Here’s Why Groupon Share Price Skyrocketed 50% Today – Q2 Earnings

Shares of American e-commerce marketplace Groupon Inc (NASDAQ: GRPN) today surged 50% higher after the company reported positive Q2 earnings. The company’s revenues for the three months ended June 30 were $395.6 million beating analysts estimates of $183.3 million.

The eCommerce company also reported a quarterly loss per share of $2.53 versus the expected $2.75.

Aaron Cooper, Groupon’s interim CEO said: “Despite the continuing challenges created by COVID-19, we have made meaningful progress toward stabilizing our business with the goal of returning Groupon to growth.”

WELCOME BONUS - Free Share Bundle When You Invest £50! Get up to £500 cashback for investing with IG.

Invest in 15,000+ shares and ETFs. Open an account now, invest at least £50, and you’ll get a free share bundle worth between £40 and £200. T&Cs apply.

5.0

Open Account Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

Adding that: “In the past four months, we have created significant operating leverage by taking substantial costs out of our business, leaned into categories to drive sales and free cash flow, and steadied the company during the pandemic.”

Groupon share price

However, the company’s Q2 revenues still fell 26% as measured against last year’s data, while gross profits fell 53% to $17.3 million.

• Trade Groupon shares with the best stock brokers
• Learn how to trade stocks on this free demo account