Overall Score

Brand Pricing Power

Yext appears to have some pricing power, with gross margin at 73.9% and EBITDA margin at 19.8%.

Revenue per share of 3.98 and price-to-sales of 1.34 suggest the market is valuing a steady but not dominant franchise.

Switching Costs Retention

The business still shows decent retention characteristics, supported by a 57.7-day operating cycle and 42.0-day cash conversion cycle.

Receivables turnover of 6.3x and payables turnover of 23.2x indicate a working-capital-light model, but not one that clearly implies a wide moat.

Scale Network Effects

Yext benefits from a software model with high gross margins, but there is no clear evidence of network effects or dominant scale advantages.

The company’s modest enterprise value to sales multiple of 1.63 suggests the market is not pricing in a strong structural moat.

Intangible Assets

The company has meaningful intangible assets, with intangibles representing 38.4% of total assets.

However, the balance sheet does not show a clearly differentiated IP moat, and tangible book value remains negative.

Cost Advantage

Yext’s capex burden is low, with capex at just 0.5% of revenue and capex-to-operating cash flow at 4.4%.

That said, SG&A at 42.8% of revenue and R&D at 20.1% of revenue indicate a cost structure that is not obviously superior to peers.

Efficiency Returns On Capital

Return on invested capital of 18.0% and return on capital employed of 20.8% indicate solid capital efficiency.

Operating return on assets of 8.7% and return on equity of 32.3% support the view that the business can generate respectable returns, though leverage inflates equity returns.

Overall Moat Assessment

Yext shows a moderate moat profile: good margins and decent capital returns, but no clear evidence of a durable wide moat.

The company appears competitive and efficient, yet the data does not point to strong network effects, switching costs, or a dominant cost advantage.