Groupon Inc Common Stock (NASDAQ: GRPN)
Groupon was having what seemed to be a rough day in the market today. When the trading session opened, the stock was trading slightly in the red. From there, we saw steady declines on the stock, bringing it further and further into the abyss. However, minutes ago, things changed as the stock started to spike upward. Below, we’ll talk about what we’re seeing from GRPN, why, and what we’ll be watching for ahead.
What We’re Seeing From GRPN
As mentioned above Groupon was off to what seemed to be a rough day in the market today. At the opening of the trading session, the stock was trading slightly in the red. However, things got worse as the morning progressed. It seemed as though the only direction the stock knew was down! Nonetheless, minutes ago, that all changed as the stock started spiking upward in a big way. Currently (11:33), GRPN is trading at $3.61 per share after a gain of $0.11 per share (3.14%) thus far today.
Why The Stock Is Spiking Upward
As is almost always the case, our partners at Trade Ideas were the first to inform us of the gains on GRPN. As soon as they did, the CNA Finance team started digging to see exactly what was causing the movement. In this case, it didn’t take long. While we didn’t find any fundamental news released by the company that would lead to such gains, we did find something interesting in the social space.
At the moment, there’s a big rumor circling Groupon in the world of social media. That rumor is that Alibaba is going to make a bid to take the company over. This is a long awaited move, and it makes a whole lot of sense. However, it’s important to keep in mind that, at the moment, this is nothing more than a rumor. Nonetheless, it sure is getting investors excited.
What We’ll Be Watching Ahead
Moving forward, the CNA Finance team will be watching GRPN incredibly closely. In particular, we’re watching to see if there is any validity to the rumor. Of course, if Alibaba does indeed buy GRPN, it would be a great thing for investors. We’ll keep a close eye on the story and bring the news to you as it breaks!
Update: Alibaba announced it has no plans of acquiring GRPN.
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