Yelp (YELP) Fundamental Analysis: Revenue, Earnings & Valuation

8.67 / 10

Outperform

Fundamental analysis rates Yelp as Outperform with an 8.7/10 score. Quick ratio 2.28 and interest coverage 35.1 indicate liquidity strength; asset‑liability ratio 25.8% and equity‑to‑liabilities 2.87 show solid balance. Net profit margin 71.3% is high, but inventory turnover days are elevated at 213, suggesting slower stock movement.

Analysis Checks(7/10)

Asset-liability ratio (%)

Value25.84

Score3/3

Weight29.17%

1M Return5.95%

Shareholders’ equity attributable to parent company / Total liabilities (%)

Value2.87

Score3/3

Weight26.26%

1M Return5.32%

Operating cycle

Value37.91

Score0/3

Weight-2.57%

1M Return-0.60%

Days sales outstanding

Value37.91

Score2/3

Weight12.36%

1M Return2.50%

Quick ratio

Value2.28

Score2/3

Weight3.45%

1M Return0.74%

Long-term debt to working capital ratio (%)

Value0.22

Score3/3

Weight26.32%

1M Return5.22%

Interest coverage ratio (EBIT / Interest expense) (%)

Value35.11

Score3/3

Weight12.75%

1M Return2.60%

Asset-MV

Value-0.55

Score0/3

Weight-24.03%

1M Return-8.58%

Inventory turnover days

Value213.26

Score1/3

Weight4.10%

1M Return0.88%

Net profit / Total profit (%)

Value71.36

Score2/3

Weight12.18%

1M Return2.32%

Is YELP undervalued or overvalued?

YELP scores 8.67/10 on fundamentals and holds a Discounted valuation at present. Backed by its 20.02% ROE, 9.94% net margin, 10.22 P/E ratio, 2.09 P/B ratio, and 16.75% earnings growth, these metrics solidify its Outperform investment rating.