Trustpilot vs Yelp Which Offers More Value?

Trustpilot and Yelp are two popular online platforms that allow consumers to leave reviews and feedback on businesses. Both companies are publicly traded on the stock market, but they have seen varying levels of success in recent years. Trustpilot has gained momentum as a trusted source for reviews and has seen growth in its stock price, while Yelp has faced challenges and fluctuations in its stock performance. Investors may be curious to compare the potential of Trustpilot versus Yelp stocks in the market.

Trustpilot or Yelp?

When comparing Trustpilot and Yelp, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Trustpilot and Yelp.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Trustpilot has a dividend yield of -%, while Yelp has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Trustpilot reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Yelp reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Trustpilot P/E ratio at 90.53 and Yelp's P/E ratio at 21.59. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Trustpilot P/B ratio is 29.01 while Yelp's P/B ratio is 3.45.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Trustpilot has seen a 5-year revenue growth of 1.69%, while Yelp's is 0.82%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Trustpilot's ROE at 29.53% and Yelp's ROE at 16.02%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are £255.50 for Trustpilot and $35.89 for Yelp. Over the past year, Trustpilot's prices ranged from £107.86 to £271.10, with a yearly change of 151.35%. Yelp's prices fluctuated between $32.56 and $48.99, with a yearly change of 50.46%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.