Groupon IPO - Priced at $20 a share...going public today.

[Doppel]

This turd stock is now down to ~$12.

 

[Imp]

What were their earnings the past quarter? Or was it a loss...

 

[Doppel]

What were their earnings the past quarter? Or was it a loss...

I don't think they are profitable yet (or possibly ever).

Also, they've admitted--but didn't have to pre-IPO--that their accounting is a mess.

http://seattletimes.nwsource.com/html/businesstechnology/2018033934_grouponcomment22.html

 

[FoBoT]

they don't earn anything, it is the best marketed pyramid scheme ever
makes bernie madoff look like an amateur

 

[Mixolydian]

Dot Com Bubble, anyone?

 

[QueBert]

Groupon is turning into trash. Every offer is for some shitty hair salon or massage spa.

I know a lot of females who claim it's the greatest site on the net. I don't care about salons or massage spa's. But females spend a shitload of money on both. Even a lot of broke females will still make sure their hair stays looking good.

 

[Imp]

I know a lot of females who claim it's the greatest site on the net. I don't care about salons or massage spa's. But females spend a shitload of money on both. Even a lot of broke females will still make sure their hair stays looking good.

Unfortunately for Groupon, they don't appear to be making jackshit despite all the hair and spa coupons they sell.

Can't wait for Facebook IPO rumoured to be in May: $100 billion valuation, about a billion net income, or something like that.

Sweet...
http://www.usatoday.com/tech/news/story/2012-04-23/facebook-income-revenue/54490834/1

 

[Lonyo]

I don't think they are profitable yet (or possibly ever).

Also, they've admitted--but didn't have to pre-IPO--that their accounting is a mess.

http://seattletimes.nwsource.com/html/businesstechnology/2018033934_grouponcomment22.html

I knew the new rules proposed for IPOs and venture capital were whack, but I had no idea the existing IPO rules were so terrible.

 

[Gibson486]

My fiancee got invisiline braces for 2 grand. Not a bad deal. That said, I could not,imagine using it if I had a business.

 

[Dr. Detroit]

I don't think they are profitable yet (or possibly ever).

Also, they've admitted--but didn't have to pre-IPO--that their accounting is a mess.

http://seattletimes.nwsource.com/html/businesstechnology/2018033934_grouponcomment22.html

That is not exactly true -

S1 filings include an audit opinion from the external auditors and within that opinion they can identify a material weakness. Companies are not required to be SOX compliant until 12months after the year end filing following the IPO. Why the auditors did not note a materiel weakness in their opinion is bizarre.

I think a lot of blame should be pushed to the Company's auditors. They failed to get there rev rec treatment correct resulting in a huge restatement of revenue for their 2nd S1 filing. The SEC reviewers forced this. Then the auditors allowed the YE press release to go out, and the following 10K filing had a major restatement based on increased refunds.

 

[Doppel]

Unfortunately for Groupon, they don't appear to be making jackshit despite all the hair and spa coupons they sell.

Can't wait for Facebook IPO rumoured to be in May: $100 billion valuation, about a billion net income, or something like that.

Sweet...
http://www.usatoday.com/tech/news/story/2012-04-23/facebook-income-revenue/54490834/1

Fairly sure I read last week that at least in the US their growth rate has slowed considerably. They are reaching a saturation point from a user-number perspective in established markets. Perhaps they should have IPOed a while back.

 

[Doppel]

And now priced under $8.

 

[manimal]

Man.


Groupon will probably survive. They are rolling out a new marketplace with a more sustainable model.

Funny thing is my business is running a groupon deal today!



http://www.groupon.com/indianapolis

 

[HardcoreRobot]

flawed concept from the get-go, im surprised they are even making it to IPO

spinning in the bowl...

 

[kranky]

Now down to $7.

 

[Anubis]

how low can it go???????????

 

[ponyo]

how low can it go???????????

Price of a toilet paper? Actually I would pay more for toilet paper than this single sheet of gutter trash.

 

[jagec]

http://techcrunch.com/2011/06/09/groupon-single-worst-decision/

Interesting, I hadn't read that. One thing that stood out to me, though:

Jessie didn’t do anything to convert Groupon customers into regulars, like asking them to follow her on Twitter or Facebook.

THAT is how you convert a one-time customer into a regular? REALLY?

Fuck, I'm not even 30 yet and I feel old.

 

[Anubis]

Interesting, I hadn't read that. One thing that stood out to me, though:



THAT is how you convert a one-time customer into a regular? REALLY?

Fuck, I'm not even 30 yet and I feel old.

i am 30 i feel ancient. hell i think the first time i ever heard of groupon was this posting about its IPO

 

[MontyAC]

Groupon will be listed as a penny stock down the road.

 

[kranky]

THAT is how you convert a one-time customer into a regular? REALLY?

Only in the fantasy world of "social media," where having FB and Twitter followers surely means profit will naturally ensue. Eventually.

But people who say that's true aren't able to explain exactly how that works. They sure do believe it, though.

 

[Doppel]

Only in the fantasy world of "social media," where having FB and Twitter followers surely means profit will naturally ensue. Eventually.

But people who say that's true aren't able to explain exactly how that works. They sure do believe it, though.

I agree with this. Although in our modern world it's easy to feel utterly worthless, a rank failure as a person if you're not on twitter multiple times/day, in actual fact still a sh*t load of people don't have it and never will. I sure don't, so if the only way I'm going to return to a business is if I'm following them on twitter (really, how lame is that?), well they've lost me as a repeat anyway.

Happy to see Groupon now about $6.61, stupid stock, these recent IPOs are a farce. Zynga has shed 2/3 of its value since IPO as well, FB hit new lows yesterday, it's like the current stock-pumpers weren't even alive in 1999.

 

[manimal]

Groupon is changing their models. They may recover. I was able to generate 4k new customers in a week. They do alot that is right.

I would also like to point out that while recent IPO prices were overvalued at launch the entire tech market is having their challenges.

They should go back to being private and adopt longer term strategies.

 

[kranky]

Groupon released earnings today. Earnings were above estimates but revenue was lower than expected. Stock is down about 20% in after-hours trading.

Analysts are questioning why Groupon records revenue from their Groupon Goods division on a gross basis (in other words, if Groupon Goods sells a $100 item and has to hand $70 of that back to the merchant, Groupon counts all $100 as revenue). That's not how they do accounting for the coupon side of the business. It creates the suspicion that this is done to keep the revenue numbers high.

 

[Destiny]

Groupon released earnings today. Earnings were above estimates but revenue was lower than expected. Stock is down about 20% in after-hours trading.

Analysts are questioning why Groupon records revenue from their Groupon Goods division on a gross basis (in other words, if Groupon Goods sells a $100 item and has to hand $70 of that back to the merchant, Groupon counts all $100 as revenue). That's not how they do accounting for the coupon side of the business. It creates the suspicion that this is done to keep the revenue numbers high.

$70 can be counted as COG purchased from merchent - but the funny thing is Groupon Goods never takes ownership of the product and is more like a drop ship thingy... but they are correct in stating it is "Gross Revenue" but it will be wrong if they counted it as "Net Revenue" or "Operating Revenue."