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SAN FRANCISCO--(BUSINESS WIRE)--Yelp Inc. (NYSE: YELP), the company that connects people with great local businesses, announced that it will release its financial results for the quarter ended June 30, 2026 after the market closes on Thursday, August 6, 2026. Yelp will issue a press release when its Shareholder Letter has been posted on its investor relations website at www.yelp-ir.com. Following the release of the Shareholder Letter, Yelp will host a webcasted conference call to discuss its se.

SAN FRANCISCO--(BUSINESS WIRE)--Vagaro, a leading software platform for beauty, wellness, and fitness businesses, today announced a new integration with Yelp, the company that connects people with great local businesses, that enables consumers to book services directly from Yelp business pages and Yelp Assistant, creating a more seamless path from discovery to appointment.

“By integrating with Yelp, we’re removing friction in the customer journey and helping businesses capture demand the moment a customer is ready to book.” — Fred Helou, Founder & CEO, Vagaro

Share With this integration, iOS users can book appointments through Vagaro directly from Yelp Assistant, the platform’s AI-powered conversational assistant, or from participating Yelp business pages by tapping “Book now on Vagaro.” They are then directed to the business’s Vagaro scheduling page, where they can select services, providers, dates, and times. Android and desktop functionality are expected to roll out later in 2026.

The integration comes as consumer expectations continue to shift toward convenience and immediacy, particularly in industries where online reviews play a critical role in decision-making. By enabling booking at the moment of highest intent, Vagaro helps businesses convert Yelp traffic into confirmed appointments more efficiently.

“Consumers expect a seamless experience from discovery to booking,” said Fred Helou, founder and CEO of Vagaro. “By integrating with Yelp, we’re removing friction in the customer journey and helping businesses capture demand the moment a customer is ready to book.”

The integration also enhances the client experience by guiding users from Yelp reviews to a branded Vagaro booking page, reinforcing trust while allowing businesses to showcase their services, availability, and expertise.

With millions of users turning to Yelp each day to evaluate local businesses, the new integration provides Vagaro businesses with access to a highly engaged, high-intent audience actively searching for services.

“We’re excited to integrate Vagaro into Yelp to help businesses convert high-intent customers at the moment they’re ready to book,” said Craig Saldanha, chief product officer at Yelp. “This partnership makes it easy to book appointments and classes directly from Yelp—including through the new Yelp Assistant—enabling business owners to attract more clients and keep their calendars full, all from the scheduling platform they already know and trust.”

The Yelp integration is now available for Vagaro businesses on iOS, with expanded platform support expected later this year.

About Vagaro

Vagaro is the leading salon, spa, and fitness software, serving hundreds of thousands of professionals worldwide. Vagaro simplifies business management, credit card and payment processing, and makes it easy for businesses to grow their clientele on a modern consumer marketplace. Vagaro's a-la-carte options and affordable pricing provide a unique level of scalability, making it suitable for businesses of all sizes, from the solopreneur to enterprise franchises. Simple, innovative, and reliable, Vagaro empowers beauty and wellness professionals to excel in a digital age. Visit Vagaro to learn more.

On the back of an update to its product lineup, Yelp (YELP +0.30%) stock did well on Tuesday. Investors pushed the shares up by more than 3% during an otherwise forgettable trading session that saw the S&P 500 index dip by 0.6%.

An intelligent move Well before market open, Yelp announced its spring product release, a refreshing of the business listing specialist's suite of offerings.

Image source: Getty Images.

This release centers on a new offering, Yelp Assistant, a chatbot underpinned by artificial intelligence (AI) that assists users in finding the goods and services they're looking for. It also assists in taking action, as it can book restaurant reservations, obtain quotes from service providers, reserve appointments, and the like.

According to Yelp, Assistant isn't just an expansion of its business. The company quoted chief product officer Craig Saldanha as saying that it "is our most significant AI product evolution yet as we reconceive Yelp around instant answers and seamless actions."

Today's Change

(

0.30

%) $

0.07

Current Price

$

23.09

Yelp of the future So, if the new offering is sufficiently attractive and appealing to Yelp's considerable user base, it could help boost the company's ambitions to move away from its present business model -- which remains heavily dependent on advertising. It's early days for this strategic shift, so for me, Yelp is a wait-and-see as to how effectively it can make that transition.

Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Posted by Defense World Staff on Apr 24th, 2026

Evergreen Capital Management LLC purchased a new position in shares of Yelp Inc. (NYSE:YELP – Free Report) in the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund purchased 32,795 shares of the local business review company’s stock, valued at approximately $997,000. Evergreen Capital Management LLC owned approximately 0.05% of Yelp as of its most recent SEC filing.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Bfsg LLC grew its holdings in Yelp by 110.3% during the 3rd quarter. Bfsg LLC now owns 839 shares of the local business review company’s stock worth $26,000 after acquiring an additional 440 shares in the last quarter. CIBC Private Wealth Group LLC grew its holdings in Yelp by 100.0% during the 3rd quarter. CIBC Private Wealth Group LLC now owns 892 shares of the local business review company’s stock worth $28,000 after acquiring an additional 446 shares in the last quarter. Strs Ohio acquired a new position in Yelp during the 1st quarter worth approximately $56,000. Hudson Bay Capital Management LP acquired a new position in Yelp during the 3rd quarter worth approximately $55,000. Finally, Signaturefd LLC grew its holdings in Yelp by 76.5% during the 4th quarter. Signaturefd LLC now owns 2,097 shares of the local business review company’s stock worth $64,000 after acquiring an additional 909 shares in the last quarter. Institutional investors and hedge funds own 90.11% of the company’s stock.

Analyst Ratings Changes YELP has been the subject of several analyst reports. Robert W. Baird set a $25.00 price target on shares of Yelp in a report on Friday, February 13th. JPMorgan Chase & Co. lowered their price target on shares of Yelp from $30.00 to $22.00 and set a “neutral” rating for the company in a report on Tuesday, February 17th. UBS Group set a $28.00 price target on shares of Yelp in a report on Tuesday, January 13th. Wall Street Zen cut shares of Yelp from a “buy” rating to a “hold” rating in a report on Saturday, February 14th. Finally, Weiss Ratings cut shares of Yelp from a “hold (c-)” rating to a “sell (d+)” rating in a report on Wednesday, February 11th. One equities research analyst has rated the stock with a Buy rating, three have assigned a Hold rating and four have issued a Sell rating to the company’s stock. According to data from MarketBeat, Yelp presently has an average rating of “Reduce” and an average target price of $28.50.

Get Our Latest Analysis on YELP

Yelp Trading Down 2.5% Shares of Yelp stock opened at $28.33 on Friday. The company has a fifty day simple moving average of $24.34 and a 200-day simple moving average of $27.87. Yelp Inc. has a 12-month low of $19.60 and a 12-month high of $41.22. The stock has a market cap of $1.69 billion, a price-to-earnings ratio of 12.59, a PEG ratio of 0.73 and a beta of 0.47.

Yelp (NYSE:YELP – Get Free Report) last issued its earnings results on Thursday, February 12th. The local business review company reported $0.61 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.47 by $0.14. Yelp had a net margin of 9.94% and a return on equity of 19.96%. The business had revenue of $359.99 million during the quarter, compared to analysts’ expectations of $358.70 million. During the same quarter in the prior year, the business posted $0.62 EPS. The company’s revenue for the quarter was down .5% on a year-over-year basis. On average, analysts forecast that Yelp Inc. will post 2.02 earnings per share for the current fiscal year.

Insider Activity at Yelp In related news, CEO Jeremy Stoppelman sold 30,000 shares of the company’s stock in a transaction on Friday, January 30th. The shares were sold at an average price of $27.26, for a total value of $817,800.00. Following the completion of the sale, the chief executive officer owned 756,458 shares in the company, valued at $20,621,045.08. This represents a 3.81% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Dan Jedda sold 1,464 shares of the stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $21.02, for a total transaction of $30,773.28. Following the sale, the director owned 17,100 shares of the company’s stock, valued at approximately $359,442. This represents a 7.89% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 156,264 shares of company stock worth $4,115,893. Corporate insiders own 8.00% of the company’s stock.

Yelp Profile (Free Report)

Yelp is a digital platform that connects consumers with local businesses through user-generated reviews, ratings and multimedia content. The company’s flagship offerings include the Yelp website and mobile applications for iOS and Android, where users can search for and discover restaurants, shops, service providers and other points of interest. In addition to crowd-sourced reviews and photographs, Yelp provides business profile pages featuring hours, contact information, menus and direct messaging capabilities.

Yelp generates revenue primarily through advertising services sold to small and medium-sized enterprises.

Featured Articles Five stocks we like better than Yelp Want to see what other hedge funds are holding YELP? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Yelp Inc. (NYSE:YELP – Free Report).

