S&P 500
7,615.20
-0.09%
Dow Jones
51,320.00
-0.10%
Nasdaq 100
30,651.40
-0.21%
Russell 2000
2,928.58
-0.15%
FTSE 100
10,383.00
-0.05%
Nikkei 225
68,424.20
+1.37%

Retail

Groupon Pushes Growth Over Net Results (GRPN)

Photo of Jon C. Ogg
By Jon C. Ogg Updated Published
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Invalid Image
Groupon Inc. (NASDAQ: GRPN) may still be a troubled stock compared to the recent IPO trends.  A couple of issues are helping it overcome some woes so far today.  The CEO showed in his annual letter to shareholders that the recent bumpiness is due to the growth rates of Groupon.

The company now claims over 11,000 employees and has efforts in 44 countries as of now.  The CEO letter also noted an enormous and untapped opportunity in its core business: “Through smarter deal targeting, there is significant growth waiting to be unlocked in our core daily deal business.  In the United States alone, we have more than 10 million geo-located subscribers engaging with Groupon every month who have yet to make a purchase. We are kicking off a campaign to activate these customers, primarily by featuring deals that are closer to them; as you might imagine, deal proximity is a major driver of purchase behavior.”

Mobile is growing here as the rate of the total deals is now 30% mobile rather than 25% just four months ago.  Another benefit today is that a smaller firm called B. Riley upgraded the shares from Sell to a less negative Neutral rating.

Investors are so far cheering for Groupon this morning with it shares up 5.5% at $10.52 against a 52-week range of $9.82 to $31.14.  The online coupon and daily deals site still has a market value of $6.8 billion according to Yahoo! Finance.

Keep in mind that this Groupon IPO was at $20.00 and shares rose 50% at the IPO launch before losing their value and then some.

JON C. OGG

DISCLOSURE:
INVESTMENTS ARE NOT FDIC INSURED • ARE NOT BANK GUARANTEED • MAY LOSE VALUE Brokerage and Active investing products offered through SoFi Securities LLC, member FINRA(www.finra.org)/SIPC(www.sipc.org). Advisory services are offered by SoFi Wealth LLC, an SEC-registered investment adviser. Information about SoFi Wealth’s advisory operations, services, and fees is set forth in SoFi Wealth’s current Form ADV Part 2 (Brochure), a copy of which is available upon request and at www.adviserinfo.sec.gov. Probability of Member receiving $1,000 is a probability of 0.026%; If you don’t make a selection in 30 days, you’ll no longer qualify for the promo. Customer must fund their account with a minimum of $50.00 to qualify. Other fees, such as exchange fees, may apply. Please view our fee disclosure to view a full listing of fees. Investing in alternative investments and/or strategies may not be suitable for all investors and involves unique risks, including the risk of loss. An investor should consider their individual circumstances and any investment information, such as a prospectus, prior to investing. Interval Funds are illiquid instruments, the ability to trade on your timeline may be restricted. Brokerage and Active investing products offered through SoFi Securities LLC, Member FINRA(www.finra.org) /SIPC(www.sipc.org). There are limitations with fractional shares to consider before investing. During market hours fractional share orders are transmitted immediately in the order received. There may be system delays from receipt of your order until execution and market conditions may adversely impact execution prices. Outside of market hours orders are received on a not held basis and will be aggregated for each security then executed in the morning trade window of the next business day at market open. Share will be delivered at an average price received for executing the securities through a single batched order. Fractional shares may not be transferred to another firm. Fractional shares will be sold when a transfer or closure request is initiated. Please consider that selling securities is a taxable event. Options involve risks, including substantial risk of loss and the possibility an investor may lose the entire investment Before trading options please review the Characteristics and Risks of Standardized Options  Investing in an Initial Public Offering (IPO) involves substantial risk, including the risk of loss. Further, there are a variety of risk factors to consider when investing in an IPO, including but not limited to, unproven management, significant debt, and lack of operating history. For a comprehensive discussion of these risks please refer to SoFi Securities’ IPO Risk Disclosure Statement This should not be considered a recommendation to participate in IPOs and investors should carefully read the offering prospectus to determine whether an offering is consistent with their investment objectives, risk tolerance, and financial situation. New offerings generally have high demand and there are a limited number of shares available for distribution to participants. Many customers may not be allocated shares and share allocations may be significantly smaller than the shares requested in the customer’s initial offer (Indication of Interest). For more information on the allocation process please visit IPO Allocation.
Follow 24/7 Wall St. on Google
Photo of Jon C. Ogg
About the Author Jon C. Ogg →

Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.

Continue Reading

Jon C. Ogg |

When Analysts Matter Too Much (OPEN, GOOG, YELP, GRPN, P, FB)

Jon OggHow much should a Wall Street analyst call be worth?  Pointing out a buyout rumor or a large contract win…

Why Analysts Are Calling Out Groupon as ‘Dead Money’ for Now
Jon C. Ogg |

Why Analysts Are Calling Out Groupon as ‘Dead Money’ for Now

Groupon's efforts to expand have been a long journey with starts and stops, and many analysts are now treating the…

Jon C. Ogg |

Groupon Investors Overlook Net Loss for Buyback and Permanent CEO and Chairman News

courtesy of Groupon Inc.How do you help businesses draw in new customers by bringing discounts to consumers and still lose…

Jon C. Ogg |

Groupon Analyst Says Buy, Much More Upside in Groupon Stock Price

courtesy of Groupon Inc.It may sound too good to be true, but one analyst remains firmly positive about the recovery…

Lee Jackson |

Top Internet and Social Media Stocks to Buy for the Rest of 2014

These top Internet and social media names from Wunderlich should continue to remain fast growers over the years and could…

Top Analyst Says Avoid These 5 Technology Stocks
Lee Jackson |

Top Analyst Says Avoid These 5 Technology Stocks

While Wedbush is not pounding the table and screaming sell, the analysts just think there are much better opportunities than…

Chris Lange |

Making Heads or Tails out of Groupon Earnings

Thursday after the markets closed, Groupon reported its fourth-quarter financial results.

What Value Investors Need to Consider About Groupon Before and After Earnings
Jon C. Ogg |

What Value Investors Need to Consider About Groupon Before and After Earnings

The week of February 13 to 17 has another busy earnings calendar, but some investors are wondering how they should…

Jon C. Ogg |

Headwinds Surface For Groupon & Angie’s List (GRPN, ANGI)

There were some question initial public offerings when it comes to Internet stocks over the last year.  2012 is not…

Top Gaining Stocks

Hewlett Packard Enterprise
HPE • Vol: 153,197,465
Enphase Energy
ENPH • Vol: 8,360,053
Corning
GLW • Vol: 18,152,646
Alexandria Real Estate Equities
ARE • Vol: 4,337,015
Aptiv
APTV • Vol: 6,761,325

Top Losing Stocks

Trade Desk
TTD • Vol: 21,905,513
Intuit
INTU • Vol: 7,383,018
Coterra Energy
CTRA • Vol: 73,319,495
Cboe Global Markets
CBOE • Vol: 5,000,011
HP
HPQ • Vol: 29,259,826