Citi analyst Mark May believes the 27% post-earnings pullback Friday in shares of Yelp is understandable as the company's growth slowed, "and this represents another sales-related execution issue." However, now is not the time to throw in the towel on the stock, May tells investors in a research note. The factors driving the latest missteps appear addressable and similar to past issues that the company has ultimately worked through, says the analyst. Further, May notes that management has been able to improve margins and maintain profit growth. In addition, the valuation "is at levels that have represented a floor historically," May writes. He keeps a Buy rating on Yelp.

Jefferies raised the firm's price target on Yelp to $43 from $42 and keeps a Hold rating on the shares. In a preview note for the U.S. Internet group, the firm says it will be looking for signs of sustainability in elevated ARPU growth at Yelp, especially as locations/app MAUs remain in decline.