- Debt Exchange Agreement: Groupon is restructuring its debt with new 2030 notes at a 4.875% interest rate.
- Analyst Insights: Analysts predict a potential decrease in Groupon's stock price with targets ranging from $15.00 to $35.00.
- GuruFocus Valuation: The estimated GF Value indicates a significant potential downside from the current stock price.
Groupon (GRPN, Financial) has recently embarked on a strategic financial maneuver to redefine its debt landscape. The company has entered into agreements to exchange portions of its existing debt with new senior unsecured 2030 notes. Specifically, the deal includes exchanging $20 million in 2026 Notes and $150 million in 2027 Notes for a total issuance of $244 million in 2030 Notes, which are set at an interest rate of 4.875%.
Wall Street Analysts Forecast
According to insights from four analysts, the average one-year target price for Groupon Inc (GRPN, Financial) stands at $25.50. The forecasts range from a high of $35.00 to a low of $15.00. This average target suggests a potential downside of 29.24% from the current market price of $36.04. For more granular details, visit the Groupon Inc (GRPN) Forecast page.
The consensus recommendation from four brokerage firms currently rates Groupon Inc's (GRPN, Financial) stock at 2.5, indicating an "Outperform" status. This rating is part of a broader scale where 1 denotes a Strong Buy, and 5 signifies a Sell.
Understanding Groupon's GF Value
Based on GuruFocus estimates, Groupon Inc (GRPN, Financial) has an estimated GF Value of $8.33 over the next year. This valuation suggests a substantial potential downside of 76.88% from the current stock price of $36.035. The GF Value represents GuruFocus' estimation of the fair value at which the stock should be trading. This value is calculated based on the historical multiples the stock has traded at, alongside past business growth and future business performance estimates. For further details and data, please consult the Groupon Inc (GRPN) Summary page.