Groupon (NASDAQ:GRPN) Shares Break Above 200 Day Moving Average - Time to Sell?

Key Points

• Groupon shares broke above their 200-day moving average, reaching $19.83 and last trading at $19.71, versus a 200-day average of $19.07.
• Analyst sentiment remains cautious: Groupon has an average “Reduce” rating and a consensus price target of $26, with two analysts rating it Sell, one Hold, and one Buy.
• The company exceeded quarterly EPS expectations with a loss of $0.04 per share versus an expected loss of $0.06, though revenue of $124.67 million fell short of estimates; institutional investors own 90.05% of the stock.

Groupon, Inc. (NASDAQ:GRPN - Get Free Report) shares passed above its 200-day moving average during trading on Monday. The stock has a 200-day moving average of $19.07 and traded as high as $19.83. Groupon shares last traded at $19.71, with a volume of 667,745 shares changing hands.

Wall Street Analysts Forecast Growth

A number of equities research analysts have weighed in on GRPN shares. The Goldman Sachs Group restated a "sell" rating and issued a $22.00 target price on shares of Groupon in a research report on Monday, August 10th. Weiss Ratings reiterated a "sell (d-)" rating on shares of Groupon in a research report on Friday, September 4th. Northland Securities set a $30.00 price objective on Groupon in a research note on Monday, August 17th. Wall Street Zen upgraded Groupon from a "sell" rating to a "hold" rating in a report on Saturday, August 8th. Finally, Citigroup reaffirmed an "outperform" rating on shares of Groupon in a research note on Tuesday, June 9th. One analyst has rated the stock with a Buy rating, one has given a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, Groupon currently has an average rating of "Reduce" and an average price target of $26.00.

Groupon Stock Performance

The company's 50 day moving average is $21.14 and its 200 day moving average is $19.07. The stock has a market capitalization of $801.61 million, a price-to-earnings ratio of -6.34 and a beta of 0.20.

Groupon (NASDAQ:GRPN - Get Free Report) last posted its quarterly earnings data on Thursday, August 6th. The coupon company reported ($0.04) earnings per share for the quarter, topping the consensus estimate of ($0.06) by $0.02. The firm had revenue of $124.67 million for the quarter, compared to analyst estimates of $127.09 million. On average, equities research analysts anticipate that Groupon, Inc. will post -0.14 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Groupon

Hedge funds have recently bought and sold shares of the company. Versant Capital Management Inc boosted its stake in shares of Groupon by 92.7% during the 2nd quarter. Versant Capital Management Inc now owns 1,299 shares of the coupon company's stock worth $31,000 after acquiring an additional 625 shares during the period. Caitong International Asset Management Co. Ltd raised its stake in Groupon by 135.9% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 3,185 shares of the coupon company's stock valued at $56,000 after acquiring an additional 1,835 shares during the period. Royal Bank of Canada raised its stake in Groupon by 10.6% in the 1st quarter. Royal Bank of Canada now owns 7,618 shares of the coupon company's stock valued at $90,000 after acquiring an additional 731 shares during the period. Hennion & Walsh Asset Management Inc. raised its stake in Groupon by 13.4% in the 2nd quarter. Hennion & Walsh Asset Management Inc. now owns 13,129 shares of the coupon company's stock valued at $316,000 after acquiring an additional 1,553 shares during the period. Finally, Headlands Technologies LLC lifted its holdings in Groupon by 10.1% during the 2nd quarter. Headlands Technologies LLC now owns 15,054 shares of the coupon company's stock valued at $362,000 after purchasing an additional 1,382 shares during the last quarter. 90.05% of the stock is currently owned by institutional investors and hedge funds.

Groupon Company Profile

Groupon, Inc operates a global e-commerce marketplace that connects consumers with local businesses and merchants. Through its website and mobile applications, the company offers discounts and promotions on experiences, dining, beauty and wellness, entertainment, travel, and other products and services.

Groupon's platform enables merchants to reach new customers, promote their offerings, and manage digital marketing campaigns. Consumers can search for deals by location, category, and activity, while participating businesses use Groupon's marketplace and promotional tools to support customer acquisition.

Founded in 2008, Groupon initially became known for its “daily deals” model and subsequently expanded into a broader local commerce marketplace.

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