4 analysts have expressed a variety of opinions on Groupon (NASDAQ:GRPN) over the past quarter, offering a diverse set of opinions from bullish to bearish.
The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 1 | 2 | 0 | 0 | 1 |
| Last 30D | 0 | 0 | 0 | 0 | 1 |
| 1M Ago | 1 | 1 | 0 | 0 | 0 |
| 2M Ago | 0 | 1 | 0 | 0 | 0 |
| 3M Ago | 0 | 0 | 0 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for Groupon, presenting an average target of $17.75, a high estimate of $26.00, and a low estimate of $8.00. This current average has decreased by 7.79% from the previous average price target of $19.25.
Decoding Analyst Ratings: A Detailed Look
A comprehensive examination of how financial experts perceive Groupon is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Eric Sheridan | Goldman Sachs | Lowers | Sell | $8.00 | $11.00 |
| Bobby Brooks | Northland Capital Markets | Lowers | Outperform | $17.00 | $20.00 |
| Sean McGowan | Roth MKM | Maintains | Buy | $26.00 | $26.00 |
| Bobby Brooks | Northland Capital Markets | Maintains | Outperform | $20.00 | $20.00 |
Key Insights: Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Groupon. This insight gives a snapshot of analysts' perspectives on the current state of the company. Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Groupon compared to the broader market. Price Targets: Gaining insights, analysts provide estimates for the future value of Groupon's stock. This comparison reveals trends in analysts' expectations over time.
Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Groupon's market standing. Stay informed and make data-driven decisions with our Ratings Table.
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About Groupon
Groupon Inc acts as the middleman between consumers and merchants, offering a variety of products and services at discounts via its online store. It offers consumers daily deals from local merchants. The company's operations are organized into two segments: North America and International. The company generates the majority of its revenue from North America. The company generates revenue from transactions during which the company generates commissions by selling goods or services on behalf of third-party merchants. Revenue also includes commissions the company earn when customers make purchases with retailers using digital coupons accessed through its digital properties.
Unraveling the Financial Story of Groupon
Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.
Revenue Challenges: Groupon's revenue growth over 3 months faced difficulties. As of 30 June, 2024, the company experienced a decline of approximately -3.48%. This indicates a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Consumer Discretionary sector.
Net Margin: Groupon's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of -8.05%, the company may encounter challenges in effective cost control.
Return on Equity (ROE): Groupon's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -24.66%, the company may face hurdles in achieving optimal financial returns.
Return on Assets (ROA): Groupon's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -1.74%, the company may face hurdles in generating optimal returns from its assets.
Debt Management: Groupon's debt-to-equity ratio stands notably higher than the industry average, reaching 5.78. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.
Understanding the Relevance of Analyst Ratings
Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.
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Latest Ratings for GRPN
| Date | Firm | Action | From | To |
|---|---|---|---|---|
| Mar 2022 | Credit Suisse | Maintains | Neutral | |
| Dec 2021 | Ascendiant Capital | Maintains | Buy | |
| Dec 2021 | JP Morgan | Maintains | Neutral |
View More Analyst Ratings for GRPN
View the Latest Analyst Ratings
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
