Trefis, a financial platform that aims to show how a company’s products affect its stock, thinks Groupon’s stock is worth $7.75 a share, significantly higher than its current sub-$5 level. Despite the company’s struggles – difficulties in Europe, accounting scandals, investor lawsuits, etc. – Groupon is attempting to exploit opportunities, according to Trefis. The daily-deals giant essentially has a monopoloy in a huge market, and with its Groupon Payments product and new Breadcrumb point-of-sale service, things are looking up for Groupon. The downside is the company’s marketing and selling, general and administrative costs, according to Trefis. “These expenses haven’t declined much as expected and we will continue to keep an eye on this metric as it is a key indicator of Groupon’s performance.” (Trefis)
October 19, 2012
