Yelp Inc. (NYSE: YELP) reported its first-quarter financial results after the markets closed on Thursday. Despite the company posting a loss for the quarter, it was not as bad as analysts initially estimated and this thrilled investors. As a result, analysts raised their price targets for Yelp.
24/7 Wall St. has included some highlights from the earnings report, as well as what analysts are saying about Yelp after the report.
The company said it had a net loss of $0.08 per share on $158.6 million in revenue. That compared to consensus estimates of a net loss of $0.15 per share on $155.6 million in revenue.
In the first quarter, Local revenue totaled $138.1 million, an increase of 40% from the same period in the previous year. Apart from this, Transactions revenue totaled $14.5 million, versus $6.6 million last year, primarily due to the Eat24 acquisition.
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Also during this quarter, an average of 21 million unique devices accessed Yelp through its mobile app on a monthly basis, noting an increase of 32% compared to the same period in 2015.
In terms of the outlook, the company expects net revenues to be in the range of $167 million to $171 million for the second quarter, while adjusted EBITDA is expected in the range of $21 million to $25 million. Consensus estimates call for a net loss of $0.08 per share on $167.69 million in revenue.
On the books, cash, cash equivalents and short-term marketable securities totaled $375.5 million at the end of the quarter compared to $370.8 million at the end of 2015.
A few analysts weighed in on Yelp after earnings were report:
- Baird has a Neutral rating and raised its price target to $25 from $19.
- Cowen has a Market Perform rating and raised its price target price to $25 from $21.
- Credit Suisse has an Outperform rating and raised its price target to $46 from $44.
- Deutsche Bank raised its price target to $26 from $20.
- Jefferies has a Buy rating and raised its price target to $28 from $20.
- Mizuho has a Neutral rating and raised its price target to $24 from $20.
- MKM Partners has a Neutral rating and raised its price target to $24 from $19.
- Piper Jaffray has a Neutral rating and raised its price target to $22 from $19.
- RBC has an Outperform rating and raised its price target to $36 from $33.
- Susquehanna has a Neutral rating and raised its price target to $22 from $16.
Shares of Yelp closed up over 23% at $26.50 on Friday. The stock has a consensus analyst price target of $22.78 and a 52-week trading range of $14.53 to $50.99.
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