Yelp Inc. (YELP) Stock

Yelp Inc. (YELP) is a Consumer Discretionary stock trading at $23.61 (as of 2026-08-20), with a market capitalization of $1.30B and a trailing P/E of 10.3. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Yelp Inc. runs a local business platform that helps people discover businesses across categories such as restaurants, shopping, services, events, and real estate in the U.S. and internationally. It also offers advertising and reservation-related products for participating businesses, along with tools that support listings and business performance insights.

Understand Yelp Inc.: how it makes money

Yelp runs a platform that helps consumers find local businesses and categories, and it makes money by selling businesses paid advertising products, including cost-per-click search ads and multi-location ad products that target local audiences.

Yelp’s profit is structurally driven by local businesses paying for advertising on Yelp (and converting that spend into search and click demand), so monetization depends on the number of paying advertising locations and the amount of advertising activity they generate.

Revenue by segment (latest quarter)
Services Ads$0.2B
Other Ads$0.1B
Other Revenue$0.0B

Business quality (Mixed): The revenue model is clearly advertising-led, and the provided operating margin (7.6%) suggests costs are controlled, but the model’s durability depends on continued advertiser demand and effective lead or click monetization.

Valuation: At 11× earnings, YELP trades 37% below the Personal Services average (17×). Note: one-time items can distort reported P/E.

Bull case

  • Advertising-led monetization: The platform provides paid advertising products (including cost-per-click search ads and multi-location ads), so revenue can scale with advertisers choosing to buy Yelp promotions.
  • Broad category coverage: Yelp supports many local business categories (for example restaurants, shopping, beauty and fitness, and other categories), which can support a wide advertising demand base.

Bear case

  • Dependence on advertisers: Because Yelp’s monetization is tied to paid advertising products, weaker demand from local businesses for advertising can pressure results.
  • Lead monetization appears limited: The company reports a “Share of Services Leads Monetized” of 25%, which implies only part of services demand is monetized through its advertising products.
Valuation — source: SEC EDGAR (first-party)
Price$23.61
Market Cap$1.30B
P/E Ratio10.3
EV / EBITDA5.2
Price / Book2.01
Price / Sales0.88
FCF Yield22.9%
DCF Value (model)$33.54
DCF Upside vs Price42.1%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$1.46B
Net Margin9.9%
Revenue Growth (YoY)1.4%
EPS Growth (YoY)-17.4%
FCF Growth (YoY)35.7%
Financial Health — source: SEC EDGAR
Altman Z-Score4.11 (safe)
Valuation vs Sector & Industry
Stock P/E10.3
Sector P/E (Consumer Discretionary)20.5
Industry P/E (Personal Services)13.9
vs Sector-49.9%
vs Industry-25.9%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderVANGUARD GROUP INC ($250.29M)
Institutional Holders Tracked10
Company
SectorConsumer Discretionary
IndustryPersonal Services
CEOJeremy Stoppelman
Employees5,116
CountryUS
IPO Date2012-03-02

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YELP earnings history · YELP institutional & insider holders · YELP KPIs & operating metrics · YELP financials · YELP investor presentations & press releases · YELP SEC filings · YELP peers · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-08-20.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.