Local business platform Yelp (NYSE:YELP) will be reporting results this Thursday afternoon. Here’s what to look for.
Yelp beat analysts’ revenue expectations by 2.1% last quarter, reporting revenues of $376 million, up 4.4% year on year. It was a strong quarter for the company, with an impressive beat of analysts’ EBITDA estimates and full-year EBITDA guidance slightly topping analysts’ expectations.
Is Yelp a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Yelp’s revenue to be flat year on year at $358.9 million, slowing from the 5.7% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.90 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Yelp has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Yelp’s peers in the social networking segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Reddit delivered year-on-year revenue growth of 69.7%, beating analysts’ expectations by 8.7%, and Meta reported revenues up 23.8%, topping estimates by 2.5%. Reddit traded down 7.4% following the results while Meta was up 10.4%.
Read our full analysis of Reddit’s results here and Meta’s results here.
The euphoria surrounding Trump’s November win lit a fire under major indices, but potential tariffs have caused the market to do a 180 in 2025. Investors in social networking stocks have been spared in this environment as share prices are down 17.3% on average over the last month. Yelp is down 20.3% during the same time and is heading into earnings with an average analyst price target of $33.38 (compared to the current share price of $24.35).
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