Yellow Pages (Y) AI Stock Analysis

• Market Cap: $157.54M
• Dividend Yield: 8.85%
• Average Volume (3M): 3.58K
• Price to Earnings (P/E): 11.8
• Beta (1Y): 0.32
• Revenue Growth: -7.80%
• EPS Growth: -58.83%
• Country: CA
• Employees: 565
• Sector: Communication Services
• Sector Strength: 97
• Industry: Publishing
• EPS (TTM): 0.29
• Shares Outstanding: 13,758,660
• 10 Day Avg. Volume: 2,050
• 30 Day Avg. Volume: 3,576
• PEG Ratio: -0.21
• Price to Book (P/B): 2.99
• Price to Sales (P/S): 0.75
• P/FCF Ratio: 4.40
• Enterprise Value/Market Cap: 0.91
• Enterprise Value/Revenue: 0.71
• Enterprise Value/Gross Profit: 3.52
• Enterprise Value/Ebitda: 4.32
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: C$12.50 ▲(10.62% Upside)

Yellow Pages faces challenges with declining revenue and cash flow, impacting its financial performance. However, technical indicators suggest potential for upward movement, and the stock's valuation is attractive with a high dividend yield. The company's strong cash reserves and dividend maintenance provide some stability despite revenue pressures.

Positive Factors

Operational Efficiency

Operational efficiency with positive EBIT and EBITDA margins indicates the company's ability to manage costs effectively, which is crucial for long-term sustainability.

Cash Reserves

Strong cash reserves provide financial flexibility to weather revenue declines and invest in strategic initiatives, supporting long-term stability.

Dividend Maintenance

Maintaining dividend payments reflects management's confidence in cash flow stability, appealing to income-focused investors and enhancing shareholder value.

Negative Factors

Revenue Decline

A significant decline in revenue, especially in core digital and print segments, challenges the company's growth prospects and market competitiveness.

Digital Revenue Challenges

Declining digital revenues indicate potential issues in adapting to market trends, which could hinder long-term growth in the digital advertising space.

Net Income Decrease

A decrease in net income due to lower adjusted EBITDA and increased charges may affect profitability, limiting reinvestment in business growth initiatives.

Yellow Pages Business Overview & Revenue Model

Company Description

Yellow Pages Limited operates as a digital media and marketing solutions company in Canada. The company provides digital and traditional marketing solutions, including online and mobile priority placement on Yellow Pages digital media properties, content syndication, search engine solutions, website fulfillment, social media campaign management, digital display advertising, video production, e-commerce, and print advertising to small and medium-sized enterprises. Its online properties include YP.ca that allows users to discover and transact within their local neighborhoods through merchant profiles, editorial content, reviews, and booking functionalities; Canada411 for personal and local business information; and 411.ca, a digital directory service. The company also operates as a directory publisher for Bell, Telus, Bell Aliant, MTS Allstream, and other telephone companies; and holds the YP, Canada411, and 411 mobile applications. Yellow Pages Limited was founded in 1908 and is headquartered in Montreal, Canada.

How the Company Makes Money

Yellow Pages generates revenue through multiple streams, primarily from advertising services. Businesses pay for enhanced listings, display ads, and online marketing solutions that help them gain visibility on the Yellow Pages platform and other affiliated networks. The company may also earn revenue from partnerships with search engines and social media platforms, offering bundled advertising packages. Additionally, Yellow Pages may provide premium services such as website design and hosting, contributing further to its income. The effectiveness of its advertising solutions and the growing demand for digital marketing services are significant factors driving the company's earnings.

Yellow Pages Financial Statement Overview

Summary

Yellow Pages faces challenges with declining revenues and profitability, as evidenced by the negative revenue growth rates and decreasing margins. The company has made significant strides in reducing leverage, which is a positive development. However, the declining free cash flow growth and return on equity indicate potential risks. Overall, while the company demonstrates effective cost management and reduced leverage, the declining revenue and cash flow trends pose challenges for future growth.

