Yelp Stock Surges 4% on Goldman Sachs Upgrade
<p><a href='https://financialmodelingprep.com/financial-summary/YELP'>Yelp's shares (NYSE:YELP)</a> gained more than 4% in pre-market today following an upgrade from Goldman Sachs, which raised the rating of Yelp shares from Neutral to Buy and increased the price target from $38 to $47. The upgrade is based on positive risk/reward factors and stable advertising trends.</p>
<p>The analysts stated that the upgrade move was driven by consistent and growing local advertising trends, an analysis of potential profit margin expansion, and the possibility of stable or increased returns for shareholders in the future.</p>
<p>The analysts are increasingly optimistic about Yelp's ability to maintain revenue growth in the mid-to-high single-digit percentage range from 2024 to 2027. Factors supporting this outlook include a stable or improving local advertising environment, recent investments in advertising technology leading to sustained price increases, and the successful scaling of newer initiatives like Yelp Audiences, which contribute to better auction density and revenue diversification. The company is also expected to achieve margin expansion through high-margin growth, controlled operating expenses, and the potential for additional gains from shareholder returns.</p>

NYSE:YELP