Stick With Groupon Inc. (GRPN). The Bull Are Alive And Well


    The Vanguard Group, Inc. recently announced the acquisition of new stake in Groupon Inc. (NASDAQ:GRPN). The institutional investor has increased its shareholding in the Communication Services company by 1.08% to 2.16 million shares with purchase of 23079.0 shares. This fresh investment now brings its stake to 7.55% valued currently at $39.15 million. In addition, SSgA Funds Management, Inc. raised its holdings by 2711.0 to 0.53 million shares. And Pictet Asset Management SA has lifted its position by 92.06% or 0.19 million shares – to 0.4 million shares.

    With over 0.83 million Groupon Inc. (GRPN) shares trading Friday and a closing price of $15.35 on the day, the dollar volume was approximately $12.67 million. The shares have shown a negative weekly performance of -4.36% and its price on 07/31/20 lost nearly -0.58%. Currently, there are 28.37M common shares owned by the public and among those 22.19M shares have been available to trade.

    An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 11 analysts who have offered their price forecasts for GRPN have a consensus price objective of $23.91. The analysts have set the share’s price value over the next 12 months at a high of $32.00 and a low of $15.20 should the stock experience a downside. Incidentally, analysts’ outlook for the Groupon Inc. stock is 2.90 for the next 12 months. The average price target is 37.09% above its last price level and an upside to the estimated low will see the stock lose -0.99% over that period. But an upside of 52.03% will see the stock hit the forecast high price target while mean target price for the stock is $22.00.

    Insiders at the company have transacted a total of 69 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 35 of these insider trades were purchases, accounting for 3,401,468 shares. Insider sales of the common stock occurred on 34 occasions, with total insider shares sold totaling 2,710,506 shares.

    The top 3 mutual fund holders in Groupon Inc. are First Trust Dow Jones Internet In, Vanguard Total Stock Market Index, and Vanguard Small Cap Index Fund. First Trust Dow Jones Internet In owns 1.74 million shares of the company’s stock, all valued at over $31.47 million. The company bought an additional 9594.0 shares recently to bring their total holdings to about 6.07% of the shares outstanding. Vanguard Total Stock Market Index bought 1146.0 shares to see its total holdings expand to 0.69 million shares valued at over $12.46 million and representing 2.40% of the shares outstanding. Vanguard Small Cap Index Fund sold 14390.0 shares to bring its total holdings to over 0.61 million shares at a value of $10.96 million. Vanguard Small Cap Index Fund now owns shares totaling to 2.11% of the shares outstanding.

    Shares of Groupon Inc. (NASDAQ: GRPN) opened at $15.41, down -$0.03 from a prior closing price of $15.44. However, the script later closed the day at $15.35, down -0.58%. The company’s stock has a 5-day price change of -4.36% and -36.04% over the past three months. GRPN shares are trading -67.89% year to date (YTD), with the 12-month market performance down to -75.24% lower. It has a 12-month low price of $9.60 and touched a high of $67.20 over the same period. Currently, 0.83 million shares have been traded, compared to an average intraday trading volume of 1.45 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by -7.59%, -26.70%, and -57.38% respectively.

    Institutional ownership of Groupon Inc. (NASDAQ: GRPN) shares accounts for 54.00% of the company’s 28.37M shares outstanding. Mutual fund holders own 28.60%, while other institutional holders and individual stakeholders account for 30.60% and — respectively.

    It has a market capitalization of $449.91M and a beta (3y monthly) value of 1.65. The earnings-per-share (ttm) stands at -$6.83. Price movements for the stock have been influenced by the stock’s volatility, which stands at 4.34% over the week and 5.46% over the month.

    Analysts forecast that Groupon Inc. (GRPN) will achieve an EPS of -$2.75 for the current quarter, -$1.39 for the next quarter and -$0.41 for 2021. The lowest estimate earnings-per-share for the quarter is -$3.75 while analysts give the company a high EPS estimate of -$1.7. Comparatively, EPS for the current quarter was $0.2 a year ago. Earnings per share for the fiscal year are expected to decrease by -125.10%, and 92.70% over the next financial year.

    If you are looking to buy this stock, then you may note that the average analyst recommendation by 11 brokerage firm advisors rate Groupon Inc. (GRPN) as a “Moderate Buy” at a consensus score of 2.90. Specifically, 4 Wall Street analysts polled rate the stock as a buy, while 4 of the 11 advise that investors “hold,” and 3 rated it as a “Sell.”

    Looking at the support for the GRPN, a number of firms have released research notes about the stock. DA Davidson stated their Buy rating for the stock in a research note on June 17, 2020, with the firm’s price target at $23-$32. UBS coverage for the Groupon Inc. (GRPN) stock in a research note released on January 17, 2020 offered a Buy rating with a price target of $3.50. Goldman was of a view on December 17, 2019 that the stock is Sell, while JP Morgan gave the stock Underweight rating on November 06, 2019, issuing a price target of . Goldman on their part issued Neutral rating on February 04, 2019.


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