Income Statement

Yellow Pages has experienced a consistent decline in revenue over the years, with a TTM revenue growth rate of -1.97%. Despite this, the company maintains a reasonable net profit margin of 10.23% and an EBIT margin of 15.24% in the TTM period, indicating effective cost management. However, the declining gross profit margin from 38.81% in 2020 to 22.51% in the TTM period suggests increasing cost pressures.

Balance Sheet

The company's debt-to-equity ratio has improved from a high of 5.26 in 2020 to 0.73 in the TTM period, indicating a significant reduction in leverage. However, the return on equity has decreased from 205.79% in 2020 to 28.70% in the TTM period, reflecting reduced profitability relative to equity. The equity ratio stands at 28.76%, indicating a moderate level of equity financing.

Cash Flow

Yellow Pages' free cash flow has decreased over the years, with a TTM free cash flow growth rate of -3.49%. The operating cash flow to net income ratio of 1.06 in the TTM period suggests that the company generates sufficient cash from operations to cover its net income. However, the declining trend in free cash flow growth is a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	202.23M	214.83M	239.43M	268.28M	287.65M	333.54M
Gross Profit	40.79M	50.84M	76.86M	96.57M	102.00M	129.44M
EBITDA	33.26M	50.34M	77.09M	95.23M	89.62M	123.67M
Net Income	13.24M	24.98M	47.40M	73.43M	70.64M	60.30M
Balance Sheet
Total Assets	159.24M	163.87M	167.51M	207.30M	305.23M	367.91M
Cash, Cash Equivalents and Short-Term Investments	57.48M	46.46M	23.23M	45.61M	125.04M	154.70M
Total Debt	37.15M	39.94M	43.91M	47.13M	49.88M	153.99M
Total Liabilities	111.22M	110.07M	125.26M	141.52M	189.10M	338.61M
Stockholders Equity	48.02M	53.80M	42.26M	65.78M	116.13M	29.30M
Cash Flow
Free Cash Flow	29.95M	36.54M	42.81M	44.50M	99.50M	121.42M
Operating Cash Flow	31.61M	39.02M	46.77M	49.50M	104.58M	127.00M
Investing Cash Flow	556.00K	-513.00K	-2.50M	-3.67M	-4.48M	-3.01M
Financing Cash Flow	-17.37M	-17.54M	-64.94M	-125.49M	-130.03M	-14.91M

Yellow Pages Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 11.30
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:Y, the sentiment is Positive. The current price of 11.3 is below the 20-day moving average (MA) of 11.37, above the 50-day MA of 11.18, and above the 200-day MA of 10.62, indicating a bullish trend. The MACD of 0.05 indicates Positive momentum. The RSI at 55.89 is Neutral, neither overbought nor oversold. The STOCH value of 43.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:Y.

Yellow Pages Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Y	69 Neutral	$157.54M	11.76	23.61%	8.85%	-7.80%	-58.83%
ZOMD	67 Neutral	C$116.92M	4.79	81.28%	―	50.79%	213.45%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
GVC	51 Neutral	C$25.57M	-1.41	-47.89%	―	-3.78%	78.12%
FORA	49 Neutral	C$66.46M	-9.07	-6.82%	―	-4.04%	-297.93%
PNC.B	41 Neutral	C$99.06M	-1.28	―	―	8.98%	-55.35%

Yellow Pages Corporate Events

Yellow Pages Limited Reports Q3 2025 Financial Results and Declares Dividend

Yellow Pages Limited reported its third-quarter 2025 financial results, highlighting solid profitability and cash generation despite an 8.1% decline in total revenues. The company made progress on revenue initiatives, stabilizing customer count decline and maintaining strong renewal rates. A new executive leadership team was appointed to enhance strategic execution. The company also completed a $2.0 million voluntary pension plan contribution and declared a $0.25 dividend per common share.