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On April 28, 2026, Yelp Inc YELP shares fell 4.7% to a current price of $27.74. This decline comes amidst a challenging year for the stock, which has seen a 52-week range between $19.60 and $41.22. The shares are currently trading significantly below their recent highs, reflecting broader market pressures and company-specific challenges.

GF Value™ verdict: Shares are trading at a 35.6% discount to the GF Value™ of $43.10.GF Score™ of 79/100 indicates the stock is above average compared to peers.Insiders sold $7.6 million in stock over the last three months, which may signal caution. Is YELP Overvalued or Undervalued? Yelp Inc's current price of $27.74 suggests a significant undervaluation when compared to the GF Value™ of $43.10, representing a 35.6% margin of safety. This significant gap indicates that the market may not fully recognize Yelp's potential for growth and profitability. The GF Valuation label categorizes Yelp as "Significantly Undervalued," which could present an attractive opportunity for long-term investors looking for value stocks.

However, while the undervaluation may present an opportunity, investors should remain cautious. The sell-off by insiders raises questions about the company's future performance and could indicate that those closest to the company are not optimistic about its near-term prospects. Furthermore, a significant drop in momentum, as indicated by a low momentum rank of 1/10, may suggest that the stock's recent performance is not expected to improve in the short term. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.

How Does YELP's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 12.3x 34.8x Forward P/E 13.4x - Yelp's current P/E (TTM) of 12.3x is considerably below its 5-year median P/E of 34.8x, suggesting that the stock is trading at a much lower valuation compared to its historical levels. The forward P/E of 13.4x also indicates that the stock is expected to remain relatively inexpensive in the near future. This analysis aligns with the GF Value™ verdict, reinforcing the notion that Yelp is undervalued relative to its historical performance.

What Does YELP's GF Score™ Tell Us? Metric Rating GF Score™ 79/100 Financial Strength 8/10 Profitability 8/10 Growth 9/10 Valuation 4/10 Momentum 1/10 The GF Score™ of 79/100 indicates that Yelp Inc has strong financial and profitability metrics, with both rated 8/10. The growth rank is even higher at 9/10, suggesting that Yelp has significant potential for future expansion. However, the valuation rank of 4/10 and a momentum rank of just 1/10 highlight areas of concern. Low momentum could indicate that the stock may struggle to gain traction in the near term, suggesting that while the fundamentals are strong, market perception may not yet align with the underlying value.

What Are Insiders Doing with YELP Stock? In the last three months, insiders have sold $7.6 million worth of Yelp shares, with no reported buying activity. This pattern of selling could suggest a lack of confidence among company executives about the stock's future performance. Insider selling, particularly at this scale, usually raises red flags for potential investors, as it may indicate that those with the most knowledge about the company foresee challenges ahead or believe the stock is currently overvalued.

What This Means for Investors Based on the GF Value™ analysis, Yelp Inc YELP is currently undervalued, trading significantly below its intrinsic value. However, potential investors should consider the implications of insider selling and the company's low momentum score, which may suggest caution before making any decisions.

For the complete analysis, visit the Yelp Inc YELP stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is YELP's GF Score™?

Yelp's GF Score™ is 79/100, indicating that it ranks above average among its peers based on key financial metrics.

Is YELP overvalued or undervalued?

Yelp is currently undervalued with a GF Value™ of $43.10 compared to its current price of $27.74, suggesting significant upside potential.

What is YELP's P/E ratio?

Yelp's P/E (TTM) is 12.3x, which is significantly below its 5-year median P/E of 34.8x, indicating that the stock is trading at a lower valuation compared to its historical averages.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

-

Net Revenue increased by 1% year over year to $361 million

Net Income decreased from the prior year to $18 million, reflecting a 5% margin

Adjusted EBITDA1 decreased 7% year over year to $79 million, reflecting a 22% margin

Reaffirms full-year 2026 outlook: Expects Net Revenue in the range of $1.455 billion to $1.475 billion and Adjusted EBITDA in the range of $310 million to $330 million2

SAN FRANCISCO--(BUSINESS WIRE)--Yelp Inc. (NYSE: YELP), the company that connects people with great local businesses, today posted its financial results for the first quarter ended March 31, 2026 in the Shareholder Letter available on its Investor Relations website at yelp-ir.com.

“We continued to accelerate Yelp's AI transformation in the first quarter,” said Jeremy Stoppelman, Yelp's co-founder and chief executive officer. “Even as local businesses continued to navigate a challenging operating environment, we made meaningful progress against our strategic priorities to reconceive Yelp around answers and actions, deliver new AI tools for businesses, and extend the reach of our trusted content through data licensing. We recently rolled out more than 35 new product updates and features, including a new Yelp Assistant that now works across all categories. Product momentum, strong traction from Hatch and Yelp Host, and a growing partner ecosystem give me confidence in Yelp's AI transformation and our ability to drive long-term profitable growth.”

