Did Groupon Just Become a Buy?

By Tim Beyers and Alison Southwick – Mar 9, 2013 at 6:15PM

NASDAQ: GRPN

Groupon

Market Cap

$447M

Today's Change

(1.74%) $0.20

Current Price

$11.67

Price as of April 26, 2024, 4:00 p.m. ET

The board fires co-founder Mason.

Will Andrew Mason be remembered for his graceful exit? He's looking good so far. In a week in which Groupon's (GRPN 1.74%) board fired him as CEO, the stock ended end up more than 7%, enjoying one of its best rallies since the company's November 2011 IPO.

It's been mostly downhill since thanks to unsustainable merchant terms, increasing competition from LivingSocial, and Google's (GOOGL 10.22%) Offers service, which could become even more formidable in the face of the search king's positioning of Google+ as a platform for logging into mobile apps. Think of it as a Foursquare alternative: Check in, receive an offer.

Does Mason's departure come too late? Is a shift in strategy required? The Motley Fool's Alison Southwick asks Tim Beyers of Motley Fool Rule Breakers and Motley Fool Supernova for his perspective in the following video. Please watch, and then leave a comment to let us know what you think.

Fool contributor Tim Beyers is a member of the Motley Fool Rule Breakers stock-picking team and the Motley Fool Supernova Odyssey I mission. He owned shares of Google at the time of publication. Check out Tim's Web home and portfolio holdings, or connect with him on Google+, Tumblr, or Twitter, where he goes by @milehighfool. You can also get his insights delivered directly to your RSS reader.

Alison Southwick has no position in any stocks mentioned. The Motley Fool recommends and owns shares of Google. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.