Welcome to our dedicated page for Groupon news (Ticker: GRPN), a resource for investors and traders seeking the latest updates and insights on Groupon stock.
Groupon, Inc. (NASDAQ: GRPN) is a global marketplace that connects consumers to a wide variety of local businesses, travel destinations, consumer products, and live events at discounted prices. The company acts as a middleman between merchants and consumers, offering daily deals via its online platform. Groupon's operations are divided into two main segments: North America and International, with the majority of its revenue coming from North America. The company generates income by taking commissions from transactions where it sells goods or services on behalf of third-party merchants and through digital coupons accessed via its website and mobile app.
Groupon recently announced a significant $80 million fully backstopped rights offering, which is expected to commence soon. This offering allows shareholders to purchase new shares at a set price, with Pale Fire Capital SICAV a.s. fully committing to backstop the offering. The proceeds are intended for general corporate purposes, including debt repayment.
Groupon provides merchants with advertising options and tools to help grow and manage their businesses. The company's marketplace offers services and experiences that aim to enhance everyday life for its consumers. Culturally, Groupon values self-awareness, candor, and community involvement, viewing these principles as fundamental to its growth. Significant recent achievements include the stabilization of business revenues and positive Adjusted EBITDA for four consecutive quarters under the leadership of newly appointed permanent CEO Dusan Senkypl.
For investors, Groupon has shown strong financial performance in North America, particularly in local and travel categories. The company holds cash positions of approximately $141 million and expects continued revenue growth and positive free cash flow in 2024. Furthermore, the company remains committed to its mission of becoming the ultimate destination for local experiences and services.
Groupon has launched the Groupon Student Success Initiative in partnership with Chicago State University (CSU) to promote educational access and diversity. Beginning in the 2022-23 academic year, Groupon will provide five scholarships that cover all tuition and fees for selected CSU students, who will also receive mentorship from Groupon employees. Participants will gain priority for internship opportunities in their junior and senior years. This initiative aims to address racial disparities in education and build a diverse talent pipeline for Groupon.
Groupon (NASDAQ: GRPN) will release its fourth quarter and full year 2021 financial results after market close on February 28, 2022. A conference call is scheduled for March 1, 2022, at 10:00 AM ET to discuss the results. The call can be accessed live via a webcast on investor.groupon.com, with a replay available post-event. Groupon operates as an experiences marketplace, connecting consumers with local businesses to provide an array of value-driven experiences.
On February 2, 2022, Prescience Point Capital Management updated its price target for Groupon (GRPN) following the company’s disclosure of a 2.4% ownership stake in European payments firm SumUp. This investment, valued at approximately $15 per share, represents over half of Groupon's market capitalization. The report emphasizes that Groupon is undervalued and may experience significant price increases based on upcoming catalysts such as analyst upgrades and reduced short-selling pressure.
On January 31, 2022, Prescience Point Capital Management updated its price target for Groupon, Inc. (GRPN) to $88.17 per share, emphasizing the overlooked value of Groupon's stake in European payments company SumUp. The firm estimates this stake could surpass $1 billion, significantly more than Groupon's current market cap, indicating substantial hidden value. Positive catalysts are expected from Groupon's potential disclosures regarding SumUp, which could drive share prices higher, despite a recent 20% increase since SumUp's funding news.
Groupon has launched a unique sweepstakes in collaboration with Rob Gronkowski, giving fans the chance to win an extravagant Big Game party experience at Gronk's home in Foxborough, Massachusetts, on February 13, 2022. The entry period runs from January 24 to February 2, 2022, with additional prizes including trips to Las Vegas and Cancun, concert experiences, and more available until February 13. The total value of the grand prize is approximately $40,000, while the bonus prizes are valued at around $22,881. Participants can enter via the Groupon mobile app.
Prescience Point Capital Management announced a detailed analysis of Groupon (GRPN), asserting its shares are significantly undervalued with a projected price target of $63 to $98, suggesting a potential upside of 172.3% to 326.1% from the current price of $23.20. The report emphasizes Groupon's overlooked investment in SumUp, worth approximately $268 million, which constitutes nearly 40% of the company's enterprise value. The analysis also highlights Groupon's stabilizing core business and the impact of a recent change in revenue recognition.
Groupon announces the inaugural Groupon Day on December 17, aiming to connect consumers through unique local experiences. With supply chain issues affecting holiday shopping, this event promotes activities like private cooking classes with Martha Stewart and beauty tutorials with celebrity Ariel. A recent survey reveals that 64% of respondents prefer experience gifts over physical items. The day will include savings on various local experiences, social media giveaways, and the chance to win exclusive celebrity-led sessions.
Groupon has announced the appointment of Kedar Deshpande as its new Chief Executive Officer, effective December 10, 2021. Deshpande, who previously served as CEO of Zappos, has a decade of experience in e-commerce and will also join Groupon's Board of Directors. Interim CEO Aaron Cooper will step down but remain available to ensure a smooth transition. The company aims to enhance its position as a local experiences marketplace, with Deshpande expressing enthusiasm for driving growth and value.
Allison+Partners has been appointed as the public relations agency of record for Groupon, focusing on enhancing the company's brand and corporate positioning related to its transformation into a leading local experience provider. The agency plans to leverage Groupon's expanded inventory and user experiences to create impactful campaigns, including a holiday push emphasizing experiences as gifts. National media coverage has already been achieved around various cultural moments, showcasing Groupon's commitment to connecting consumers with local businesses.
Groupon has partnered with Square to enable local merchants to create marketing campaigns directly on Groupon through Square's App Marketplace. This integration simplifies the customer journey by allowing Square's Beauty and Wellness and Things to Do merchants to use Square Appointments for their Groupon promotions. Groupon aims to enhance the merchant experience, reduce acquisition costs, and expand inventory quality. Currently, all Square merchants in the U.S. can access this integration, which potentially opens up new opportunities for growth and customer engagement.
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