NEW YORK (TheStreet) -- After plummeting on Wednesday, Groupon
(GRPN - Get Report) stock has partially recovered over Thursday's session. The company had sold off on weaker-than-expected guidance for its second quarter.
By midday, shares had moved 6.9% higher to $5.70. A day earlier, the stock tanked 20.7%.
For its June-ending second quarter, management guided for earnings breakeven to 2 cents a share, showing no growth from a year earlier. Analysts had expected average profits of 3 cents a share, according to those polled by Thomson Reuters.
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TheStreet Ratings team rates GROUPON INC as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate GROUPON INC (GRPN) a SELL. This is driven by several weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income and disappointing return on equity."
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