Groupon (NASDAQ:GRPN – Get Free Report) and Global-e Online (NASDAQ:GLBE – Get Free Report) are both retail/wholesale companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, institutional ownership, dividends, risk, valuation, profitability and analyst recommendations.
Risk and Volatility
Groupon has a beta of 0.08, meaning that its share price is 92% less volatile than the S&P 500. Comparatively, Global-e Online has a beta of 1.24, meaning that its share price is 24% more volatile than the S&P 500.
Profitability
This table compares Groupon and Global-e Online’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Groupon | -28.52% | -717.37% | -22.78% |
| Global-e Online | 0.82% | 0.81% | 0.59% |
Valuation & Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Groupon | $492.56 million | 1.37 | -$59.03 million | ($3.49) | -4.74 |
| Global-e Online | $752.76 million | 8.62 | -$75.55 million | $0.03 | 1,273.67 |
Groupon has higher earnings, but lower revenue than Global-e Online. Groupon is trading at a lower price-to-earnings ratio than Global-e Online, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a breakdown of current ratings and target prices for Groupon and Global-e Online, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Groupon | 2 | 1 | 4 | 0 | 2.29 |
| Global-e Online | 2 | 1 | 10 | 0 | 2.62 |
Groupon currently has a consensus price target of $29.80, suggesting a potential upside of 80.28%. Global-e Online has a consensus price target of $49.45, suggesting a potential upside of 29.43%. Given Groupon’s higher possible upside, equities analysts plainly believe Groupon is more favorable than Global-e Online.
Insider and Institutional Ownership
90.1% of Groupon shares are held by institutional investors. Comparatively, 94.6% of Global-e Online shares are held by institutional investors. 35.7% of Groupon shares are held by company insiders. Comparatively, 11.6% of Global-e Online shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Summary
Global-e Online beats Groupon on 11 of the 14 factors compared between the two stocks.
About Groupon
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. The company was formerly known as ThePoint.com, Inc. and changed its name to Groupon, Inc. in October 2008. Groupon, Inc. was incorporated in 2008 and is headquartered in Chicago, Illinois.
About Global-e Online
Global-E Online Ltd., together with its subsidiaries, provides a platform to enable and accelerate direct-to-consumer cross-border e-commerce in Israel, the United Kingdom, the United States, and internationally. Its platform enables international shoppers to buy online and merchants to sell from, and to, worldwide. The company was incorporated in 2013 and is headquartered in Petah Tikva, Israel.
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