Analyst: Buy YELP Stock While It's on Sale

The analyst started YELP with a $45 price target

Digital Content Manager
Apr 18, 2019 at 9:46 AM
facebook X logo linkedin

BMO just initiated coverage of online review name Yelp Inc (NYSE:YELP) with an "outperform" rating and a $45 price target -- a roughly 26% premium to last night's close. The analyst said it sees "revenue growth accelerating" in the next two years, and that the stock's recent dip -- combined with heavy investor skepticism -- provides an "attractive entry point." The shares are up 0.9% at $35.96 in response. 

The analyst's note is relatively rare among the bearish-leaning brokerage bunch. BMO's price target is above the consensus 12-month target of $39.32, and as of yesterday, only four "buy" or better ratings were on the table, compared to 18 "hold" or worse ratings. 

Looking at the charts, the security is still struggling to close its early November bear gap, with its most successful attempt in mid-February thwarted by its 200-day moving average. More recently, the equity has found a floor at the $34 level and its year-to-date breakeven, and is pacing for its fourth straight weekly win.

An unwinding of short interest could propel YELP higher, too. While short interest inched lower in the most recent reporting period, it still represents 15.5% of the stock's available float. At Yelp's average pace of trading, it would take almost two weeks to buy back these bearish bets. 




How to collect 1 dividend check every day for LIFE

Did you know you could collect 1 dividend check every day the market is open? You could also do it starting with just $605! For me, I'm collecting 70 dividend checks every quarter…which averages around 1.1 dividend checks every business day. There's no trading behind this... no penny stocks or high-risk investments. All you do is buy and hold and you're set. There's no set up required either. If you start buying the dividend stocks I show you today... you could collect 1 dividend per day starting as early as this week. Click here for all the details.