“First quarter net revenue of $361 million and an adjusted EBITDA margin of 22% both exceeded the high end of our outlook,” said David Schwarzbach, Yelp's chief financial officer. “While local economies remained pressured, other revenue grew 75% year over year to a record $29 million. Looking ahead, we see a significant opportunity to drive growth in other revenue by scaling Yelp Host, Hatch, and data licensing. We are targeting an annual run rate of $250 million in other revenue by the end of 2028.”

Quarterly Conference Call

Yelp will host a live webcast today at 2 p.m. Pacific Time to discuss the first quarter financial results and outlook for the second quarter and full year 2026. The webcast of the Q&A can be accessed on the Yelp Investor Relations website at yelp-ir.com. A replay of the webcast will be available at the same website.

About Yelp

Yelp Inc. (yelp.com) is a community-driven platform that connects people with great local businesses. Millions rely on Yelp to inform their spending decisions and get things done. By combining authentic human content with AI technologies, including Yelp Assistant, Yelp helps people move seamlessly from discovery to taking action, whether it’s requesting quotes from service pros, making reservations, ordering food, scheduling appointments, or connecting with the right businesses for their needs. Yelp was founded in San Francisco in 2004.

Yelp intends to make future announcements of material financial and other information through its Investor Relations website. Yelp will also, from time to time, disclose this information through press releases, filings with the Securities and Exchange Commission, conference calls, or webcasts, as required by applicable law.

Forward-Looking Statements

This press release contains forward-looking statements relating to, among other things, Yelp’s future performance, including its expected financial results for the second quarter and full year 2026, its expectations regarding its AI transformation, changes to its product offerings, and its ability to scale revenue streams and drive long-term profitable growth, that are based on its current expectations, forecasts and assumptions that involve risks and uncertainties.

Yelp’s actual results could differ materially from those predicted or implied and reported results should not be considered as an indication of future performance. Factors that could cause or contribute to such differences include, but are not limited to:

Adverse macroeconomic conditions — particularly those affecting local economies — and their impact on consumer behavior and advertiser spending; Yelp’s ability to maintain and expand its advertiser base; Yelp’s ability to execute on its strategic initiatives, including its AI transformation, and the effectiveness thereof; Yelp’s reliance on internet search engines and application marketplaces, certain providers of which offer products and services that compete directly with its products; Yelp’s ability to successfully manage acquisitions of new businesses, solutions or technologies, such as Hatch, to successfully integrate those businesses, solutions or technologies, and to monetize such acquired products, solutions or technologies; Yelp’s ability to continue to effectively operate with a remote work force and attract and retain key talent; Yelp’s reliance on third-party service providers and strategic partners; Competition in, and the rapid evolution of, Yelp’s industry; Yelp’s ability to generate and maintain sufficient high-quality content from its users; Yelp’s ability to maintain, protect and enhance its brand; and Yelp’s ability to maintain the uninterrupted and proper operation of its technology and network infrastructure. Factors that could cause or contribute to such differences also include, but are not limited to, those factors that could affect Yelp’s business, operating results and stock price included under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Yelp’s most recent Annual Report on Form 10-K or Quarterly Report on Form 10-Q at yelp-ir.com or the SEC’s website at sec.gov.

YELP INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands)

(Unaudited)

  March 31,
2026

December 31,
2025

Assets

Current assets:

Cash and cash equivalents

$

110,412

$

216,062

Short-term marketable securities

—

103,290

Accounts receivable, net

152,211

153,224

Prepaid expenses and other current assets

39,409

42,359

Total current assets

302,032

514,935

Property, equipment and software, net

95,368

91,685

Operating lease right-of-use assets

17,371

16,046

Goodwill

355,625

135,847

Intangibles, net

98,773

49,038

Other non-current assets

144,129

150,927

Total assets

$

1,013,298

$

958,478

Liabilities and Stockholders’ Equity

Current liabilities:

Accounts payable and accrued liabilities

$

155,031

$

158,789

Operating lease liabilities — current

7,063

7,426

Deferred revenue

11,628

5,845

Total current liabilities

173,722

172,060

Revolving credit facility

130,000

—

Operating lease liabilities — long-term

17,861

17,451

Other long-term liabilities

60,626

58,115

Total liabilities

382,209

247,626

Stockholders’ equity:

