Groupon (NASDAQ:GRPN) Shares Gap Up - Should You Buy?

Key Points

• Groupon's stock price gapped up from **$22.83** to **$23.80** before market opening, with the last traded price at **$23.85** and a volume of **169,177** shares.
• Analysts have issued mixed ratings, with **Northland Securities** raising their price target to **$44.00** and **Roth Capital** to **$47.00**, while the company has a consensus rating of **"Moderate Buy"** with an average target price of **$29.80**.
• Groupon reported **$0.46 earnings per share**, significantly beating the consensus estimate of **($0.02)**, and had revenues of **$125.70 million** for the last quarter.

Groupon, Inc. (NASDAQ:GRPN - Get Free Report)'s stock price gapped up before the market opened on Monday . The stock had previously closed at $22.83, but opened at $23.80. Groupon shares last traded at $23.85, with a volume of 169,177 shares.

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on GRPN shares. UBS Group started coverage on Groupon in a research report on Thursday, August 7th. They set a "mixed" rating on the stock. Northland Securities raised their target price on Groupon from $39.00 to $44.00 and gave the company an "outperform" rating in a report on Monday, August 11th. Wall Street Zen downgraded Groupon from a "strong-buy" rating to a "buy" rating in a report on Friday, September 5th. Finally, Roth Capital raised their target price on Groupon from $33.00 to $47.00 and gave the company a "buy" rating in a report on Friday, June 20th. Four analysts have rated the stock with a Buy rating and one has issued a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $29.80.

Groupon Stock Performance

The company has a debt-to-equity ratio of 4.16, a quick ratio of 0.96 and a current ratio of 0.96. The company has a market cap of $895.44 million, a price-to-earnings ratio of -92.19 and a beta of 0.68. The company has a fifty day moving average of $29.81 and a two-hundred day moving average of $25.52.

Groupon (NASDAQ:GRPN - Get Free Report) last released its quarterly earnings data on Wednesday, August 6th. The coupon company reported $0.46 earnings per share for the quarter, beating the consensus estimate of ($0.02) by $0.48. Groupon had a negative return on equity of 19.61% and a negative net margin of 1.89%.The company had revenue of $125.70 million for the quarter, compared to the consensus estimate of $122.46 million. Equities research analysts anticipate that Groupon, Inc. will post -0.31 EPS for the current year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of GRPN. USA Financial Formulas bought a new position in shares of Groupon in the 2nd quarter worth about $57,000. Raymond James Financial Inc. bought a new position in shares of Groupon in the 2nd quarter worth about $69,000. AlphaQuest LLC raised its position in shares of Groupon by 383.5% in the 1st quarter. AlphaQuest LLC now owns 3,718 shares of the coupon company's stock worth $70,000 after acquiring an additional 2,949 shares in the last quarter. Tower Research Capital LLC TRC increased its position in Groupon by 386.1% in the 2nd quarter. Tower Research Capital LLC TRC now owns 2,547 shares of the coupon company's stock valued at $85,000 after buying an additional 2,023 shares in the last quarter. Finally, CANADA LIFE ASSURANCE Co bought a new stake in Groupon in the 2nd quarter valued at about $110,000. 90.05% of the stock is owned by institutional investors and hedge funds.

Groupon Company Profile

Groupon, Inc, together with its subsidiaries, operates a marketplace that connects consumers to merchants. It operates in two segments, North America and International. The company sells goods or services on behalf of third-party merchants. It serves customers through its mobile applications and websites.

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