Start here if you're new
what it is
Groupon sells discounted local services, travel, and goods through its app and website.
how it gets paid
Last year Groupon made $498M in revenue. Local deals was the main engine at $223M, or 45% of sales.
why it's growing
Revenue grew 1.2% last year. Prior copy claimed $366M in quarterly revenue against ~$498M annual revenue—that cannot both be true. A typical quarter is on the order of ~$125M (roughly one-fourth of the year).
what just happened
Earnings still landed deep in the red even when revenue prints look “better” quarter to quarter—loss-making names are sensitive to mix and one-offs.
At a glance
B balance sheet — gets the job done, barely
5/100 earnings predictability — expect surprises
trailing P/E not meaningful while EPS is negative
ROC screens unreliable until earnings stabilize
-$1.51 fy2024 eps est
xvary composite: 45/100 — below average
What they do
Groupon sells discounted local services, travel, and goods through its app and website.
Groupon's edge is convenience, not captivity. Its latest gross margin was 90.9% (gross margin → money left after direct costs → the platform itself is cheap to run). But your customers and merchants can leave with one click, so the real advantage is execution, not lock-in.
How they make money
$498M
annual revenue · their business grew +1.2% last year
Local deals
$223M
0.0%
Travel deals
$90M
0.0%
Goods marketplace
$65M
0.0%
North America merchant revenue
$81M
+6.0%
International merchant revenue
$39M
+10.0%
The products that matter
local merchant promotions
Local Deals & Services
majority of company revenue
It drives most of the business tied to roughly $498M of annual revenue. If this category does not keep merchants engaged, the whole turnaround story gets thin fast.
core
physical product sales
Goods Marketplace
$50M–$75M tariff exposure
This segment carries an estimated $50M–$75M of revenue exposure to tariffs on imported products. For a company this size, that is not background noise.
policy risk
travel booking services
Travel
part of international growth
It sits inside the International segment, where billings grew about 10% in Q4 compared to a year ago. That is encouraging, but this is still a supporting act, not the main profit engine.
small but improving
Key numbers
29.5%
sales trend
Sales growth → whether the business is expanding or shrinking → Groupon's long-run revenue direction has been down, which overwhelms most turnaround talk.
$314M
long-term debt
Debt → money the company owes → this is a large fixed burden against a roughly $498M revenue base.
90.9%
gross margin
Gross margin → money left after direct costs → the platform economics are strong even if the overall business has been weak.
loss-making
earnings quality
With trailing losses, treat flashy ROC-style screens as noise until GAAP earnings turn consistently positive.
Financial health
B
strength
- balance sheet grade B — adequate — nothing special
- risk rank 3 — safer than 50% of stocks
- price stability 5 / 100
- long-term debt $314M (44% of capital)
B — functional but not a standout on the balance sheet.
Total return vs. market
Return history isn't available for GRPN right now.
source: institutional data · return history unavailable
What just happened
missed estimates
Prior earnings copy mixed $366M “quarterly” revenue with ~$498M annual revenue and a 198% vs. prior year jump—those numbers do not reconcile.
Use the 10-Q for the exact quarter. EPS stayed negative in the prints referenced here (filing vs consensus can differ by line item), so do not read a revenue headline as proof of profitability.
$125M
revenue (Q · approx.)
GAAP loss
eps
90.9%
gross margin
the number that mattered
90.9% gross margin is the key figure because it says the platform can still make attractive unit economics, even while the full company struggles.
source: company filings, 2026
Get this snapshot in your inbox
This page, delivered free — plus weekly updates when the numbers change. plain english, no spam.
weekly updates
earnings alerts
plain english
no spam
What could go wrong
the #1 risk is four concurrent securities fraud investigations tied to 2025 disclosures.
med
Securities fraud investigations
Four law firms began investigating potential securities fraud by Groupon and its officers between June and August 2025. That is a legal overhang on top of an already fragile turnaround.
Legal overhang adds execution and disclosure risk on top of the operating turnaround. Even if dollar exposure is hard to pin early, cost and distraction are real.
med
Tariff exposure in Goods
The Goods marketplace has estimated exposure to tariffs on imported products sold through the platform. This is the awkward part of being small and still diversified.
The current page pegs that exposure at $50M–$75M of revenue. On a business doing ~$498M in annual revenue here, that is material.
med
Debt load limits flexibility
Groupon carries $314M in long-term debt, equal to 44% of total capital. That is manageable until operating results wobble again.
High leverage can absorb cash that would otherwise go to reinvestment, buybacks, or simply buying time for the turnaround.
med
The stock itself is unstable
Price stability is 5 / 100, and the shares traded between $9 and $43 over the last 52 weeks. That kind of range changes the holding experience.
You can be directionally right on the business and still get a violent stock ride while the market changes its mind.
Between $314M of long-term debt, $50M–$75M of Goods exposure, and a stock that swung from $9 to $43 in a year, this turnaround has very little room for sloppy execution.
source: institutional data · regulatory filings · risk analysis
Pay attention to
calendar
Q1 2026 earnings report
Estimated for May 6, 2026. This is the next real check on whether the 4% global billings improvement is turning into cleaner revenue and earnings.
trend
North America billings
North America grew 6% in the latest quarter. If that slows again, the recovery narrative loses its strongest datapoint.
risk
Legal investigation updates
Four separate law-firm investigations are already on the table. You want to see whether this stays at the inquiry stage or turns into something costlier.
capital
Share buyback execution
$245M remains on the authorization. That is a big number relative to a $393M market cap, but it matters only if the balance sheet can support it.
Analyst rankings
earnings predictability
5 / 100
in human-speak, analysts do not trust the quarter-to-quarter rhythm here. expect surprises.
risk rank
3
That puts Groupon around the middle of the pack on broad risk measures. The business risk is still higher than that simple rank makes it sound.
source: institutional data
Institutional activity
institutional ownership data for GRPN is being compiled.
source: institutional data
Price targets
3-5 year target range
n/a
n/a
$16
current price
n/a
target midpoint · n/a from current
Want the deeper analysis?
The full deep dive: dcf model, scenario analysis, competitive moat breakdown, and quarterly tracking — everything on this page, taken further.
see plans from $5/moThe deep dive