Yelp shares pop 15% despite lackluster earnings

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While the crowd-sourced reviews company reported third-quarter earnings on Thursday that missed on the bottom line and barely topped revenue expectations, shares rose more than 15% Friday.

But Yelp shares climbed more than 15% of Friday.

Jeremy Stoppelman, chief executive officer of Yelp Inc., center, rings the opening bell with Chief Operating Officer Geoff Donaker, second left, and Chief Financial Officer Rob Krolik, right, at the New York Stock Exchange in New York, U.S., on Friday, March 2, 2012. Yelp Inc., the site that lets users review everything from diners to dentists, surged as much as 73 percent in its first day of trading after selling shares for more than planned in an initial public offering.

Some of the investor excitement may be because third-quarter earnings imply that Yelp has yet to be significantly hurt by increased competition with. However, some investors are more bearish on the stock, unsure if Yelp will remain competitive moving forward.

 

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