Groupon Inc. [GRPN] fell -40.54% so far this year. What now?

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Groupon Inc. [NASDAQ: GRPN] traded at a high on 09/22/21, posting a 6.11 gain after which it closed the day’ session at $22.59. The company report on September 8, 2021 that GROUPON ALERT: Bragar Eagel & Squire, P.C. is Investigating Groupon, Inc. on Behalf of Long-Term Stockholders and Encourages Investors to Contact the Firm.

Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, is investigating potential claims against Groupon, Inc. (NASDAQ: GRPN) on behalf of long-term stockholders following a class action complaint that was filed against Groupon on April 28, 2020. Our investigation concerns whether the board of directors of Groupon have breached their fiduciary duties to the company.

The complaint alleges that throughout the Class Period defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, defendants failed to disclose to investors: (1) that the Company was experiencing fewer customer engagements in its Goods category; (2) that Groupon relied on its Goods category to drive its sales, especially during the holiday season; (3) that, as a result of the foregoing, the Company was likely to experience reduced sales; and (4) that, as a result of the foregoing, defendants’ positive statements about the Company’s business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.

The results of the trading session contributed to over 1045412 shares changing hands. Over the past one week, the price volatility of Groupon Inc. stands at 4.33% while the volatility over the past one month is 4.38%.

The market cap for GRPN stock reached $643.36 million, with 29.27 million shares outstanding and 24.82 million shares in the current float. Compared to the average trading volume of 1.10M shares, GRPN reached a trading volume of 1045412 in the most recent trading day, which is why market watchdogs consider the stock to be active.

What do top market gurus say about Groupon Inc. [GRPN]?

Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for GRPN shares is $34.08 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on GRPN stock is a recommendation set at 3.20. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.

Barclays have made an estimate for Groupon Inc. shares, keeping their opinion on the stock as Underweight, with their previous recommendation back on June 28, 2021. While these analysts kept the previous recommendation, JP Morgan raised their target price from $23 to $48. The new note on the price target was released on March 01, 2021, representing the official price target for Groupon Inc. stock. Previously, the target price had yet another raise to $18, while Barclays analysts kept a Underweight rating on GRPN stock. On June 17, 2020, analysts increased their price target for GRPN shares from 23 to 32.

The Average True Range (ATR) for Groupon Inc. is set at 1.07, with the Price to Sales ratio for GRPN stock in the period of the last 12 months amounting to 0.55. The Price to Book ratio for the last quarter was 11.89, with the Price to Cash per share for the same quarter was set at 19.84.

How has GRPN stock performed recently?

Groupon Inc. [GRPN] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 4.73. With this latest performance, GRPN shares dropped by -2.96% in over the last four-week period, additionally sinking by -49.97% over the last 6 months – not to mention a drop of -12.95% in the past year of trading.

Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for GRPN stock in for the last two-week period is set at 41.19, with the RSI for the last a single of trading hit 49.10, and the three-weeks RSI is set at 37.00 for Groupon Inc. [GRPN]. The present Moving Average for the last 50 days of trading for this stock 28.35, while it was recorded at 21.80 for the last single week of trading, and 40.10 for the last 200 days.

Groupon Inc. [GRPN]: Deeper insight into the fundamentals

Operating Margin for any stock indicates how profitable investing would be, and Groupon Inc. [GRPN] shares currently have an operating margin of -5.68 and a Gross Margin at +44.99. Groupon Inc.’s Net Margin is presently recorded at -20.35.

Return on Total Capital for GRPN is now -11.22, given the latest momentum, and Return on Invested Capital for the company is -49.98. Return on Equity for this stock declined to -114.95, with Return on Assets sitting at -19.23. When it comes to the capital structure of this company, Groupon Inc. [GRPN] has a Total Debt to Total Equity ratio set at 519.06. Additionally, GRPN Total Debt to Total Capital is recorded at 83.85, with Total Debt to Total Assets ending up at 39.60. Long-Term Debt to Equity for the company is recorded at 298.26, with the Long-Term Debt to Total Capital now at 48.18.

Reflecting on the efficiency of the workforce at the company, Groupon Inc. [GRPN] managed to generate an average of -$69,323 per employee. Receivables Turnover for the company is 26.19 with a Total Asset Turnover recorded at a value of 0.95.Groupon Inc.’s liquidity data is similarly interesting compelling, with a Current Ratio set at 0.90.

Insider trade positions for Groupon Inc. [GRPN]

There are presently around $475 million, or 72.10% of GRPN stock, in the hands of institutional investors. The top three institutional holders of GRPN stocks are: VANGUARD GROUP INC with ownership of 2,214,334, which is approximately 0.666% of the company’s market cap and around 1.80% of the total institutional ownership; BLACKROCK INC., holding 1,597,894 shares of the stock with an approximate value of $36.1 million in GRPN stocks shares; and PAR CAPITAL MANAGEMENT INC, currently with $30.94 million in GRPN stock with ownership of nearly 9.167% of the company’s market capitalization.

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Positions in Groupon Inc. stocks held by institutional investors increased at the end of August and at the time of the August reporting period, where 81 institutional holders increased their position in Groupon Inc. [NASDAQ:GRPN] by around 4,792,529 shares. Additionally, 75 investors decreased positions by around 4,197,604 shares, while 26 investors held positions by with 12,034,639 shares. The mentioned changes placed institutional holdings at 21,024,772 shares, according to the latest SEC report filing. GRPN stock had 32 new institutional investments in for a total of 980,336 shares, while 28 institutional investors sold positions of 1,718,358 shares during the same period.

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