Traders Purchase Large Volume of Call Options on Groupon (GRPN)

Groupon Inc (NASDAQ:GRPN) saw unusually large options trading activity on Tuesday. Stock traders bought 26,790 call options on the company. This represents an increase of 1,124% compared to the average daily volume of 2,188 call options.

Groupon (NASDAQ GRPN) traded down $0.49 on Wednesday, hitting $4.71. 46,808,406 shares of the company traded hands, compared to its average volume of 10,779,829. The company has a debt-to-equity ratio of 0.99, a quick ratio of 0.86 and a current ratio of 0.86. Groupon has a 1 year low of $2.90 and a 1 year high of $5.99. The firm has a market cap of $2,630.00, a PE ratio of -31.40, a P/E/G ratio of 27.05 and a beta of 1.47.

Groupon (NASDAQ:GRPN) last posted its earnings results on Wednesday, February 14th. The coupon company reported $0.07 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.09 by ($0.02). Groupon had a negative net margin of 2.97% and a negative return on equity of 1.47%. The firm had revenue of $873.17 million during the quarter, compared to analyst estimates of $853.13 million. During the same quarter in the prior year, the firm earned $0.07 earnings per share. The business’s revenue for the quarter was down 3.5% on a year-over-year basis. analysts forecast that Groupon will post -0.02 earnings per share for the current fiscal year.

A number of analysts recently commented on the stock. Zacks Investment Research cut shares of Groupon from a “hold” rating to a “sell” rating in a research note on Monday. Gabelli initiated coverage on shares of Groupon in a research note on Tuesday, October 17th. They issued a “buy” rating and a $7.00 target price for the company. Vetr cut shares of Groupon from a “buy” rating to a “hold” rating and set a $5.74 price objective for the company. in a research note on Tuesday, November 21st. Barclays lifted their price objective on shares of Groupon from $3.85 to $4.40 and gave the company an “underweight” rating in a research note on Thursday, November 2nd. Finally, DA Davidson restated a “buy” rating on shares of Groupon in a research note on Thursday, November 30th. Six research analysts have rated the stock with a sell rating, eight have assigned a hold rating, seven have assigned a buy rating and one has given a strong buy rating to the stock. Groupon presently has an average rating of “Hold” and an average target price of $5.06.

In related news, CAO Brian Stevens sold 20,000 shares of Groupon stock in a transaction that occurred on Friday, November 24th. The shares were sold at an average price of $5.71, for a total value of $114,200.00. Following the completion of the sale, the chief accounting officer now directly owns 222,354 shares in the company, valued at approximately $1,269,641.34. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Eric P. Lefkofsky sold 1,500,000 shares of Groupon stock in a transaction that occurred on Thursday, December 7th. The stock was sold at an average price of $5.77, for a total transaction of $8,655,000.00. The disclosure for this sale can be found here. 23.40% of the stock is owned by company insiders.

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. lifted its stake in shares of Groupon by 8.1% in the 2nd quarter. Vanguard Group Inc. now owns 32,453,440 shares of the coupon company’s stock valued at $124,620,000 after purchasing an additional 2,430,907 shares during the period. BlackRock Inc. lifted its stake in shares of Groupon by 3.6% in the 4th quarter. BlackRock Inc. now owns 22,722,720 shares of the coupon company’s stock valued at $115,886,000 after purchasing an additional 789,380 shares during the period. Allianz Asset Management GmbH lifted its stake in shares of Groupon by 28.7% in the 3rd quarter. Allianz Asset Management GmbH now owns 8,925,535 shares of the coupon company’s stock valued at $46,413,000 after purchasing an additional 1,989,085 shares during the period. State Street Corp lifted its stake in shares of Groupon by 38.2% in the 2nd quarter. State Street Corp now owns 8,827,043 shares of the coupon company’s stock valued at $33,898,000 after purchasing an additional 2,440,783 shares during the period. Finally, Sumitomo Mitsui Asset Management Company LTD lifted its stake in shares of Groupon by 40.2% in the 3rd quarter. Sumitomo Mitsui Asset Management Company LTD now owns 8,451,180 shares of the coupon company’s stock valued at $43,946,000 after purchasing an additional 2,421,825 shares during the period. Hedge funds and other institutional investors own 59.81% of the company’s stock.

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About Groupon

Groupon, Inc operates online local commerce marketplaces around the world that connect merchants to consumers by offering goods and services at a discount. The Company operates through three segments: North America, which represents the United States and Canada; EMEA, which consists of Europe, and the Middle East and Africa, and the remainder of its international operations (Rest of World).

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