Technology Stocks

Groupon Inc (NASDAQ:GRPN) Stock Performance And Analyst Estimates Breakdown

Investors seem to have slightly lost interest in Groupon Inc (NASDAQ:GRPN) stock in November considering the declining number of investors investing in the stock in the month.

A total of 41,211,597 Groupon shares were traded in November compared to the 43,629,752 shares traded in October. This means that there was a 5 percent decline in the amount of stocks traded in November. The company’s shares closed last Friday’s trading session at $3.14 after gaining by $0.03 compared to the value of the stock during the previous close.

Groupon shares have so far hit a $5.65 52-week high while the 52-week low currently stands at $2.80. The company’s current ratio is 0.98 while its debt-to-equity ratio was 0.60 at the time of this press. Groupon released its Q3 earnings report revealing that its earnings per share (EPS) for the quarter was $0.04. The company managed to surpass the $0.01 consensus estimate from Thomson Reuters.

Groupon also reported an 11.15% return on equity in Q3 this year as well as a 0.35% negative net margin. Its revenue for the quarter was $592.90 million which was below the $602.08 million consensus estimate set for the firm. Its business revenue for the quarter also tanked by 6.6% year over year. Analysts on average predict that Groupon’s EPS for the entire year will be $0.09.

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Future performance expectations

Numerous analysts recently revised their recommendations for Groupon stocks after the company announced its Q3 performance and revenue figures. Some of them have downgraded from a “strong sell” recommendation to “sell” recommendation. B. Riley slashed its stock price forecast from $6.30 to $5.60 on November 8 and even revised its recommendation to a “buy” rating.

Zacks investment research also lowered its ratings for Groupon shares from a “buy” to a “hold” rating on October 9.

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