Wall Street Watch this Week: Groupon May Become a Better Deal

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Groupon dealPoor Groupon (GRPN).

The daily deals leader has had one of the worst post-IPO performances of the past year. Groupon went public last November at $20, and went on to shed roughly 80% of its value.

Things didn't get any better for the dot-com disappointment last month. The stock took a hit -- and not even for anything that Groupon itself actually did. It was a lousy report by LivingSocial -- Groupon's rival -- showing slowing growth and an actual decline in sequential revenue. And LivingSocial isn't even public: Its quarterly financials are disclosed because Amazon.com (AMZN) is a significant investor.

Groupon, too would have posted a sequential slip if it wasn't for its Groupon Goods addition.

Well, this week Groupon will have its own moment to prove itself worth or validate the pessimism. Analysts see a small profit out of Groupon when it reports on Thursday.

If there's any company that could use a break, it's Groupon. Financial journalists loved to point out how the stock itself had become a 50%-off deal when it slipped below $10. Now that the shares have been halved again, a 50%-off deal on a 50%-off deal is just painful.

Other Things Worth Watching

• Better news for investors will probably be there for the picking when Whole Foods Market (WFM) reports on Wednesday. The leading grocer of organic and natural foods has been on a roll lately. Whole Foods Market has come through with several quarters of strong store-level sales growth. An improving economy is finding more shoppers that traded down during the recession coming back to the upscale grocer.

• Disney (DIS) turned heads with its $4.05 billion acquisition of Lucasfilm last week. Both companies got together for a press conference to explain the deal, but if there were any unanswered questions -- you know, stuff like if Princess Leia will be added to the Disney Princess line or if a new ride will be added to one of its parks ahead of the 2015 release of the seventh film in the Star Wars sage -- a good place for them to be asked would be when the family entertainment giant hosts its quarterly earnings call on Thursday.



Motley Fool contributor Rick Munarriz does not own shares in any of the stocks in this article, except for Disney. The Motley Fool owns shares of Whole Foods Market. Motley Fool newsletter services have recommended buying shares of Walt Disney and Whole Foods Market.

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DANIELE F

my comment is a general ocountry new averyi one has the vote it isaprivilege an d important for lawseveryone should take r esponsability to get involved and help the cou ntryto go ahead and create better laws not go bac kwards negative acts and comments against a president whose color did prevent this country to act what it always judge other country so harsly becauseoften they alsosuffer from what i claim is a total lack of freedom, the hatred of eitherother people because of color ,religionor other matters is n ot acceptable to anyone who wants to better the place where they live. i am appalled to see that the young have received such a poor education and it is gett6in g far worse ,they know little about politics and the viting ratio is so low icannot understand the lack of care and responsaBILITY that they show for their future and that of their country and show no ambition to better their life or anyone's else..ah but drinking and causing a lot of mischief they seem to be intend on doing!!!!of course it nis not so for everyone but havingf lived allk over the world and beeing european myself my life in california has shown me that a statewho had so much has become quite a problem the schools have one of the worst curriculumn ihave had to deal with,no teaschers seems to be treated with respect or listened to...they keep let go for financial reasons schools are closing every time you t urn around ,,,, and everything vitaL Is the same ... ,hospitals basic care :nutrition

November 06 2012 at 3:26 AM Report abuse rate up rate down Reply
Anell

On top of every home in America stands a weather vane.
aNd on pre election day
that weather vane across 300,000,000 rooftops in America
in 2011, 201x, 201 is
an
Anell Trident greAsed with Anell Mustard.
Which way does your trident point America?
If u vOte 4 the rEd Plague,
iT pointz toward U
and mE and
aLL that B
&
we
r
333.
ALL 50 STATES GO BLUE
Type your comment here

November 05 2012 at 3:22 PM Report abuse rate up rate down Reply
1 reply to Anell's comment
SPQR

stay off drugs

November 06 2012 at 1:10 AM Report abuse rate up rate down Reply