| Snowflake Score | |
|---|---|
| Valuation | 5/6 |
| Future Growth | 3/6 |
| Past Performance | 2/6 |
| Financial Health | 2/6 |
| Dividends | 0/6 |
GRPN Stock Overview
Groupon, Inc., together with its subsidiaries, operates a marketplace that connects consumers to merchants.
Groupon Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$14.76 |
| 52 Week High | US$49.19 |
| 52 Week Low | US$12.66 |
| Beta | 2.11 |
| 1 Month Change | -25.53% |
| 3 Month Change | -41.57% |
| 1 Year Change | -68.08% |
| 3 Year Change | -78.48% |
| 5 Year Change | -77.77% |
| Change since IPO | -97.17% |
Recent News & Updates
Some Groupon, Inc. (NASDAQ:GRPN) Analysts Just Made A Major Cut To Next Year's Estimates
Today is shaping up negative for Groupon, Inc. ( NASDAQ:GRPN ) shareholders, with the analysts delivering a substantial...
Shareholder Returns
| GRPN | US Online Retail | US Market | |
|---|---|---|---|
| 7D | -10.3% | -2.1% | -2.5% |
| 1Y | -68.1% | -40.5% | -10.4% |
Return vs Industry: GRPN underperformed the US Online Retail industry which returned -40.5% over the past year.
Return vs Market: GRPN underperformed the US Market which returned -10.4% over the past year.
Price Volatility
| GRPN volatility | |
|---|---|
| GRPN Average Weekly Movement | 10.6% |
| Online Retail Industry Average Movement | 13.6% |
| Market Average Movement | 7.8% |
| 10% most volatile stocks in US Market | 16.7% |
| 10% least volatile stocks in US Market | 2.8% |
Stable Share Price: GRPN is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 11% a week.
Volatility Over Time: GRPN's weekly volatility (11%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2008 | 3,675 | Kedar Deshpande | https://www.groupon.com |
Groupon, Inc., together with its subsidiaries, operates a marketplace that connects consumers to merchants. It operates in two segments, North America and International. The company sells goods or services on behalf of third-party merchants; and first-party goods inventory.
Groupon Fundamentals Summary
| GRPN fundamental statistics | |
|---|---|
| Market Cap | US$442.21m |
| Earnings (TTM) | US$69.26m |
| Revenue (TTM) | US$856.61m |
6.4x
P/E Ratio0.5x
P/S RatioIs GRPN overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| GRPN income statement (TTM) | |
|---|---|
| Revenue | US$856.61m |
| Cost of Revenue | US$152.48m |
| Gross Profit | US$704.13m |
| Other Expenses | US$634.88m |
| Earnings | US$69.26m |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | 2.31 |
| Gross Margin | 82.20% |
| Net Profit Margin | 8.09% |
| Debt/Equity Ratio | 175.2% |
How did GRPN perform over the long term?
See historical performance and comparisonValuation
Is Groupon undervalued compared to its fair value and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: GRPN ($14.76) is trading below our estimate of fair value ($45.5)
Significantly Below Fair Value: GRPN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: GRPN is good value based on its PE Ratio (6.4x) compared to the US Online Retail industry average (13x).
PE vs Market: GRPN is good value based on its PE Ratio (6.4x) compared to the US market (15.5x).
Price to Earnings Growth Ratio
PEG Ratio: GRPN is good value based on its PEG Ratio (0.2x)
Price to Book Ratio
PB vs Industry: GRPN is overvalued based on its PB Ratio (2.4x) compared to the US Online Retail industry average (1.9x).
Future Growth
How is Groupon forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
Future Growth Score
3/6Future Growth Score 3/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
37.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GRPN's forecast earnings growth (37.5% per year) is above the savings rate (1.9%).
Earnings vs Market: GRPN's earnings (37.5% per year) are forecast to grow faster than the US market (12.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: GRPN's revenue (2.4% per year) is forecast to grow slower than the US market (8% per year).
High Growth Revenue: GRPN's revenue (2.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if GRPN's Return on Equity is forecast to be high in 3 years time
Past Performance
How has Groupon performed over the past 5 years?
Past Performance Score
2/6Past Performance Score 2/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
12.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GRPN has a large one-off gain of $55.8M impacting its March 31 2022 financial results.
Growing Profit Margin: GRPN became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: GRPN has become profitable over the past 5 years, growing earnings by 12.1% per year.
Accelerating Growth: GRPN has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: GRPN has become profitable in the last year, making it difficult to compare its past year earnings growth to the Online Retail industry (-4.2%).
Return on Equity
High ROE: Whilst GRPN's Return on Equity (38.71%) is high, this metric is skewed due to their high level of debt.
Financial Health
How is Groupon's financial position?
Financial Health Score
2/6Financial Health Score 2/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: GRPN's short term assets ($509.2M) do not cover its short term liabilities ($579.3M).
Long Term Liabilities: GRPN's short term assets ($509.2M) exceed its long term liabilities ($305.0M).
Debt to Equity History and Analysis
Debt Level: GRPN has more cash than its total debt.
Reducing Debt: GRPN's debt to equity ratio has increased from 86% to 175.2% over the past 5 years.
Debt Coverage: GRPN's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: Insufficient data to determine if GRPN's interest payments on its debt are well covered by EBIT.
Balance Sheet
Dividend
What is Groupon current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
Dividend Yield vs Market
Notable Dividend: Unable to evaluate GRPN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate GRPN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if GRPN's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if GRPN's dividend payments have been increasing.
Earnings Payout to Shareholders
Earnings Coverage: GRPN is not paying a notable dividend for the US market.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as GRPN has not reported any payouts.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.3yrs
Average management tenure
CEO
Kedar Deshpande (42 yo)
0.42
Tenure
US$9,419,692
Compensation
Mr. Kedar Deshpande serves as Chief Executive Officer and Director at Groupon, Inc. since December 10, 2021. He previously served as the Chief Executive Officer of Zappos.com (“Zappos”) and in various posi...
CEO Compensation Analysis
Compensation vs Market: Kedar's total compensation ($USD9.42M) is above average for companies of similar size in the US market ($USD2.65M).
Compensation vs Earnings: Insufficient data to compare Kedar's compensation with company performance.
Leadership Team
Experienced Management: GRPN's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.
Board Members
Experienced Board: GRPN's board of directors are considered experienced (7.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: GRPN insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.9%.
Top Shareholders
Company Information
Groupon, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Groupon, Inc.
- Ticker: GRPN
- Exchange: NasdaqGS
- Founded: 2008
- Industry: Internet and Direct Marketing Retail
- Sector: Retail
- Implied Market Cap: US$442.210m
- Shares outstanding: 29.96m
- Website: https://www.groupon.com
Number of Employees
Location
- Groupon, Inc.
- 600 West Chicago Avenue
- Suite 400
- Chicago
- Illinois
- 60654
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/05/15 00:00 |
| End of Day Share Price | 2022/05/13 00:00 |
| Earnings | 2022/03/31 |
| Annual Earnings | 2021/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.