UPDATE: Deutsche Bank Raises Target on Groupon to $22

Deutsche Bank reiterates its Hold rating on Groupon (NASDAQ: GRPN) and raises its price target to $22 from $21 a share as the company derivers a solid quarter on good execution.

Deutsche Bank says, "While 4Q was robust, one key metric needs monitoring. - We maintain our Hold rating on shares of Groupon, as the stock already embeds more normalized growth in 2H 20112/2013 via the earnings multiple. Groupon delivered solid 4Q revs/profits, showing good execution. While we are raising our ests & PT, we note that the gross profit dollars per customer fell from $29 (1Q) and $16 (3Q) to $15 (4Q), which we think needs to turn positive to show improved customer activity. We are modeling gross profit per customer to improve in 1Q/2Q at this point, but we maintain our Hold rating."

GRPN closed at $24.19 a share on Wednesday.