivery.com, MyPizza.com and BeyondMenu. Amazon.com is also delivering food in Manhattan, via its Prime Now service.
Aug. 3, 2015, 12:00 PM
- Citron Research on Twitter: "$YELP seems a bit overdone. Citron long $YELP vs a core short position in $Z Stocks should meet somewhere in the middle in the next 12 mos."
- The remarks come 5 days after YELP lost over a quarter of its value post-earnings, with 7 firms downgrading the local reviews leader on account of its soft guidance and decision to pull out of the brand ad market.
- Previously: Citron predicts Zillow will fall below $40
- Update (12:50PM ET): Yelp has given back its gains. Shares are now down 0.8%.
Jul. 29, 2015, 12:45 PM