Preferred stock

—

—

Common stock

—

—

Additional paid-in capital

2,041,401

2,010,948

Treasury stock

(6,264

)

(999

)

Accumulated other comprehensive loss

(9,601

)

(7,677

)

Accumulated deficit

(1,394,447

)

(1,291,420

)

Total stockholders’ equity

631,089

710,852

Total liabilities and stockholders’ equity

$

1,013,298

$

958,478

YELP INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share data)

(Unaudited)

  Three Months Ended
March 31,

2026

2025

Net revenue

$

361,457

$

358,534

Costs and expenses:

Cost of revenue(1)

38,409

34,828

Sales and marketing(1)

153,010

146,284

Product development(1)

77,157

83,905

General and administrative(1)

49,350

51,707

Depreciation and amortization

16,233

12,350

Total costs and expenses

334,159

329,074

Income from operations

27,298

29,460

Other income, net

2,586

5,771

Income before income taxes

29,884

35,231

Provision for income taxes

12,149

10,840

Net income attributable to common stockholders

$

17,735

$

24,391

Net income per share attributable to common stockholders

Basic

$

0.30

$

0.37

Diluted

$

0.30

$

0.36

Weighted-average shares used to compute net income per share attributable to common stockholders

Basic

58,816

65,261

Diluted

59,374

67,324

(1) Includes stock-based compensation expense as follows:

Three Months Ended
March 31,

2026

2025

Cost of revenue

$

1,140

$

1,171

Sales and marketing

6,454

7,639

Product development

14,710

19,409

General and administrative

8,203

9,250

Total stock-based compensation

$

30,507

$

37,469

YELP INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

(Unaudited)

  Three Months Ended
March 31,

2026

2025

Operating Activities

Net income

$

17,735

$

24,391

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

16,233

12,350

Provision for credit losses

9,438

10,559

Stock-based compensation

30,507

37,469

Amortization of right-of-use assets

1,703

3,440

Deferred income taxes

9,705

3,287

Amortization of deferred contract cost

5,559

6,013

Other adjustments, net

1,298

1,252

Changes in operating assets and liabilities, net of acquisition:

Accounts receivable

(8,015

)

(13,998

)

Prepaid expenses and other assets

(14,727

)

(617

)

Operating lease liabilities

(2,814

)

(9,902

)

Accounts payable, accrued liabilities and other liabilities

(8,806

)

23,751

Net cash provided by operating activities

57,816

97,995

Investing Activities

Purchases of marketable securities

(5,975

)

(15,134

)

Sales and maturities of marketable securities

109,293

13,610

Maturities of other investments

5,000

—

Acquisition, net of cash received

(263,600

)

—

Purchases of property, equipment and software

(12,660

)

(10,531

)

Other investing activities

61

52

Net cash used in investing activities

(167,881

)

(12,003

)

Financing Activities

Proceeds from issuance of common stock for employee stock-based plans

8,726

273

Taxes paid related to the net share settlement of equity awards

(9,792

)

(19,486

)

Repurchases of common stock

(124,001

)

(62,500

)

Proceeds from revolving credit facility

165,000

—

Repayments on revolving credit facility

(35,000

)

—

Other financing activities

(18

)

—

Net cash provided by (used in) financing activities

4,915

(81,713

)

Effect of exchange rate changes on cash, cash equivalents and restricted cash

(267

)

652

Change in cash, cash equivalents and restricted cash

(105,417

)

4,931

Cash, cash equivalents and restricted cash — Beginning of period

216,289

217,682

Cash, cash equivalents and restricted cash — End of period

$

110,872

$

222,613

Non-GAAP Financial Measures

This press release and statements made during the above referenced webcast may include information relating to Adjusted EBITDA, Adjusted EBITDA margin and Free cash flow, each of which the Securities and Exchange Commission has defined as a “non-GAAP financial measure.”

We define Adjusted EBITDA as net income (loss), adjusted to exclude: provision for (benefit from) income taxes; other income, net; depreciation and amortization; stock-based compensation expense; and, in certain periods, certain other income and expense items, such as expenses for which we expect to be indemnified, acquisition and integration costs and other items that we deem not to be indicative of our ongoing operating performance. We define Adjusted EBITDA margin as Adjusted EBITDA divided by net revenue. We define Free cash flow as net cash provided by (used in) operating activities, less cash used for purchases of property, equipment and software.

