Yext (YEXT) AI Stock Analysis

• Market Cap: $682.10M
• Dividend Yield: N/A
• Average Volume (3M): 3.50M
• Price to Earnings (P/E): 23.4
• Beta (1Y): 0.70
• Revenue Growth: 9.46%
• EPS Growth: N/A
• Country: US
• Employees: 1,150
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 0.14
• Shares Outstanding: 123,345,130
• 10 Day Avg. Volume: 4,696,288
• 30 Day Avg. Volume: 3,500,648
• PEG Ratio: -0.10
• Price to Book (P/B): 5.55
• Price to Sales (P/S): 1.98
• P/FCF Ratio: 16.60
• Enterprise Value/Market Cap: 0.90
• Enterprise Value/Revenue: 1.38
• Enterprise Value/Gross Profit: 1.84
• Enterprise Value/Ebitda: 9.58
• 1Y Price Target: $7.00
• Price Target Upside: 26.58% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 0.59
• Revenue Forecast (FY): $462.75M

• Rating: 59 Neutral
• Price Target: $6.00 ▲(8.50% Upside)
• Action: Reiterated Date: 03/10/26
• Date: Action: Reiterated 03/10/26

The score is primarily supported by improved profitability and consistently positive free cash flow, alongside better leverage. It is held back by a weak technical trend (below key moving averages with negative MACD) and valuation that is only moderate given the sharp 2026 revenue decline.

Positive Factors

High gross margins and improved profitability

Sustained ~74–78% gross margins provide durable earnings leverage for a SaaS business, enabling the company to convert recurring revenue into operating profit as costs are managed. Strong gross margins support margin resilience even if top-line growth stalls.

Consistent positive free cash flow

Multi-year positive free cash flow (≈$53M in 2026) demonstrates persistent cash generation capacity, providing funds for product investment, debt paydown and strategic initiatives. Even with FCF softening, continued cash conversion underpins financial flexibility.

Improved leverage and cleaner balance sheet

Material reduction in total debt and a lower debt-to-equity ratio improves financial resilience and reduces interest burden, giving management runway to invest in product and sales. A stronger capital structure lowers risk through revenue cycles.

Negative Factors

Sharp revenue decline in 2026

A roughly -24% revenue drop in 2026 signals erosion of core recurring sales or larger churn/booking weakness. For a subscription-led model, sustained top-line contraction threatens the durability of margins and cash flow and complicates long-term growth planning.

Turnaround durability remains uncertain

Profitability only recently recovered after multi-year losses, so the margin rebound may be fragile. If revenue pressure persists, the company could see margins compress and cash flow weaken, making the current profit profile potentially non-permanent.

Reduced investor guidance and external transparency

Eliminating forward guidance and quarterly calls is a structural change to disclosure that reduces external accountability and makes forward modeling harder for investors. While intended to focus on long-term execution, it increases informational asymmetry and governance scrutiny risk.

Yext Business Overview & Revenue Model

Company Description

Yext, Inc. organizes business facts to provide answers to consumer questions in North America and internationally. It operates Yext platform, a cloud-based platform that allows its customers to provide answers to consumer questions, to control the facts about their businesses and the content of their landing pages, and to manage their consumer reviews, as well as provides customers to update their information and content through its knowledge network of approximately 200 maps, apps, search engines, intelligent GPS systems, digital assistants, vertical directories, and social networks. The platform enables its customers to centralize, control and manage data fields, including store information, such as name, address, phone number and holiday hours; professional information, comprising of headshot, specialties, and education; job information, consisting of title and description; and FAQs and other information. It serves the healthcare, retail, and financial services industries. The company was incorporated in 2006 and is headquartered in New York, New York.

How the Company Makes Money

Yext generates revenue primarily through subscription fees for its software-as-a-service (SaaS) offerings. The company provides a range of products that allow businesses to manage their online information, improve their search rankings, and enhance customer engagement. Key revenue streams include monthly or annual subscription fees from clients who utilize the Yext Knowledge Engine and related services. Additionally, Yext offers premium features and add-ons that can increase revenue per customer. The company has formed significant partnerships with major platforms such as Google, Facebook, and Amazon, which enhance its service offerings and drive customer adoption. Furthermore, Yext benefits from a growing demand for businesses to maintain accurate and consistent information across digital platforms, contributing to its overall earnings.

Yext Financial Statement Overview

Summary

Profitability and cash generation have improved materially (strong gross margins, 2026 net/EBITDA profitability, and consistently positive free cash flow). The key offset is durability: revenue fell sharply in 2026 and free cash flow declined year over year, raising uncertainty about how sustainable the turnaround is.

