Yelp (YELP) Competitors

SPS Commerce (NASDAQ:SPSC) and Yelp (NYSE:YELP) are both mid-cap business services companies, but which is the better stock? We will compare the two businesses based on the strength of their earnings, institutional ownership, community ranking, dividends, valuation, analyst recommendations, profitability, media sentiment and risk.

Do institutionals and insiders hold more shares of SPSC or YELP?

99.0% of SPS Commerce shares are owned by institutional investors. Comparatively, 90.1% of Yelp shares are owned by institutional investors. 1.0% of SPS Commerce shares are owned by insiders. Comparatively, 7.4% of Yelp shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Is SPSC or YELP more profitable?

SPS Commerce has a net margin of 12.08% compared to Yelp's net margin of 9.41%. Yelp's return on equity of 18.07% beat SPS Commerce's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
SPS Commerce	12.08%	12.27%	10.10%
Yelp	9.41%	18.07%	13.55%

Do analysts rate SPSC or YELP?

SPS Commerce presently has a consensus price target of $198.11, indicating a potential upside of 37.78%. Yelp has a consensus price target of $36.33, indicating a potential upside of 2.99%. Given SPS Commerce's stronger consensus rating and higher possible upside, equities analysts plainly believe SPS Commerce is more favorable than Yelp.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SPS Commerce	0 Sell rating(s)	4 Hold rating(s)	6 Buy rating(s)	0 Strong Buy rating(s)	2.60
Yelp	2 Sell rating(s)	5 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	1.88

Which has stronger earnings & valuation, SPSC or YELP?

Yelp has higher revenue and earnings than SPS Commerce. Yelp is trading at a lower price-to-earnings ratio than SPS Commerce, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SPS Commerce	$669.74M	8.15	$77.05M	$2.14	67.19
Yelp	$1.41B	1.62	$132.85M	$1.92	18.38

Does the media refer more to SPSC or YELP?

In the previous week, Yelp had 6 more articles in the media than SPS Commerce. MarketBeat recorded 28 mentions for Yelp and 22 mentions for SPS Commerce. SPS Commerce's average media sentiment score of 1.15 beat Yelp's score of 0.67 indicating that SPS Commerce is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
SPS Commerce	12 Very Positive mention(s)	2 Positive mention(s)	4 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive
Yelp	14 Very Positive mention(s)	4 Positive mention(s)	9 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Does the MarketBeat Community believe in SPSC or YELP?

Yelp received 689 more outperform votes than SPS Commerce when rated by MarketBeat users. However, 73.55% of users gave SPS Commerce an outperform vote while only 68.06% of users gave Yelp an outperform vote.

Company	Underperform	Outperform
SPS Commerce	Outperform Votes 645 73.55%	Underperform Votes 232 26.45%
Yelp	Outperform Votes 1334 68.06%	Underperform Votes 626 31.94%

Which has more risk and volatility, SPSC or YELP?

SPS Commerce has a beta of 0.89, meaning that its share price is 11% less volatile than the S&P 500. Comparatively, Yelp has a beta of 1.08, meaning that its share price is 8% more volatile than the S&P 500.

Summary

SPS Commerce beats Yelp on 10 of the 18 factors compared between the two stocks.