CNBC:
Yelp cratered as much as 32 percent Friday, a day after releasing third-quarter earnings that revealed advertisers are abandoning the site and denting revenue.
Shares fell as low as $29.33, a new 52-week low, before paring some losses to close nearly 27 percent down at $31.92. The plunge makes for the stock's worst day of trading since going public in 2012.
Yelp added zero net new advertising customers during the quarter. Yelp earlier this year switched from long-term advertising contracts in local markets to more flexible, nonterm contracts. That change resulted in significant contract cancellations.
The change in contract terms was cited as the reason for the decline.
(Score: 0) by Anonymous Coward on Sunday November 11 2018, @01:49AM
The "product" they sell as the front of the extortion racket is the ads. Basically, when you type in "restaurants" it shows ads for their featured listings. Makes both parties look better if the featured listings don't have those bad reviews, or if the bad ones they do show appear to be from some unhinged nutjob who writes letters to the editor about "Shillary" or "Trumpelstiltskin"