YELP - Time To Place An Order For Yelp Shares
Yelp’s shares have come under significant pressure since reporting an upside quarter on revenue and EBITDA. However, two comments from management drew investor concerns and led to an 18% share price correction the following day: (1) Yelp’s comment that traffic had plateaued in July; and (2) additional $30 million in costs as furloughed employees are returned and employee salaries are returned to 100%. Granted, management could have done a better job on the messaging, but we believe the selloff was an overreaction. Several firms increased their price targets on the shares, with one notable and