Deutsche Bank Says 'Buy The Dip' Following Yelp's Q3 Results

In a note released Thursday morning, Deutsche Bank analyst Lloyd Walmsley suggested investors build their long-term position in Yelp Inc YELP amid the weakness following the company's third quarter earnings report.

Walmsley commented, "We think investors are over reacting to disappointing short-term headline figures and ignoring some obvious explanations and bullish long term signs."

Walmsley rates Yelp a Buy with a $75 price target.

Looking ahead, Walmsley said the key risks to his price target include: dependence on Google for traffic, high/increased competition and failure to ramp transactional business.