Groupon (NASDAQ:GRPN) Trading 7.5% Higher – Should You Buy?

Groupon, Inc. (NASDAQ:GRPN) shares were up 7.5% during mid-day trading on Tuesday . The stock traded as high as $25.27 and last traded at $25.3140. 553,410 shares changed hands during mid-day trading, a decline of 66% from the average session volume of 1,636,607 shares. The stock had previously closed at $23.54.

Wall Street Analyst Weigh In

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

Groupon Stock Up 5.7%

The business’s 50 day simple moving average is $19.53 and its two-hundred day simple moving average is $15.77. The stock has a market cap of $945.17 million, a P/E ratio of -9.52 and a beta of 0.23.

Groupon (NASDAQ:GRPN) last announced its quarterly earnings results on Thursday, May 7th. The coupon company reported ($0.32) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.02) by ($0.30). The firm had revenue of $117.20 million for the quarter, compared to the consensus estimate of $117.65 million. As a group, research analysts forecast that Groupon, Inc. will post -0.16 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Groupon

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Versant Capital Management Inc boosted its holdings in Groupon by 92.7% in the second quarter. Versant Capital Management Inc now owns 1,299 shares of the coupon company’s stock valued at $31,000 after acquiring an additional 625 shares during the last quarter. Caitong International Asset Management Co. Ltd bought a new position in Groupon during the 3rd quarter worth approximately $32,000. Quarry LP raised its holdings in Groupon by 48.1% during the 3rd quarter. Quarry LP now owns 1,938 shares of the coupon company’s stock worth $45,000 after purchasing an additional 629 shares during the last quarter. Johnson Financial Group Inc. acquired a new position in shares of Groupon in the 4th quarter worth approximately $35,000. Finally, Raymond James Financial Inc. acquired a new position in shares of Groupon in the 2nd quarter worth approximately $69,000. 90.05% of the stock is owned by institutional investors and hedge funds.

About Groupon

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.