Groupon (GRPN) Downgraded by BidaskClub to Hold

Groupon (NASDAQ:GRPN) was downgraded by equities research analysts at BidaskClub from a “buy” rating to a “hold” rating in a research note issued on Thursday.

A number of other analysts have also recently weighed in on the stock. Barclays reaffirmed a “sell” rating and set a $4.75 price target on shares of Groupon in a research report on Friday, May 11th. ValuEngine raised shares of Groupon from a “sell” rating to a “hold” rating in a research report on Friday, May 11th. UBS Group raised shares of Groupon from a “sell” rating to a “neutral” rating and upped their price objective for the company from $2.90 to $5.99 in a research report on Thursday, May 10th. Finally, Morgan Stanley raised shares of Groupon from an “underweight” rating to an “equal weight” rating and upped their price objective for the company from $4.27 to $4.40 in a research report on Monday, March 5th. Two equities research analysts have rated the stock with a sell rating, twelve have issued a hold rating, five have given a buy rating and one has given a strong buy rating to the stock. The stock has an average rating of “Hold” and a consensus target price of $5.32.

Shares of Groupon opened at $4.23 on Thursday, Marketbeat reports. The company has a debt-to-equity ratio of 0.55, a current ratio of 1.05 and a quick ratio of 1.05. Groupon has a twelve month low of $3.40 and a twelve month high of $5.99. The firm has a market cap of $2.50 billion, a P/E ratio of -141.00, a price-to-earnings-growth ratio of 8.14 and a beta of 1.34.

Groupon (NASDAQ:GRPN) last announced its quarterly earnings results on Wednesday, May 9th. The coupon company reported $0.03 earnings per share for the quarter. Groupon had a net margin of 1.13% and a return on equity of 6.53%. The firm had revenue of $626.54 million during the quarter, compared to analysts’ expectations of $604.16 million. During the same period in the prior year, the company earned $0.01 EPS. The firm’s revenue was down 7.0% on a year-over-year basis. sell-side analysts expect that Groupon will post 0.08 earnings per share for the current year.

Groupon announced that its Board of Directors has initiated a share repurchase plan on Wednesday, May 9th that authorizes the company to repurchase $300.00 million in outstanding shares. This repurchase authorization authorizes the coupon company to reacquire up to 11% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s board believes its stock is undervalued.

In other news, CAO Brian Stevens sold 15,000 shares of the company’s stock in a transaction dated Thursday, May 24th. The shares were sold at an average price of $4.62, for a total value of $69,300.00. Following the sale, the chief accounting officer now owns 220,484 shares in the company, valued at approximately $1,018,636.08. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Eric P. Lefkofsky sold 1,500,000 shares of the company’s stock in a transaction dated Thursday, June 7th. The shares were sold at an average price of $4.60, for a total transaction of $6,900,000.00. The disclosure for this sale can be found here. Corporate insiders own 16.90% of the company’s stock.

Several institutional investors have recently modified their holdings of the company. River & Mercantile Asset Management LLP raised its stake in shares of Groupon by 1.4% in the 1st quarter. River & Mercantile Asset Management LLP now owns 823,976 shares of the coupon company’s stock valued at $3,572,000 after purchasing an additional 11,516 shares in the last quarter. MetLife Investment Advisors LLC raised its stake in shares of Groupon by 8.3% in the 1st quarter. MetLife Investment Advisors LLC now owns 153,692 shares of the coupon company’s stock valued at $667,000 after purchasing an additional 11,764 shares in the last quarter. Baker Avenue Asset Management LP raised its stake in shares of Groupon by 5.7% in the 1st quarter. Baker Avenue Asset Management LP now owns 244,639 shares of the coupon company’s stock valued at $1,062,000 after purchasing an additional 13,173 shares in the last quarter. Commerzbank Aktiengesellschaft FI raised its stake in shares of Groupon by 4.0% in the 1st quarter. Commerzbank Aktiengesellschaft FI now owns 414,695 shares of the coupon company’s stock valued at $1,800,000 after purchasing an additional 16,107 shares in the last quarter. Finally, Swiss National Bank raised its stake in shares of Groupon by 2.5% in the 1st quarter. Swiss National Bank now owns 726,266 shares of the coupon company’s stock valued at $3,152,000 after purchasing an additional 17,400 shares in the last quarter. Institutional investors and hedge funds own 66.19% of the company’s stock.

About Groupon

Groupon, Inc operates online local commerce marketplaces that connect merchants to consumers by offering goods and services at a discount in North America and internationally. The company provides deals in various categories, including events and activities, beauty and spa, health and fitness, food and drink, home and garden, and automotive; and deals on various product lines, such as electronics, sporting goods, jewelries, toys, household items, and apparel, as well as provides discounted and market rates for hotel, airfare, and package deals.

Analyst Recommendations for Groupon (NASDAQ:GRPN)

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