Groupon Inc (NASDAQ: GRPN) – Time For Strategy Change?

Groupon Inc (NASDAQ:GRPN) currently has a daily average trading volume of 1.09M but it saw 1263548 shares traded in last market. With a market cap of 580.84M USD, the company’s current market price of $14.92 came falling about -3.12 while comparing to the previous closing price of $15.40. In past 52 weeks, the stock remained buoying in the range of price level as high as $19.56 and as low as $2.89.

Taking a look at 20-day trading activity of Groupon Inc (GRPN) gives us an average price of $17.53, while its current price level is -23.72% below from 52-week high level whereas it is 416.26% above from lowest level seen by the stock during that period. Simple moving average of 50 days or SMA-50 of the stock’s closing price is $15.66 while that of 200 days or SMA-200 reads an average of $11.59. A closer look into the stock’s movement over the week reveals that its volatility is standing at 16.60% during that period while stretching the period over a month that decreases to 8.35%. It is also necessary to take a look into other indicators of a stock too, to get a better idea about its price movement. And in doing so, we find stock’s 14-day relative strength index (RSI) standing at 42.64 which implies that the stock is in neutral territory.

The company’s shares got several price updates from the analyst firms in past one month and most recent of them is from the ROTH MKM which initiated the stock as “Buy” in its note to investors issued on October 13, 2023, recommending a price target of $30 for it.

Over the week, GRPN’s stock price is moving -17.52% down while it is -17.25% when we observe its performance for the past one month. Year-to-date it is 16.20% up and over the past year, the stock is showing an upside performance of 267.49%.

The latest quarterly earnings report issued by the company was for quarter ended 12/30/2023, when its quarterly earnings per share (EPS) of $0.3 beat the consensus estimate of $0.11 for the same. For GRPN, analysts are forecasting an EPS-growth rate of 226.90% for current year and estimate for EPS growth in next year is 62.10%. In next quarter, company is expected to be making quarterly sales of $120.62 million as analysts are expecting the sales for current fiscal year at $507.15 million and seeing the company making $534.44 million in sales next year. Moreover, analysts are in estimates of $120.44 million for current-quarter revenue.

Currently, Groupon Inc’s total number of outstanding shares is 31.85M with 16.72% of that held by the insiders while 80.86% of its common stock has been owned by the institutions. Company’s return on investment (ROI) stands at -29.44% and return on equity (ROE) at -584.21%. It has a 9.27 of forward P/E ratio. Stock’s beta reads 1.68. Stock has a price to sale or P/S ratio amounts to 1.13. Its return on asset (ROA) is -8.12% on average.