Yext (YEXT) AI Stock Analysis

• Market Cap: $1.02B
• Dividend Yield: N/A
• Average Volume (3M): 740.75K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.72
• Revenue Growth: 13.51%
• EPS Growth: N/A
• Country: US
• Employees: 1,150
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 0.12
• Shares Outstanding: 123,236,790
• 10 Day Avg. Volume: 740,223
• 30 Day Avg. Volume: 740,748
• PEG Ratio: -0.03
• Price to Book (P/B): 5.45
• Price to Sales (P/S): 1.98
• P/FCF Ratio: 17.34
• Enterprise Value/Market Cap: 1.03
• Enterprise Value/Revenue: 2.34
• Enterprise Value/Gross Profit: 3.07
• Enterprise Value/Ebitda: 21.57
• 1Y Price Target: $9.50
• Price Target Upside: 14.60% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: $8.50 ▲(2.53% Upside)

Yext's overall stock score is primarily influenced by its financial performance, which shows strong revenue growth and cash flow management but is hindered by profitability challenges. Technical analysis indicates a lack of strong momentum, and valuation metrics are weak due to a negative P/E ratio. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a steady demand for Yext's services, suggesting a strong market position and potential for future expansion.

Cash Flow Management

Strong cash flow growth enhances Yext's ability to invest in business operations and strategic initiatives, supporting long-term financial stability.

Gross Profit Margin

A high gross profit margin reflects efficient cost management, providing a buffer for Yext to improve profitability and invest in growth opportunities.

Negative Factors

Profitability Challenges

Negative profitability margins indicate that Yext is struggling to convert revenue into profit, which could hinder long-term financial health and investor confidence.

Return on Equity

A negative ROE suggests that Yext is not generating sufficient returns for shareholders, potentially impacting its attractiveness as an investment.

EBIT and EBITDA Margins

Low EBIT and EBITDA margins indicate limited operational efficiency, suggesting that Yext needs to optimize operations to enhance profitability.

Yext Business Overview & Revenue Model

Company Description

Yext (YEXT) is a technology company that specializes in digital knowledge management, helping businesses manage their online presence across various platforms. The company operates primarily in the technology sector, providing solutions that allow organizations to control their brand information across search engines, social media, maps, and other digital services. Yext's core products include its Knowledge Engine, which enables businesses to update and manage their information in real time, and its various tools for local SEO, reviews management, and analytics.

How the Company Makes Money

Yext generates revenue primarily through subscription-based models, offering a range of pricing tiers based on the features and services utilized by clients. Their key revenue streams include fees for their Knowledge Engine, which allows businesses to manage their digital knowledge effectively, as well as additional services related to local listings, review monitoring, and analytics. The company also benefits from partnerships with major platforms like Google, Facebook, and Yelp, which enhance its service offerings and attract more customers. Additionally, Yext may offer professional services and support, contributing to its overall revenue.

Yext Financial Statement Overview

Summary

Yext demonstrates solid revenue growth and effective cash flow management, with a 3.5% increase in revenue and a 39.95% growth in free cash flow. However, challenges in profitability are evident with a negative net profit margin and return on equity.

Income Statement

Yext has shown a positive trend in revenue growth with a 3.5% increase in the TTM period, indicating a steady demand for its services. The gross profit margin remains strong at approximately 76.5%, showcasing efficient cost management. However, the net profit margin is negative, reflecting challenges in achieving profitability. The EBIT and EBITDA margins have improved but remain low, suggesting room for operational efficiency improvements.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.65 in the TTM period, indicating a moderate level of leverage. However, the return on equity remains negative, highlighting ongoing profitability challenges. The equity ratio stands at a healthy level, suggesting a stable capital structure, but the negative ROE indicates that the company is not yet generating sufficient returns for shareholders.

Cash Flow

Yext's cash flow performance has been strong, with a significant 39.95% growth in free cash flow in the TTM period. The operating cash flow to net income ratio is positive, indicating effective cash generation relative to reported earnings. The free cash flow to net income ratio is close to 1, suggesting that the company is efficiently converting its earnings into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	449.66M	420.96M	404.32M	400.85M	390.58M	354.66M
Gross Profit	341.97M	324.59M	316.85M	296.89M	292.28M	268.26M
EBITDA	48.75M	169.00K	24.74M	-36.89M	-65.36M	-71.17M
Net Income	7.45M	-27.95M	-2.63M	-65.94M	-93.26M	-94.69M
Balance Sheet
Total Assets	626.17M	610.08M	508.81M	523.76M	620.34M	595.99M
Cash, Cash Equivalents and Short-Term Investments	178.76M	123.13M	210.18M	190.21M	261.21M	230.41M
Total Debt	86.89M	95.41M	106.36M	118.69M	132.62M	137.75M
Total Liabilities	473.64M	456.88M	361.64M	395.74M	408.46M	388.75M
Stockholders Equity	152.53M	153.19M	147.17M	128.02M	211.87M	207.24M
Cash Flow
Free Cash Flow	66.66M	48.13M	43.43M	11.66M	8.43M	-63.91M
Operating Cash Flow	68.68M	50.21M	46.16M	17.85M	21.85M	1.20M
Investing Cash Flow	-110.24M	-91.49M	-2.73M	-6.19M	-13.42M	-65.11M
Financing Cash Flow	14.21M	-28.54M	-23.25M	-79.02M	24.62M	22.55M

Yext Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 8.29
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YEXT, the sentiment is Negative. The current price of 8.29 is below the 20-day moving average (MA) of 8.46, below the 50-day MA of 8.51, and above the 200-day MA of 7.63, indicating a neutral trend. The MACD of -0.03 indicates Positive momentum. The RSI at 41.38 is Neutral, neither overbought nor oversold. The STOCH value of 12.25 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for YEXT.

Yext Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ATEN	77 Outperform	$1.21B	24.68	23.88%	1.45%	10.27%	3.52%
RAMP	75 Outperform	$1.81B	46.94	4.10%	―	10.13%	1280.04%
RDWR	65 Neutral	$948.49M	59.86	5.09%	―	10.40%	―
VRNT	62 Neutral	$1.23B	30.76	4.72%	―	-2.32%	7.70%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
YEXT	56 Neutral	$1.02B	―	4.72%	―	13.51%	―
VRNS	44 Neutral	$3.91B	―	-22.17%	―	11.37%	-34.44%

Yext Corporate Events

Yext Inc.’s Financial Flexibility at Risk Due to Restrictive Covenants and Debt Obligations

Yext Inc. faces significant business risks due to restrictive covenants in its credit agreement, which limit its ability to transfer assets, acquire companies, or engage in other strategic actions without lender consent. These restrictions could hinder Yext’s operational flexibility and prevent it from pursuing potentially beneficial opportunities. Additionally, the company’s obligations are secured by most of its assets, and failure to meet financial covenants could lead to accelerated debt obligations, posing further risks. The uncertainty of generating sufficient cash flow or securing future financing to meet these obligations exacerbates the potential adverse impact on Yext’s business.