Adjusted EBITDA and Free cash flow, which are not prepared under any comprehensive set of accounting rules or principles, have limitations as analytical tools and you should not consider them in isolation or as substitutes for analysis of Yelp’s financial results as reported in accordance with generally accepted accounting principles in the United States (“GAAP”). In particular, Adjusted EBITDA and Free cash flow should not be viewed as substitutes for, or superior to, net income (loss) or net cash provided by (used in) operating activities prepared in accordance with GAAP as measures of profitability or liquidity. Some of these limitations are:

although depreciation and amortization are non-cash charges, the assets being depreciated and amortized may have to be replaced in the future, and Adjusted EBITDA does not reflect all cash capital expenditure requirements for such replacements or for new capital expenditure requirements; Adjusted EBITDA does not reflect changes in, or cash requirements for, Yelp’s working capital needs; Adjusted EBITDA does not reflect the impact of the recording or release of valuation allowances or tax payments that may represent a reduction in cash available to Yelp; Adjusted EBITDA does not consider the potentially dilutive impact of equity-based compensation; Adjusted EBITDA does not take into account certain income and expense items, such as indemnifiable expenses, acquisition and integration costs or other costs that management determines are not indicative of ongoing operating performance; Free cash flow does not represent the total residual cash flow available for discretionary purposes because it does not reflect our contractual commitments or obligations; and other companies, including those in Yelp’s industry, may calculate Adjusted EBITDA and Free cash flow differently, which reduces their usefulness as comparative measures. Because of these limitations, you should consider Adjusted EBITDA, Adjusted EBITDA margin and Free cash flow alongside other financial performance measures, including net income (loss), net cash provided by (used in) operating activities and Yelp’s other GAAP results.

The following is a reconciliation of net income to Adjusted EBITDA, as well as the calculation of net income margin and Adjusted EBITDA margin, for each of the periods indicated (in thousands, except percentages; unaudited):

Three Months Ended
March 31,

2026

2025

Reconciliation of Net Income to Adjusted EBITDA:

Net income

$

17,735

$

24,391

Provision for income taxes

12,149

10,840

Other income, net

(2,586

)

(5,771

)

Depreciation and amortization

16,233

12,350

Stock-based compensation

30,507

37,469

Indemnifiable expenses(1)(2)

896

5,126

Acquisition and integration costs(1)(3)

4,420

539

Adjusted EBITDA

$

79,354

$

84,944

Net revenue

$

361,457

$

358,534

Net income margin

5

%

7

%

Adjusted EBITDA margin

22

%

24

%

The following is a reconciliation of net cash provided by operating activities to Free cash flow for each of the periods indicated (in thousands; unaudited):

Three Months Ended
March 31,

2026

2025

Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow:

Net cash provided by operating activities

$

57,816

$

97,995

Purchases of property, equipment and software

(12,660

)

(10,531

)

Free cash flow

$

45,156

$

87,464

Net cash used in investing activities

$

(167,881

)

$

(12,003

)

Net cash provided by (used in) financing activities

$

4,915

$

(81,713

)

More News From Yelp Inc.

Back to Newsroom

Yelp (YELP - Free Report) came out with quarterly earnings of $0.36 per share, beating the Zacks Consensus Estimate of $0.26 per share. This compares to earnings of $0.36 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +38.46%. A quarter ago, it was expected that this online business reviews company would post earnings of $0.47 per share when it actually produced earnings of $0.61, delivering a surprise of +29.79%.

Over the last four quarters, the company has surpassed consensus EPS estimates four times.

Yelp, which belongs to the Zacks Internet - Content industry, posted revenues of $361.46 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 1.94%. This compares to year-ago revenues of $358.53 million. The company has topped consensus revenue estimates four times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Yelp shares have lost about 6.8% since the beginning of the year versus the S&P 500's gain of 7.6%.

What's Next for Yelp?While Yelp has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Yelp was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.54 on $369.77 million in revenues for the coming quarter and $2.02 on $1.47 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Content is currently in the bottom 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, Perion Network (PERI - Free Report) , has yet to report results for the quarter ended March 2026. The results are expected to be released on May 20.

This digital media company is expected to post quarterly earnings of $0.06 per share in its upcoming report, which represents a year-over-year change of -45.5%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Perion Network's revenues are expected to be $94.43 million, up 5.7% from the year-ago quarter.

Key Takeaways YELP Q1 EPS was 30 cents, down 16.7% Y/Y, while net revenues rose 0.8% to $361.5M.Yelp's other revenues jumped 75% to a record $29M, lifted by Hatchify plus data licensing and food ordering.YELP Assistant adoption hit 15% of Request-a-Quote projects as 35 AI updates expanded local discovery. Yelp Inc. (YELP - Free Report) reported first-quarter 2026 earnings of 30 cents per share, declining 16.7% year over year. The Zacks Consensus Estimate for the bottom line was pegged at 26 cents.

