UPDATE: JP Morgan Initiates Yelp at Neutral on Balanced Risk/Reward
JP Morgan initiated coverage on Yelp (NYSE: YELP) with a Neutral rating and a $19 price target.
JP Morgan noted, "We believe Yelp's breadth and depth of review content, trusted brand, and large potential local advertising opportunity make it well positioned to continue driving strong revenue growth and margin expansion. However, we think Yelp shares already reflect our positive fundamental view of the company. We view potential changes to Google's search algorithm (which drives 50% of Yelp's site visits), a relatively unproven track record outside the US, and a significant implied profitability ramp as risks to the stock at current levels."
Yelp closed at $19.30 on Tuesday.
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