Yext (YEXT) AI Stock Analysis

• Market Cap: $666.30M
• Dividend Yield: N/A
• Average Volume (3M): 2.13M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.66
• 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: 122,933,030
• 10 Day Avg. Volume: 2,768,377
• 30 Day Avg. Volume: 2,133,672
• 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: 1.18
• Enterprise Value/Revenue: 1.76
• Enterprise Value/Gross Profit: 2.33
• Enterprise Value/Ebitda: 11.85
• 1Y Price Target: $10.00
• Price Target Upside: 23.30% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 0.61
• Revenue Forecast (FY): $467.49M

• Rating: 55 Neutral
• Price Target: $5.50 ▼(-32.18% Downside)
• Action: Reiterated Date: 02/25/26
• Date: Action: Reiterated 02/25/26

The score is held back primarily by weak technicals (price below all major moving averages, negative MACD) and challenging valuation signals (negative P/E, no dividend), partially offset by decent financial quality metrics such as strong gross margin and relatively solid cash generation despite declining revenue.

Positive Factors

High gross margin

Yext's 76% gross margin reflects strong SaaS product economics and recurring revenue. That durable margin provides a structural buffer to fund R&D, product improvements and support sales efforts, helping preserve profitability even during top-line weakness.

Strong cash conversion

An FCF-to-net-income ratio near 1.0 indicates Yext effectively converts accounting earnings into real cash. Reliable cash generation supports capital allocation choices — funding operations, servicing debt, or strategic initiatives — and enhances resilience across cycles.

Strategic partnerships

Recent and existing partnerships expand Yext's distribution and embed its Knowledge Engine into clients' marketing stacks. Durable channel and platform relationships improve customer acquisition, retention and product stickiness, supporting long-term subscription growth.

Negative Factors

Declining revenue

Sustained negative revenue growth undermines the subscription scale necessary for SaaS operating leverage. Falling ARR or subscription renewals reduce unit economics benefits, pressure margins and lengthen payback periods, limiting resources for growth investments.

Low return on equity

ROE of ~4.9% signals weak capital efficiency and limited ability to generate shareholder returns from invested equity. Over time, low ROE constrains compounding of shareholder value and may force higher capital raises or leverage to finance growth initiatives.

Negative FCF growth

A negative free cash flow growth trend reduces the cash available after capex despite healthy conversion ratios. Persistent declines in FCF growth limit reinvestment capacity, restrict strategic optionality and can pressure balance-sheet flexibility over the medium term.

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

Mixed fundamentals: strong gross margin (76%) and improved EBIT/EBITDA margins (2.95%/10.94%), plus solid cash conversion (FCF to net income 0.97). Offsetting this, revenue growth is negative and net margin remains very low (1.66%), with declining free cash flow growth.

Income Statement

Yext's income statement shows a mixed performance. The TTM data indicates a gross profit margin of 76%, which is strong for the software industry. However, the net profit margin is low at 1.66%, and the revenue growth rate is negative, indicating a decline in sales. The EBIT and EBITDA margins have improved to 2.95% and 10.94% respectively, showing better operational efficiency compared to previous periods.

Balance Sheet

The balance sheet reflects moderate financial stability. The debt-to-equity ratio is 0.57, indicating manageable leverage. Return on equity is low at 4.90%, suggesting limited profitability from shareholders' equity. The equity ratio stands at 27.92%, showing a reasonable level of equity financing.

Cash Flow

Cash flow analysis reveals a solid performance with an operating cash flow to net income ratio of 0.24 and a free cash flow to net income ratio of 0.97, indicating strong cash generation relative to net income. However, the free cash flow growth rate is negative, suggesting a decline in cash available after capital expenditures.

Breakdown	TTM	Jan 2025	Jan 2024	Jan 2023	Jan 2022	Jan 2021
Income Statement
Total Revenue	447.67M	420.96M	404.32M	400.85M	390.58M	354.66M
Gross Profit	338.12M	324.59M	316.85M	296.89M	292.28M	268.26M
EBITDA	66.57M	169.00K	24.74M	-36.89M	-65.36M	-71.17M
Net Income	26.38M	-27.95M	-2.63M	-65.94M	-93.26M	-94.69M
Balance Sheet
Total Assets	555.77M	610.08M	508.81M	523.76M	620.34M	595.99M
Cash, Cash Equivalents and Short-Term Investments	139.92M	123.13M	210.18M	190.21M	261.21M	230.41M
Total Debt	246.59M	95.41M	106.36M	118.69M	132.62M	137.75M
Total Liabilities	400.60M	456.88M	361.64M	395.74M	408.46M	388.75M
Stockholders Equity	155.17M	153.19M	147.17M	128.02M	211.87M	207.24M
Cash Flow
Free Cash Flow	62.69M	48.13M	43.43M	11.66M	8.43M	-63.91M
Operating Cash Flow	64.66M	50.21M	46.16M	17.85M	21.85M	1.20M
Investing Cash Flow	-20.77M	-91.49M	-2.73M	-6.19M	-13.42M	-65.11M
Financing Cash Flow	-5.26M	-28.54M	-23.25M	-79.02M	24.62M	22.55M

Yext Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 8.11
• 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 Negative. The current price of 8.11 is above the 20-day moving average (MA) of 5.64, above the 50-day MA of 7.05, and above the 200-day MA of 7.97, indicating a bearish trend. The MACD of -0.47 indicates Negative momentum. The RSI at 36.33 is Neutral, neither overbought nor oversold. The STOCH value of 49.33 is Neutral, 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
RAMP	73 Outperform	$1.63B	24.89	7.16%	―	10.13%	1280.04%
ATEN	70 Outperform	$1.36B	33.32	19.01%	1.33%	10.27%	3.52%
RDWR	69 Neutral	$970.54M	50.78	6.09%	―	10.40%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
YEXT	55 Neutral	$666.30M	―	16.74%	―	9.46%	―
VRNS	54 Neutral	$2.55B	-20.05	-24.53%	―	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.