BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors that purchased Yelp, Inc. (“Yelp” or the “Company”) (NYSE: YELP) securities between February 10, 2017 and May 9, 2017, inclusive (the “Class Period”). Yelp investors have until March 19, 2018 to file a lead plaintiff motion.
Investors suffering losses on their Yelp investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to howardsmith@howardsmithlaw.com.
The complaint alleges that defendants misled Yelp investors regarding the retention rates for existing customers, as well as revenues and growth rates for the Company’s new customers. And, furthermore that Yelp CEO Jeremy Stoppelman personally benefited from withholding such information by selling over $25,000,000 worth of Yelp shares (approximately 20% of his Yelp holdings) while allegedly in possession of material nonpublic information regarding Yelp’s poor financial results.
On May 9, 2017, the Company announced their first quarter 2017 financial results. While Yelp’s 1Q 2017 revenue and adjusted EBITDA met the Company’s prior expectations, the Company was revising its FY2017 guidance downward to reflect poor retention rates with existing customers. On this news, Yelp’s stock price closed at $34.70 on May 9, 2017 and fell as low as $26.93 on May 10, 2017 before closing at $28.33, thereby injuring investors.
If you purchased shares of Yelp, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at www.howardsmithlaw.com.
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