Buy Yelp (YELP) on Documentary Weakness, Wunderlich Says

Wunderlich Securities analyst Blake Harper reiterated a Buy rating and $90 price target on Yelp (NYSE: YELP) amid news yesterday of a highly critical documentary in production.

Harper doesn't believe the film has uncovered any new or incriminating evidence and they would use the price decline in YELP as a buying opportunity.

Harper commented, "The trailer appears to offer no new information about Yelp's review filter or local business owners' complaints about reviews on the site, and it insinuates that Yelp extorts businesses by manipulating reviews, which we, along with the courts, the FTC, and a Harvard Business School study, have been unable to find any evidence of. We believe Yelp is also on track to post high-single-digit sequential growth in unique visitors in Q1 according to Quantcast data; this compares with its 3% Q/Q decline in visitors in the seasonally slower Q4.

For an analyst ratings summary and ratings history on Yelp click here. For more ratings news on Yelp click here.

Shares of Yelp closed at $45.18 yesterday.

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