Yelp (NYSE:YELP – Get Free Report) and SEEK (OTCMKTS:SKLTY – Get Free Report) are both communication services companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, earnings, valuation, profitability, risk and dividends.
Analyst Ratings
This is a summary of current ratings and price targets for Yelp and SEEK, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Yelp | 2 | 4 | 1 | 0 | 1.86 |
| SEEK | 1 | 1 | 0 | 0 | 1.50 |
Yelp currently has a consensus target price of $27.57, indicating a potential upside of 13.06%. Given Yelp’s stronger consensus rating and higher probable upside, research analysts plainly believe Yelp is more favorable than SEEK.
Earnings and Valuation
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Yelp | $1.46 billion | 0.92 | $145.60 million | $2.09 | 11.67 |
| SEEK | N/A | N/A | N/A | N/A | N/A |
Yelp has higher revenue and earnings than SEEK.
Profitability
This table compares Yelp and SEEK’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Yelp | 8.59% | 19.52% | 13.44% |
| SEEK | N/A | N/A | N/A |
Institutional & Insider Ownership
90.1% of Yelp shares are held by institutional investors. 8.3% of Yelp shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.
Summary
Yelp beats SEEK on 9 of the 9 factors compared between the two stocks.
About Yelp
Yelp Inc. operates a platform that connects consumers with local businesses in the United States and internationally. The company's platform covers various categories, including restaurants, shopping, beauty and fitness, health, and other categories, as well as home, local, auto, professional, pets, events, real estate, and financial services. It provides free and paid advertising products to businesses, which include cost-per-click advertising and multi-location Ad products, as well as enables businesses to deliver targeted advertising to large and high-intent audience; and business listing page products. The company also offers other services comprising Yelp Guest Manager, a subscription-based suite of front-of-house management tools for restaurants, nightlife and certain other venues, which include online reservations, a waitlist management solution that allows consumers to check wait times and join waitlists remotely, as well as through hostless kiosks, and seating and server rotation management tools; Yelp Knowledge program that offers business owners local analytics and insights through access to its historical data and other proprietary content; and Yelp Fusion, which offers free access to various basic information through publicly available APIs, and paid access to content and data for consumer-facing enterprise use. In addition, it provides content licensing, as well as allows third-party data providers to update and manage business listing information on behalf of businesses. Further, the company offers its products directly through its sales force; indirectly through partners; and online through its website and business app, as well as non-advertising partner arrangements. It has partnership with Grubhub for providing consumers with a service to place food orders for pickup and delivery. The company was incorporated in 2004 and is based in San Francisco, California.
About SEEK
SEEK Limited, together with its subsidiaries, engages in the provision of online employment marketplace services in Australia, South East Asia, Brazil, New Zealand, Mexico, the United Kingdom, Europe, and internationally. It operates through ANZ, SEEK Asia, Brazil Online, OCC, Platform support, Portfolio investments, and SEEK Growth Fund segments. The company offers Jora, an online employment marketplace; JobAdder, a talent acquisition suite that simplifies the hiring process for recruiter and corporate talent acquisition teams; and Certsy, a platform to securely verify and share work credentials, and to complete compliance checks. It also owns and manages seek, JobsDB, JobStreet, catho, and occmundial platforms. In addition, the company holds a portfolio of investments in the human capital management industry. SEEK Limited was incorporated in 1997 and is headquartered in Melbourne, Australia.
Receive News & Ratings for Yelp Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Yelp and related companies with MarketBeat.com's FREE daily email newsletter.