Income Statement

Profitability has improved meaningfully: the company moved from sizable losses in 2021–2023 to near break-even in 2024 and solid profitability in 2026 (annual net margin ~8.5% with EBITDA margin ~10%). Gross margin remains consistently strong (~74–78%), supporting earnings leverage as costs are brought under control. The main concern is growth durability—revenue turned sharply negative in 2026 (about -24% year over year) after modest growth in prior years, which raises questions about the sustainability of the recent profit rebound.

Balance Sheet

Leverage has improved, with total debt declining from ~119M (2023) to ~81M (2026) and debt-to-equity falling to ~0.50, indicating a cleaner capital structure than a few years ago. Equity is positive and has been relatively stable, and returns improved to a strong positive level in 2026. Offsetting this, the balance sheet is not especially under-levered for a software company, and profitability/returns were negative as recently as 2025—so the current strength still needs to prove it can persist through the cycle.

Cash Flow

Cash generation is a clear strength: operating cash flow and free cash flow are positive across recent years and expanded substantially versus the very weak 2021 period, with 2026 free cash flow of ~53M and strong conversion relative to net income (free cash flow roughly in line with earnings). However, cash flow momentum softened in 2026 (free cash flow down ~15% year over year), and operating cash flow as a share of revenue remains modest, suggesting limited cushion if revenue pressure continues.

Breakdown	Jan 2026	Jan 2025	Jan 2024	Jan 2023	Jan 2022
Income Statement
Total Revenue	446.58M	420.96M	404.32M	400.85M	390.58M
Gross Profit	335.04M	324.59M	316.85M	296.89M	292.28M
EBITDA	64.09M	169.00K	24.74M	-36.89M	-65.36M
Net Income	37.87M	-27.95M	-2.63M	-65.94M	-93.26M
Balance Sheet
Total Assets	621.78M	610.08M	508.81M	523.76M	620.34M
Cash, Cash Equivalents and Short-Term Investments	154.12M	123.13M	210.18M	190.21M	261.21M
Total Debt	178.46M	95.41M	106.36M	118.69M	132.62M
Total Liabilities	462.36M	456.88M	361.64M	395.74M	408.46M
Stockholders Equity	159.42M	153.19M	147.17M	128.02M	211.87M
Cash Flow
Free Cash Flow	53.29M	48.13M	43.43M	11.66M	8.43M
Operating Cash Flow	55.85M	50.21M	46.16M	17.85M	21.85M
Investing Cash Flow	-21.36M	-91.49M	-2.73M	-6.19M	-13.42M
Financing Cash Flow	-9.52M	-28.54M	-23.25M	-79.02M	24.62M

Yext Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 5.53
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YEXT, the sentiment is Neutral. The current price of 5.53 is above the 20-day moving average (MA) of 5.52, below the 50-day MA of 6.29, and below the 200-day MA of 7.88, indicating a neutral trend. The MACD of -0.20 indicates Negative momentum. The RSI at 44.27 is Neutral, neither overbought nor oversold. The STOCH value of 47.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for YEXT.

Yext Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RAMP	73 Outperform	$1.76B	11.84	7.23%	―	10.13%	1280.04%
ATEN	70 Outperform	$1.53B	30.33	20.61%	1.33%	10.27%	3.52%
RDWR	69 Neutral	$1.11B	50.99	5.95%	―	10.40%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
YEXT	59 Neutral	$682.10M	23.36	24.87%	―	9.46%	―
VRNS	54 Neutral	$2.85B	-38.13	-27.04%	―	11.37%	-34.44%

Yext Corporate Events

Yext Grants Cash Retention Bonuses to Key Executives

On February 24, 2026, Yext, Inc.’s compensation committee approved cash retention bonuses for two of its named executive officers, underscoring efforts to secure key leadership through the end of fiscal 2027. Chief Financial Officer Darryl Bond is scheduled to receive $28,280, while EVP and General Counsel Ho Shin will receive $310,065, with both amounts payable in a lump sum on the first payroll date following the close of fiscal 2027.

These retention awards signal the company’s intent to maintain stability in its finance and legal leadership during a critical planning horizon. Stakeholders may view the move as an indication that Yext is prioritizing continuity in senior management as it navigates its strategic and financial objectives over the next fiscal cycle.

The most recent analyst rating on (YEXT) stock is a Hold with a $5.50 price target. To see the full list of analyst forecasts on Yext stock, see the YEXT Stock Forecast page.