GROUPON INC (GRPN)
US3994732069 - Common Stock
We assign a fundamental rating of 2 out of 10 to GRPN. GRPN was compared to 34 industry peers in the Broadline Retail industry. GRPN may be in some trouble as it scores bad on both profitability and health. GRPN has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year GRPN has reported negative net income.
In the past year GRPN has reported a negative cash flow from operations.
In the past 5 years GRPN reported 4 times negative net income.
GRPN had negative operating cash flow in 4 of the past 5 years.
1.2 Ratios
GRPN has a worse Return On Assets (-9.70%) than 69.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.7% | ||
| ROE | N/A | ||
| ROIC | N/A |
ROA(3y)-9.8%
ROA(5y)-10.24%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
GRPN has a Gross Margin of 87.53%. This is amongst the best in the industry. GRPN outperforms 100.00% of its industry peers.
GRPN's Gross Margin has improved in the last couple of years.
GRPN does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 87.53% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y22.34%
GM growth 5Y11.81%
2. Health
2.1 Basic Checks
GRPN does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for GRPN has been increased compared to 1 year ago.
Compared to 5 years ago, GRPN has more shares outstanding
The debt/assets ratio for GRPN is higher compared to a year ago.
2.2 Solvency
GRPN has an Altman-Z score of -2.59. This is a bad value and indicates that GRPN is not financially healthy and even has some risk of bankruptcy.
GRPN has a Altman-Z score of -2.59. This is in the lower half of the industry: GRPN underperforms 69.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | -2.59 |
ROIC/WACCN/A
WACC8.37%
2.3 Liquidity
A Current Ratio of 0.69 indicates that GRPN may have some problems paying its short term obligations.
GRPN's Current ratio of 0.69 is on the low side compared to the rest of the industry. GRPN is outperformed by 93.94% of its industry peers.
GRPN has a Quick Ratio of 0.69. This is a bad value and indicates that GRPN is not financially healthy enough and could expect problems in meeting its short term obligations.
GRPN has a worse Quick ratio (0.69) than 78.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.69 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
GRPN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 74.09%, which is quite impressive.
The Revenue for GRPN has decreased by -14.05% in the past year. This is quite bad
Measured over the past years, GRPN shows a very negative growth in Revenue. The Revenue has been decreasing by -27.87% on average per year.
EPS 1Y (TTM)74.09%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q178.95%
Revenue 1Y (TTM)-14.05%
Revenue growth 3Y-28.64%
Revenue growth 5Y-27.87%
Revenue growth Q2Q-7.07%
3.2 Future
GRPN is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 66.89% yearly.
The Revenue is expected to grow by 5.38% on average over the next years.
EPS Next Y296.84%
EPS Next 2Y109.71%
EPS Next 3Y66.89%
EPS Next 5YN/A
Revenue Next Year2.95%
Revenue Next 2Y3.89%
Revenue Next 3Y4.39%
Revenue Next 5Y5.38%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
GRPN reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
With a Price/Forward Earnings ratio of 10.40, the valuation of GRPN can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GRPN indicates a somewhat cheap valuation: GRPN is cheaper than 78.79% of the companies listed in the same industry.
GRPN is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.49, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 10.4 |
4.2 Price Multiples
75.76% of the companies in the same industry are more expensive than GRPN, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.02 |
4.3 Compensation for Growth
GRPN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
GRPN's earnings are expected to grow with 66.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y109.71%
EPS Next 3Y66.89%
5. Dividend
5.1 Amount
GRPN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
GROUPON INC
NASDAQ:GRPN (4/26/2024, 7:00:02 PM)
After market: 11.5701 -0.1 (-0.86%)11.67
+0.2 (+1.74%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap371.69M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 10.4 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.7% | ||
| ROE | N/A | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 87.53% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.69 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)74.09%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y296.84%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-14.05%
Revenue growth 3Y-28.64%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y