Stock traders buy high volume call options on Groupon (NASDAQ:GRPN)
Groupon, Inc. (NASDAQ:GRPN – Get Rating) was the target of unusually large options trades on Monday. Equity investors bought 15,262 call options on the company. This is a 387% increase from the typical volume of 3,137 call options.
Groupon stock up 9.0%
GRPN shares traded up $1.15 midday on Monday, hitting $13.97. The company’s shares had a trading volume of 25,423 shares, compared to an average trading volume of 1,172,563 shares. The company has a fifty-day moving average of $12.77 and a 200-day moving average of $17.37. The company has a market capitalization of $418.54 million, a price-earnings ratio of 6.51 and a beta of 2.06. Groupon has a 1-year low of $8.78 and a 1-year high of $31.15. The company has a quick ratio of 0.88, a current ratio of 0.88 and a debt ratio of 1.21.
Groupon (NASDAQ:GRPN – Get Rating) last reported results on Monday, May 9. The coupon company reported ($1.00) earnings per share (EPS) for the quarter, missing analyst consensus estimates of ($0.86) by ($0.14). The company posted revenue of $153.30 million in the quarter, compared to $165.29 million expected by analysts. Groupon had a net margin of 8.09% and a negative return on equity of 13.88%. Groupon’s revenue for the quarter was down 41.9% year over year. In the same quarter of the previous year, the company achieved EPS of $0.06. As a group, analysts expect Groupon to post -1.25 earnings per share for the current fiscal year.
Changes to analyst ratings
The GRPN has been the subject of several research reports. Credit Suisse Group lowered its price target on Groupon from $29.00 to $23.00 in a Tuesday, May 10 research note. Wedbush reduced its price target on Groupon from $22.00 to $15.00 and set a “neutral” rating for the company in a Tuesday, May 10 research note. Goldman Sachs Group cut its price target on Groupon from $12.10 to $11.00 and set a “sell” rating for the company in a Friday, July 15 research note. StockNews.com downgraded Groupon from a “hold” rating to a “sell” rating in a Friday, June 3 research rating. Finally, Ascendant Capital Markets lowered its price target on Groupon to $20.00 in a Friday, June 3 research note. Three research analysts rated the stock with a sell rating, three gave the stock a hold rating and one gave the stock a buy rating. According to MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $18.17.
Insider buying and selling
In other Groupon news, major shareholder Jan Barta acquired 129,688 shares of the company in a transaction that took place on Monday, May 23. The shares were acquired at an average cost of $11.93 per share, with a total value of $1,547,177.84. Following the acquisition, the insider now directly owns 2,521,452 shares of the company, valued at approximately $30,080,922.36. The transaction was disclosed in a filing with the SEC, which is available on the SEC’s website. Insiders acquired 301,534 shares of the company valued at $3,876,290 over the past three months. 15.90% of the shares are currently held by company insiders.
Groupon Institutional Trading
A number of hedge funds have recently changed their holdings in the company. Point72 Hong Kong Ltd bought a new equity stake in Groupon during the first quarter worth $50,000. Advisor Group Holdings Inc. increased its stake in Groupon stock by 113.6% during the fourth quarter. Advisor Group Holdings Inc. now owns 2,444 shares of the coupon company worth $55,000 after acquiring 1,300 additional shares in the last quarter. Quantbot Technologies LP bought a new stake in shares of Groupon during the first quarter at a value of $55,000. Amalgamated Bank bought a new equity stake in Groupon during the first quarter for $71,000. Finally, Patriot Financial Group Insurance Agency LLC purchased a new stake in Groupon stock during the first quarter at a value of $91,000. Hedge funds and other institutional investors own 87.78% of the company’s shares.
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Groupon, Inc., together with its subsidiaries, operates a marketplace that connects consumers with merchants. It operates in two segments, North America and International. The company sells goods or services on behalf of third-party merchants; and inventory of first party goods. It serves its customers through its mobile apps and websites.
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