GROUPON INC (GRPN) Stock Fundamental Analysis
USA - NASDAQ:GRPN - US3994732069 - Common Stock
17.95 USD
-0.95 (-5.03%)
17.95 USD
0 (0%)
We assign a fundamental rating of 2 out of 10 to GRPN. GRPN was compared to 30 industry peers in the Broadline Retail industry. GRPN has a bad profitability rating. Also its financial health evaluation is rather negative. GRPN has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year GRPN has reported negative net income.
GRPN had a positive operating cash flow in the past year.
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 (-1.42%) than 60.00% of its industry peers.
With a Return On Equity value of -17.99%, GRPN is not doing good in the industry: 73.33% of the companies in the same industry are doing better.
With a Return On Invested Capital value of 0.77%, GRPN is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.42% | ||
| ROE | -17.99% | ||
| ROIC | 0.77% |
ROA(3y)-16.43%
ROA(5y)-11.89%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Operating Margin, with a value of 0.57%, GRPN is doing worse than 66.67% of the companies in the same industry.
GRPN's Operating Margin has declined in the last couple of years.
GRPN's Gross Margin of 90.58% is amongst the best of the industry. GRPN outperforms 100.00% of its industry peers.
GRPN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.57% | ||
| PM (TTM) | N/A | ||
| GM | 90.58% |
OM growth 3Y-37.22%
OM growth 5Y-11.86%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y5.78%
GM growth 5Y11.03%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GRPN is destroying value.
GRPN has more shares outstanding than it did 1 year ago.
The number of shares outstanding for GRPN has been increased compared to 5 years ago.
GRPN has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -1.73, we must say that GRPN is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of -1.73, GRPN is not doing good in the industry: 73.33% of the companies in the same industry are doing better.
GRPN has a debt to FCF ratio of 3.80. This is a good value and a sign of high solvency as GRPN would need 3.80 years to pay back of all of its debts.
The Debt to FCF ratio of GRPN (3.80) is better than 73.33% of its industry peers.
A Debt/Equity ratio of 4.17 is on the high side and indicates that GRPN has dependencies on debt financing.
GRPN's Debt to Equity ratio of 4.17 is on the low side compared to the rest of the industry. GRPN is outperformed by 86.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.17 | ||
| Debt/FCF | 3.8 | ||
| Altman-Z | -1.73 |
ROIC/WACC0.1
WACC7.63%
2.3 Liquidity
A Current Ratio of 0.96 indicates that GRPN may have some problems paying its short term obligations.
GRPN's Current ratio of 0.96 is on the low side compared to the rest of the industry. GRPN is outperformed by 86.67% of its industry peers.
A Quick Ratio of 0.96 indicates that GRPN may have some problems paying its short term obligations.
The Quick ratio of GRPN (0.96) is worse than 63.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
The earnings per share for GRPN have decreased strongly by -1392.86% in the last year.
Looking at the last year, GRPN shows a decrease in Revenue. The Revenue has decreased by -4.34% in the last year.
Measured over the past years, GRPN shows a very negative growth in Revenue. The Revenue has been decreasing by -25.99% on average per year.
EPS 1Y (TTM)-1392.86%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-984.85%
Revenue 1Y (TTM)-4.34%
Revenue growth 3Y-20.14%
Revenue growth 5Y-25.99%
Sales Q2Q%7.29%
3.2 Future
Based on estimates for the next years, GRPN will show a very strong growth in Earnings Per Share. The EPS will grow by 46.06% on average per year.
The Revenue is expected to grow by 12.84% on average over the next years. This is quite good.
EPS Next Y176.92%
EPS Next 2Y66.58%
EPS Next 3Y46.06%
EPS Next 5YN/A
Revenue Next Year3.27%
Revenue Next 2Y7.05%
Revenue Next 3Y9.35%
Revenue Next 5Y12.84%
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.
GRPN is valuated rather expensively with a Price/Forward Earnings ratio of 18.99.
63.33% of the companies in the same industry are more expensive than GRPN, based on the Price/Forward Earnings ratio.
GRPN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 32.73.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 18.99 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GRPN is valued a bit more expensive than 60.00% of the companies in the same industry.
GRPN's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. GRPN is cheaper than 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.17 | ||
| EV/EBITDA | 27.19 |
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.
