Groupon: Share Repurchases, SumUp Stake, and Turnaround Progress Strengthen Upside Case

In a report released today, Bobby Brooks from Northland Securities assigned a Buy rating on Groupon, with a price target of $20.00.

Bobby Brooks has given his Buy rating due to a combination of factors that, in his view, materially improve Groupon’s equity story and risk‑reward profile. He highlights the company’s apparent activation of its sizeable share repurchase program, which has already reduced the share count meaningfully in a short period, signaling management’s confidence in the underlying business and creating a supportive technical backdrop for the stock.

At the same time, Brooks underscores the strategic value of Groupon’s minority stake in SumUp, where a progressing IPO and an expected sizable cash inflow from a future exit could significantly strengthen Groupon’s balance sheet and further fund capital returns. Coupled with the operational turnaround under CEO and major shareholder Dusan Senkypl, this combination of improving capital allocation, prospective liquidity, and reduced downside pressure leads him to see the prior bear case as weakened and the shares as attractively positioned for upside.

In another report released on April 16, Roth MKM also maintained a Buy rating on the stock with a $40.00 price target.