Yelp Q4 Earnings Report Preview: Key Points to Watch

Yelp, the local business platform, is set to unveil its fourth-quarter earnings report this Thursday. Last quarter, Yelp exceeded revenue expectations by 2.1%, reporting $376 million in revenues, marking a 4.4% increase compared to the previous year. It was a solid quarter for Yelp, as it not only surpassed analysts’ EBITDA estimates but also slightly exceeded full-year EBITDA guidance. As we eagerly await Yelp’s upcoming earnings report, it’s crucial to analyze the key indicators.

Analysts are predicting that Yelp’s revenue for this quarter will remain stagnant year on year at $358.9 million, a slowdown from the 5.7% growth seen in the same quarter last year. Adjusted earnings are anticipated to be around $0.90 per share. Over the past month, analysts covering Yelp have largely maintained their estimates, indicating a sense of stability before the earnings release. However, it’s worth noting that Yelp has fallen short of Wall Street’s revenue estimates on two occasions in the past two years.

Taking a closer look at Yelp’s peers in the social networking sector, we can gain insights from companies that have already disclosed their Q4 results. Reddit, for instance, reported a remarkable 69.7% year-on-year revenue growth, surpassing analysts’ expectations by 8.7%. On the other hand, Meta revealed a 23.8% increase in revenues, exceeding estimates by 2.5%. Following these results, Reddit’s stock price dropped by 7.4%, while Meta’s surged by 10.4%.

In the wake of Trump’s election victory in November, the market experienced a surge, but concerns about potential tariffs have led to a shift in sentiment in 2025. Social networking stocks have been particularly impacted, with share prices declining by an average of 17.3% over the last month. Yelp, in particular, has seen a 20.3% drop during the same period and is now approaching earnings with an average analyst price target of $33.38, compared to the current share price of $24.35.

As we eagerly anticipate Yelp’s earnings report, it’s essential to stay informed and monitor the company’s performance closely. It will be interesting to see how Yelp navigates the current market conditions and whether it can maintain its trajectory of growth. Stay tuned for more updates as we await Yelp’s Q4 earnings report.