Yelp (YELP) Competitors

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

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

90.1% of Yelp shares are owned by institutional investors. Comparatively, 99.0% of SPS Commerce shares are owned by institutional investors. 7.4% of Yelp shares are owned by insiders. Comparatively, 1.0% of SPS Commerce shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Is YELP or SPSC more profitable?

SPS Commerce has a net margin of 11.79% compared to Yelp's net margin of 9.95%. Yelp's return on equity of 19.42% beat SPS Commerce's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Yelp	9.95%	19.42%	14.62%
SPS Commerce	11.79%	12.10%	10.08%

Do analysts recommend YELP or SPSC?

Yelp currently has a consensus price target of $34.00, suggesting a potential upside of 0.49%. SPS Commerce has a consensus price target of $165.80, suggesting a potential upside of 54.82%. Given SPS Commerce's stronger consensus rating and higher probable upside, analysts plainly believe SPS Commerce is more favorable than Yelp.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Yelp	2 Sell rating(s)	4 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.67
SPS Commerce	0 Sell rating(s)	5 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.50

Does the media prefer YELP or SPSC?

In the previous week, SPS Commerce had 33 more articles in the media than Yelp. MarketBeat recorded 51 mentions for SPS Commerce and 18 mentions for Yelp. Yelp's average media sentiment score of 0.78 beat SPS Commerce's score of 0.45 indicating that Yelp is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Yelp	10 Very Positive mention(s)	1 Positive mention(s)	6 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
SPS Commerce	13 Very Positive mention(s)	7 Positive mention(s)	12 Neutral mention(s)	6 Negative mention(s)	0 Very Negative mention(s)	Neutral

Which has more risk & volatility, YELP or SPSC?

Yelp has a beta of 0.97, meaning that its share price is 3% less volatile than the S&P 500. Comparatively, SPS Commerce has a beta of 0.71, meaning that its share price is 29% less volatile than the S&P 500.

Which has preferable earnings and valuation, YELP or SPSC?

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
Yelp	$1.41B	1.53	$132.85M	$2.08	16.27
SPS Commerce	$637.77M	6.37	$77.05M	$2.18	49.12

Summary

SPS Commerce beats Yelp on 9 of the 16 factors compared between the two stocks.