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Evercore Calls Groupon's Rally on Friday 'Unfounded'

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Investors in Groupon (NASDAQ: GRPN) are taking profits Monday morning following a 23 percent surge on Friday. The stock is down nearly 8 percent to $4.32 at last check.

After pushing over resistance at $4 on Friday, Groupon shares edged toward the $4.25 level. Upon breaching this technical level, the stock charged over $3.50 and closed the trading week at $4.69.

Evercore Partners' Ken Sena issued a note earlier which called the stock's sharp move higher on Friday likely unfounded. Sena offered the speculation on Friday was related to CEO Andrew Mason cancelling a public appearance.

Sena believes Google is probably not interested in Groupon as Google is focusing on a "network effect." The analyst also noted the recent accelerating pace of daily deal deterioration.

Evercore maintains an Underweight rating and $3 price target on shares of Groupon

Latest Ratings for GRPN

Nov 2015Brean CapitalMaintainsBuy
Nov 2015Piper JaffrayDowngradesOverweightNeutral
Nov 2015Bank of AmericaDowngradesNeutralUnderperform

View More Analyst Ratings for GRPN
View the Latest Analyst Ratings

Posted-In: Analyst Color Analyst Ratings Movers


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