Groupon (GRPN) Sees a More Significant Dip Than Broader Market: Some Facts to Know

Groupon (GRPN) closed at $12.62 in the latest trading session, marking a -1.79% move from the prior day. The stock trailed the S&P 500, which registered a daily loss of 0.43%. Elsewhere, the Dow lost 1.05%, while the tech-heavy Nasdaq lost 0.92%.

Prior to today's trading, shares of the online daily deal service had lost 12.94% lagged the Retail-Wholesale sector's loss of 5.44% and the S&P 500's loss of 0.5%.

Market participants will be closely following the financial results of Groupon in its upcoming release. The company plans to announce its earnings on March 10, 2026. The company is predicted to post an EPS of $0.19, indicating a 115.83% growth compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $137.94 million, indicating a 5.8% increase compared to the same quarter of the previous year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of -$2.09 per share and revenue of $503.65 million. These totals would mark changes of -38.41% and +2.25%, respectively, from last year.

Investors should also note any recent changes to analyst estimates for Groupon. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Groupon presently features a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Groupon has a Forward P/E ratio of 17.36 right now. This denotes a premium relative to the industry average Forward P/E of 15.88.

The Internet - Commerce industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 174, this industry ranks in the bottom 29% of all industries, numbering over 250.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.