Groupon (NASDAQ:GRPN) Trading Down 7.6% – What’s Next?

Groupon, Inc. (NASDAQ:GRPN)’s share price dropped 7.6% on Friday . The company traded as low as $21.14 and last traded at $21.1450. Approximately 716,333 shares traded hands during mid-day trading, a decline of 56% from the average session volume of 1,612,651 shares. The stock had previously closed at $22.88.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on the company. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Groupon in a research report on Tuesday, June 9th. Northland Securities set a $26.00 price target on Groupon in a report on Wednesday, May 27th. The Goldman Sachs Group restated a “sell” rating and set a $13.00 price target (up from $10.00) on shares of Groupon in a research note on Tuesday, May 12th. Citigroup restated an “outperform” rating on shares of Groupon in a report on Tuesday, June 9th. Finally, Wall Street Zen lowered shares of Groupon from a “hold” rating to a “sell” rating in a research report on Saturday, May 9th. Two analysts have rated the stock with a Buy rating, one has given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of “Hold” and a consensus target price of $19.50.

Groupon Price Performance

The business’s fifty day moving average price is $17.03 and its two-hundred day moving average price is $15.05. The stock has a market capitalization of $847.22 million, a PE ratio of -8.56 and a beta of 0.25.

Groupon (NASDAQ:GRPN) last issued its earnings results on Thursday, May 7th. The coupon company reported ($0.32) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.02) by ($0.30). Groupon had a negative return on equity of 717.37% and a negative net margin of 20.78%.The firm had revenue of $117.20 million during the quarter, compared to analysts’ expectations of $117.65 million. As a group, equities research analysts anticipate that Groupon, Inc. will post -0.16 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of GRPN. Vanguard Group Inc. lifted its holdings in shares of Groupon by 22.2% during the third quarter. Vanguard Group Inc. now owns 2,108,578 shares of the coupon company’s stock worth $49,235,000 after purchasing an additional 383,277 shares during the period. Bank of America Corp DE raised its position in Groupon by 552.5% during the 2nd quarter. Bank of America Corp DE now owns 1,136,524 shares of the coupon company’s stock worth $38,017,000 after buying an additional 962,337 shares during the last quarter. Tyro Capital Management LLC lifted its stake in Groupon by 6.8% during the 3rd quarter. Tyro Capital Management LLC now owns 1,091,095 shares of the coupon company’s stock valued at $25,477,000 after acquiring an additional 69,378 shares during the period. Garnet Equity Capital Holdings Inc. lifted its stake in Groupon by 4.4% during the 4th quarter. Garnet Equity Capital Holdings Inc. now owns 958,660 shares of the coupon company’s stock valued at $16,882,000 after acquiring an additional 40,000 shares during the period. Finally, State Street Corp lifted its stake in Groupon by 25.8% during the 4th quarter. State Street Corp now owns 881,422 shares of the coupon company’s stock valued at $15,522,000 after acquiring an additional 180,992 shares during the period. 90.05% of the stock is currently owned by hedge funds and other institutional investors.

Groupon Company Profile

Groupon, Inc operates an online marketplace that connects subscribers with local merchants offering discounted goods, services and experiences. Through its website and mobile applications, Groupon provides time-limited deals across categories such as restaurants, travel, beauty and wellness, home services, and consumer products. Merchants partner with Groupon to attract new customers and drive foot traffic, leveraging the platform’s targeted marketing tools and large subscriber base to promote special offers and vouchers.

Founded in Chicago in 2008 by Andrew Mason, Eric Lefkofsky and Brad Keywell, Groupon pioneered the daily-deals model, quickly growing its user community and merchant network.