Groupocalypse Now: the daily deals leader is hit with 3 downgrades following an EPS miss and...

|By:, SA News Editor

Groupocalypse Now: the daily deals leader is hit with 3 downgrades following an EPS miss and soft guidance. Wells Fargo, cutting Groupon (GRPN -23.3%) to Market Perform, declares "the company is moving away from a technology platform for merchants and into a discount inventory overstock retailer," and sees its margin weakness as proof. Wells adds this shift hurts Groupon's brand and puts it "on a collision course with Amazon." Evercore remains bearish, but is encouraged by Groupon's billings, and thinks new initiatives such as Local Marketplace are helping out. (transcript)