A more expensive valuation may be justified as GRPN's earnings are expected to grow with 46.06% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y66.58%
EPS Next 3Y46.06%
5. Dividend
5.1 Amount
GRPN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
17.95
-0.95 (-5.03%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners70.35%
Inst Owner Change0.9%
Ins Owners3.35%
Ins Owner Change4.91%
Market Cap725.72M
Revenue(TTM)492.56M
Net Income(TTM)-9.21M
Analysts78
Price Target34.17 (90.36%)
Short Float %36.88%
Short Ratio6.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2534.48%
Min EPS beat(2)265.44%
Max EPS beat(2)4803.53%
EPS beat(4)3
Avg EPS beat(4)632.5%
Min EPS beat(4)-2841.18%
Max EPS beat(4)4803.53%
EPS beat(8)4
Avg EPS beat(8)190.36%
EPS beat(12)7
Avg EPS beat(12)133.3%
EPS beat(16)9
Avg EPS beat(16)125.86%
Revenue beat(2)1
Avg Revenue beat(2)0.05%
Min Revenue beat(2)-0.53%
Max Revenue beat(2)0.63%
Revenue beat(4)2
Avg Revenue beat(4)-1.16%
Min Revenue beat(4)-4.79%
Max Revenue beat(4)0.63%
Revenue beat(8)4
Avg Revenue beat(8)-0.89%
Revenue beat(12)5
Avg Revenue beat(12)-2.95%
Revenue beat(16)5
Avg Revenue beat(16)-3.31%
PT rev (1m)0%
PT rev (3m)11.67%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0.55%
EPS NY rev (3m)130%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.56%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 18.99 | ||
| P/S | 1.49 | ||
| P/FCF | 11.17 | ||
| P/OCF | 9.17 | ||
| P/B | 14.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 27.19 |
EPS(TTM)-3.62
EYN/A
EPS(NY)0.95
Fwd EY5.27%
FCF(TTM)1.61
FCFY8.95%
OCF(TTM)1.96
OCFY10.9%
SpS12.06
BVpS1.27
TBVpS-3.25
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.42% | ||
| ROE | -17.99% | ||
| ROCE | 0.97% | ||
| ROIC | 0.77% | ||
| ROICexc | 8.72% | ||
| ROICexgc | N/A | ||
| OM | 0.57% | ||
| PM (TTM) | N/A | ||
| GM | 90.58% | ||
| FCFM | 13.32% |
ROA(3y)-16.43%
ROA(5y)-11.89%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y-40.94%
ROICexc growth 5Y-53.59%
OM growth 3Y-37.22%
OM growth 5Y-11.86%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y5.78%
GM growth 5Y11.03%
F-Score6
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.17 | ||
| Debt/FCF | 3.8 | ||
| Debt/EBITDA | 8.17 | ||
| Cap/Depr | 60.69% | ||
| Cap/Sales | 2.9% | ||
| Interest Coverage | 0.47 | ||
| Cash Conversion | 302.95% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | -1.73 |
F-Score6
WACC7.63%
ROIC/WACC0.1
Cap/Depr(3y)52%
Cap/Depr(5y)57.82%
Cap/Sales(3y)4.65%
Cap/Sales(5y)4.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1392.86%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-984.85%
EPS Next Y176.92%
EPS Next 2Y66.58%
EPS Next 3Y46.06%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.34%
Revenue growth 3Y-20.14%
Revenue growth 5Y-25.99%
Sales Q2Q%7.29%
Revenue Next Year3.27%
Revenue Next 2Y7.05%
Revenue Next 3Y9.35%
Revenue Next 5Y12.84%
EBIT growth 1Y-88.07%
EBIT growth 3Y-49.87%
EBIT growth 5Y-34.77%
EBIT Next Year865%
EBIT Next 3Y161.82%
EBIT Next 5Y131.3%
FCF growth 1Y137.26%
FCF growth 3YN/A
FCF growth 5Y188.49%
OCF growth 1Y154.1%
OCF growth 3YN/A
OCF growth 5Y-4.75%
GROUPON INC / GRPN FAQ
What is the fundamental rating for GRPN stock?
ChartMill assigns a fundamental rating of 2 / 10 to GRPN.
What is the valuation status of GROUPON INC (GRPN) stock?
ChartMill assigns a valuation rating of 4 / 10 to GROUPON INC (GRPN). This can be considered as Fairly Valued.
What is the profitability of GRPN stock?
GROUPON INC (GRPN) has a profitability rating of 2 / 10.
Is the dividend of GROUPON INC sustainable?
The dividend rating of GROUPON INC (GRPN) is 0 / 10 and the dividend payout ratio is 0%.