Courtesy of Benzinga.
On Monday, analysts at Bank of America upgraded shares of Groupon Inc (NASDAQ: GRPN) from Neutral to Buy and raised the price target from $8 to $9.50.
Paul Bieber finds the recent progress the company has made validates its turnaround and feels "the downward estimate revision cycle could be ending."
Bieber highlighted positives moving forward:
- The company has a large and growing customer base.
- E-mail headwinds are diminishing, which should aid local billings growth.
- New disclosures indicate stable cohort spending.
- Easy local billings comps and potential fourth quarter acceleration.
- Ticket Monster growth acceleration over the last several quarters has increased its value.
- Groupon has strategic asset value. With the stock down 36 percent year-to-date "vs. NASD +14 percent," Bieber feels sentiment is poised to turn more positive in 2015.
Shares of Groupon recently traded at $7.84, up 4 percent Monday morning.
Latest Ratings for GRPN
Date | Firm | Action | From | To |
---|---|---|---|---|
Dec 2014 | Bank of America | Upgrades | Neutral | Buy |
Nov 2014 | Brean Capital | Maintains | Buy | |
Nov 2014 | UBS | Maintains | Neutral |
View More Analyst Ratings for GRPN
View the Latest Analyst Ratings
Posted-In: Bank of America Paul BieberAnalyst Color Upgrades Price Target Analyst Ratings