Net revenues rose 0.8% year over year to $361.5 million and surpassed the consensus mark by 1.9%. Strength in other revenues and steady Services advertising demand drove the outperformance, while Yelp Assistant adoption continued to expand, accounting for about 15% of Request-a-Quote projects in the quarter.

YELP’s Revenue Mix Shows Services ResilienceTotal net revenues increased to $361.5 million from $358.5 million a year ago. Advertising revenues declined 2.8% year over year to $332.49 million, reflecting weaker trends in Restaurants, Retail & Other categories.

Services advertising revenues edged up to $233.8 million from $231.6 million, supported by a modest increase in ad clicks and a higher average revenue per location that partially offset fewer paying locations. In contrast, Restaurants, Retail & Other advertising revenues fell to $98.7 million from $110.4 million as softer consumer demand weighed on ad clicks.

Other revenues stood out, rising 75% year over year to a record $29 million. The jump was driven by the inclusion of Hatchify revenues (acquired in February 2026), along with growth in data licensing and food ordering.

Yelp’s Profitability Slips as Costs RiseNet income attributable to common stockholders declined 27% year over year to $18 million, translating to a 5% net income margin versus 7% in the year-ago quarter. Income from operations was $27.3 million, down from $29.4 million in the year-ago quarter, reflecting higher overall costs and expenses.

Total costs and expenses increased 2% year over year to $334 million. The cost of revenues rose 10% year over year to $38.4 million, partly tied to infrastructure investments, including AI product integration and incremental costs from the Hatchify acquisition.

Sales and marketing expenses increased 5% to $153 million on higher marketing spend and employee-related costs, including a Hatchify-related headcount. Product development expense declined 8% to $77 million, while general and administrative expenses fell 5% to $49 million, reflecting lower stock-based compensation and other items, partially offset by acquisition and integration costs.

Adjusted EBITDA decreased 7% year over year to $79 million, with adjusted EBITDA margin contracting 200 basis points to 22%.

YELP Expands Consumer AI Experience and PartnershipsYelp continued to accelerate its AI transformation in the first quarter, rolling out more than 35 new features and updates and introducing a new Yelp Assistant that now supports local discovery across every business category. The expanded assistant is designed to provide recommendations with explanations, surfaced reviews, star ratings and other details while letting users refine searches and ask follow-up questions.

Yelp also broadened its partner ecosystem to help consumers complete actions beyond discovery. Food ordering and delivery through the DoorDash partnership drove 88% year-over-year growth in food ordering revenues, reflecting expanded restaurant availability on the platform.

Beyond discovery and ordering, Yelp announced new integrations with Vagaro and Zocdoc to support booking for beauty, wellness, fitness and healthcare appointments. Yelp also enhanced Menu Vision to deliver more visual and detail-rich menu browsing, using AI to improve photo-to-menu matching and recognition of dish names and synonyms.

Yelp Bets on Hatchify, Host and Data Licensing MomentumManagement highlighted a sharper focus on scaling AI-driven offerings that can expand “other revenue” over time. Yelp Host, its AI-powered call answering service for restaurants, surpassed an annual run rate of 1.5 million calls handled in April, more than doubling from January, and the company plans to add capabilities such as placing food orders by phone.

Hatchify also showed strong early momentum post-acquisition. Hatchify’s annual run rate revenues exceeded $34 million in March, up 92% year over year and 27% from November 2025, and Yelp indicated plans to expand Hatchify’s voice capabilities and enhance lead management functionality.

Data licensing remains another key lever. Yelp cited robust demand for its licensing products, including new licensing agreements with OpenAI, and expanding integrations with existing partners such as Alexa+, where users can book and manage Yelp restaurant reservations through the Reservations API. Management reiterated a longer-term goal of reaching an annual run rate of $250 million in other revenues by the end of 2028 compared with an annual run rate of $116 million delivered in the first quarter of 2026.

YELP’s Liquidity Position and Shareholder Return PolicyYelp’s liquidity remained solid, ending the first quarter with $110 million in cash and cash equivalents, alongside $130 million in net borrowings under its credit facility. During the first quarter, the company generated operating cash flow and free cash flow of $57.8 million and $45.2 million, respectively.

