Why Is Groupon (NASDAQ:GRPN) Sinking 19.75% Pre-Market on Tuesday Following Q3 Figures?

Vinay Lochav

10 November 2026 11:43 PM AEDT

Why Is Groupon (NASDAQ:GRPN) Sinking 19.75% Pre-Market on Tuesday Following Q3 Figures?

Image Source: Shutterstock

You are reading a free article with opinions that may differ from the recommendation given by Kalkine in its paid research reports. Become a Kalkine member today to get access to our research reports, in-depth technical and fundamental research. Learn more

Start Your Free Trial Now!

Key Highlights

Groupon (NASDAQ:GRPN) is indicated at USD 13.04 pre-market on November 10, 2026, 19.75% below a calculated prior close of USD 16.25.
Third-quarter Revenue increased 2% and billings grew 6%, but adjusted EBITDA slipped to USD 14.7 million from USD 17.5 million, roughly 16% lower.
The loss from continuing operations was USD 0.8 million compared with USD 117.8 million a year earlier, and cash stood at USD 177.4 million on September 30, 2026.
Fourth-quarter guidance calls for revenue of USD 133 million to USD 136 million and adjusted EBITDA of USD 18 million to USD 23 million.

Pre-Market Decline for Groupon (-19.75%)

Groupon published its third-quarter 2026 results on November 9, 2026. Revenue went up 2% and billings 6%, both year on year, and FX-neutral billings rose 6% as well. Adjusted EBITDA came in at USD 14.7 million, down from USD 17.5 million, and the loss from continuing operations was USD 0.8 million compared with USD 117.8 million in the third quarter of 2025. Operating Cash Flow from continuing operations was an outflow of USD 43.2 million, and free cash flow was negative USD 45.8 million. Cash closed the quarter at USD 177.4 million. The USD 13.04 pre-market price is 19.75% under the calculated prior close of USD 16.25 from Monday, November 9.

Guidance Concerns and Background

Guidance looks like the most probable trigger for the fall, though no published coverage has confirmed it as the cause. Fourth-quarter revenue is guided to USD 133 million to USD 136 million, which is flat to up 2%, with billings growth of 4% to 6% and adjusted EBITDA of USD 18 million to USD 23 million. Full-year revenue is expected at USD 500 million to USD 503 million, flat to up 1%, with adjusted EBITDA of USD 60 million to USD 65 million and free cash flow of at least USD 40 million. Since third-quarter free cash flow was negative USD 45.8 million, hitting the full-year cash target demands a sizeable fourth-quarter turnaround. As background, shares often slide if Earnings shrink even as revenue rises, if guidance lands under expectations, or if cash burn picks up. These are broad patterns, not verified causes. Its Business is a local deals and experiences marketplace, meaning billings depend on consumer Demand and merchant supply.

Valuation, Liquidity and Risks for Groupon

Data published on October 22, 2026 showed a Market Value of USD 660.40 million on 40.67 million shares, a 52-week price change of -24.08%, a 20-day average Volume of 865,077 shares and an average analyst target of USD 28.67 from three analysts. At USD 13.04, the market value would be about USD 530 million (calculated), and the USD 177.4 million cash balance works out to roughly USD 4.36 a share (calculated). Pre-market volume is light, spreads can be wide and the opening price could differ sharply from the indication. An Average Daily Volume of 865,077 shares is modest for a company of this scale. Risks include growth slowing to 2%, falling adjusted EBITDA, heavy cash use in the quarter, convertible notes referenced as the 2027 and 2030 Notes and the possibility of a reversal. Nothing here suggests the decline will persist.

Where Things Stand

Groupon (NASDAQ:GRPN) is down 19.75% pre-market on November 10, 2026, after third-quarter figures reported 2% revenue growth, weaker adjusted EBITDA and negative free cash flow of USD 45.8 million. No published coverage has confirmed the cause, but the softer fourth-quarter outlook looks the likeliest candidate. Light pre-market trading means the move could be reversed.

Download Free Report – Explore 3 Stock Ideas & Industry Insights

Unlock 3 stock ideas and key industry insights in our free report. This information is general in nature and does not consider your personal objectives, financial situation, or needs. It is not financial advice.

All investments involve risk—consider independent advice before making any investment decisions.

View 3 Research Reports

Disclaimer:

This article (“Article”) has been prepared by Kalkine Pty Limited (ABN 34 154 808 312) (Australian financial services licence number 425376) (“Kalkine”) and its related bodies corporate who are authorised to provide general financial product advice. Kalkine.com.au and its associated pages are published by Kalkine.

Any information/advice provided in this article is general in nature and does not take into account your objectives, financial situation or needs. You should therefore consider whether the information is appropriate for your objectives, financial situation and needs before acting upon it.

There may be a Product Disclosure Statement, Information Memorandum or other offer document (“Offer Document”) for the securities or other financial products referred to in Kalkine articles. You should obtain a copy of the Offer Document and consider it before making any decision about whether to acquire the security or financial product.

Kalkine strongly recommends that you seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) before acting on any advice/information in this Article or on the Kalkine website. Not all investments are appropriate for all people.

The information in this Article and on Kalkine website has been prepared from a wide variety of sources, which Kalkine, to the best of its knowledge and belief, considers accurate. Kalkine has made every effort to ensure the reliability of the information contained in its articles (including this Article), newsletters and websites. All information represents our views at the date of publication and may change without notice.

The information in this Article does not constitute an offer to sell securities or other financial products or a solicitation of an offer to buy securities or other financial products.

Kalkine does not issue, sell or deal in any financial products.

This Article may contain information on past performance of particular investments. Please note past performance is neither an indicator nor a guarantee of future performance.

To the extent permitted by law, and excluding any dishonesty or gross negligence by Kalkine, Kalkine disclaims and excludes all liability for any direct, indirect, implied, punitive, special, incidental or other consequential loss or damage arising from the use of or reliance on this Article, the Kalkine website and any information published on the Kalkine website without any warranties or representations by Kalkine to you. To the extent the law prohibits or limits this exclusion, Kalkine limits its liability to the resupply of services.

Please also read our Terms & Conditions and Financial Services Guide for further information.

Employees and/or associates of Kalkine and its related entities may hold interests in the securities or other financial products covered in this Article or on the Kalkine website. Any such employees and associates are required to comply with certain safeguards, procedures and disclosures as required by law.

Some of the images/music that may be used in the Article are copyright to their respective owner(s). Kalkine does not claim ownership of any of the pictures displayed/music used in the Article unless stated otherwise. The images/music that may be used in the Article are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated or was found to be necessary.

Kalkine Media Pty Ltd, an affiliate of Kalkine Pty Ltd, may have received, or be entitled to receive, financial consideration in connection with providing information about certain entity(s) covered on its website.