Groupon (NASDAQ:GRPN) Posts Earnings Results, Beats Expectations By $0.02 EPS

Key Points

• Groupon beat earnings expectations: The company reported a quarterly loss of $0.04 per share, $0.02 better than analysts’ estimate, but revenue of $124.67 million fell short of the $127.09 million consensus.
• Shares remain volatile: GRPN traded at $25.03, near its 52-week range of $9.17 to $37.06, with the stock’s 50-day and 200-day moving averages at $22.91 and $17.10, respectively.
• Analyst sentiment is mixed: Groupon has an average “Hold” rating and a consensus price target of $19.50, while institutional investors and hedge funds own approximately 90.05% of the shares.

Groupon (NASDAQ:GRPN - Get Free Report) announced its quarterly earnings data on Thursday. The coupon company reported ($0.04) EPS for the quarter, beating analysts' consensus estimates of ($0.06) by $0.02, FiscalAI reports. The business had revenue of $124.67 million during the quarter, compared to analysts' expectations of $127.09 million.

Groupon Stock Performance

GRPN traded down $0.12 on Friday, reaching $25.03. 2,576,241 shares of the company's stock were exchanged, compared to its average volume of 1,509,221. The company's 50 day moving average is $22.91 and its 200-day moving average is $17.10. The company has a market cap of $950.64 million, a price-to-earnings ratio of -8.05 and a beta of 0.23. Groupon has a twelve month low of $9.17 and a twelve month high of $37.06.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of GRPN. Bank of America Corp DE boosted its holdings in Groupon by 552.5% in 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 acquiring an additional 962,337 shares during the period. Millennium Management LLC raised its stake in shares of Groupon by 749.0% during the fourth quarter. Millennium Management LLC now owns 791,498 shares of the coupon company's stock valued at $13,938,000 after purchasing an additional 698,270 shares during the period. Vanguard Group Inc. raised its stake 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 valued at $49,235,000 after purchasing an additional 383,277 shares during the period. ExodusPoint Capital Management LP acquired a new position in shares of Groupon during the fourth quarter worth $5,993,000. Finally, Balyasny Asset Management L.P. acquired a new position in shares of Groupon during the second quarter worth $6,498,000. 90.05% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

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

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.

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