YELP Reiterates FY26 GuidanceFor 2026, the company continues to anticipate revenues between $1.455 billion and $1.475 billion. This compares with 2025 revenues of $1.465 billion and the Zacks Consensus Estimate of $1.47 billion. Adjusted EBITDA is still expected in the range of $310-$330 million, which is way lower than the 2025 level of $369 million.

Yelp initiated its guidance for the second quarter of 2026. Yelp anticipates second-quarter 2026 revenues between $363 million and $368 million, which fell short of the Zacks Consensus Estimate of $369.8 million as well as the year-ago quarter’s revenues of $370.4 million. Second-quarter adjusted EBITDA is projected in the band of $70-$75 million.

YELP’s Zacks Rank and Stocks to ConsiderCurrently, Yelp carries a Zacks Rank #3 (Hold).

Some better-ranked stocks worth considering in the broader Zacks Computer and Technology sector are Micron Technology (MU - Free Report) , Broadcom (AVGO - Free Report) and NVIDIA (NVDA - Free Report) . Micron Technology sports a Zacks Rank #1 (Strong Buy) at present, while Broadcom and NVIDIA each carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Micron Technology’s fiscal 2026 earnings has been revised upward by a penny to $58.37 per share in the past 30 days, suggesting an increase of 604.1% from fiscal 2025’s reported figure. Micron Technology shares have surged 125.3% year to date (YTD).

The Zacks Consensus Estimate for Broadcom’s fiscal 2026 earnings has moved northward by 9 cents to $11.45 per share over the past 30 days and calls for a year-over-year jump of 67.9%. Broadcom shares have soared 19.2% YTD.

The Zacks Consensus Estimate for NVIDIA’s fiscal 2027 earnings has moved upward by 4 cents to $8.07 per share in the past 30 days, implying a year-over-year improvement of approximately 69.2%. NVIDIA shares have risen 13.6% YTD.

Yelp is rated Buy, trading at 6x economic EBITDA with no debt, $300M cash, and aggressive buybacks despite minimal top-line growth. YELP's Q1 revenue grew 1% with stable services and ad revenue, while ad clicks declined 10% but CPC rose 8%, signaling pricing power. Stock-based compensation remains elevated but is targeted to fall below 6% of revenue by 2027; buybacks retired 12% of shares in a year.

SAN FRANCISCO--(BUSINESS WIRE)--Yelp Inc. (NYSE: YELP), the company that connects people with great local businesses, today announced that management will present at the 2026 Jefferies Software, Internet & AI Conference on May 27, 2026 at 4:00 p.m. Pacific Time.

The live and archived webcasts of the presentation will be available on the company’s investor relations website at www.yelp-ir.com. The archived webcast will remain available for 180 days after the conclusion of the live presentation.

About Yelp

Yelp Inc. (yelp.com) is a community-driven platform that connects people with great local businesses. Millions rely on Yelp to inform their spending decisions and get things done. By combining authentic human content with AI technologies, including Yelp Assistant, Yelp helps people move seamlessly from discovery to taking action, whether it’s requesting quotes from service pros, making reservations, ordering food, scheduling appointments, or connecting with the right businesses for their needs. Yelp was founded in San Francisco in 2004.

More News From Yelp Inc.

When you think of America’s biggest brands, tech companies like Apple, Google, and Amazon; retailers like Walmart and Target; and food and beverage giants like McDonald’s and Starbucks usually come to mind.

But every year, those established brands also face the risk of being upended by smaller, faster-growing upstarts. Now, the crowd-sourced review platform Yelp has published its annual list of the fastest-growing brands in America.

Here are the top 10 brands Yelp says are growing the fastest across the country.

Starbucks competitor 7 Brew leads the listAccording to Yelp’s data, the fastest-growing brand in America in 2026 is the drive-through coffee chain and Starbucks competitor 7 Brew. 

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Yelp says its data showed that the coffee chain saw “244% growth in consumer interest in 2025,” noting that “Americans are increasingly centering their morning routines around caffeinated drive-thru beverages.”

Here is the top 10 list:

7 Brew Smoothie King Bojangles Sprouts Farmers Market Paris Baguette Boot Barn Bob’s Discount Furniture Black Rock Coffee Bar Nothing Bundt Cakes Wingstop A 7 Brew Coffee in Rome, New York. [Photo: Mahmoud Suhail/Adobe Stock]What is perhaps most interesting about Yelp’s findings is that seven of Yelp’s top 10 fastest-growing brands of 2026 are food or restaurant-related businesses. Only Sprouts Farmers Market, Boot Barn, and Bob’s Discount Furniture are not food or restaurant brands.

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