Groupon Is Back Over $8.00

Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.

Groupon Inc GRPN shares are trading higher by $0.71 at $8.17 in Friday's session. The catalyst for the rally is a better than expected earnings report ($0.06 vs. EST $0.03) on better than expected revenue ($925,42M vs EST ($909.29M). 

In addition, Brean Capital, who had been negative on the stock since its IPO (peaked at $31.14) said it's "time to buy." The firm has a $10.00 price target for the issue.

Related Link: Brean on Groupon: 'Time To Buy'

Over the last eight trading sessions, it has formed a major support by placing all eight lows in a narrow range between $7.26 and $7.40.

In Friday's session, it reached $7.39 short after the open, and has climbed over $8.00 to $8.17 thus far. Groupon has not closed over $8.00 since January 2, when it ended that session at $8.02.