Goldman Sachs lowered the firm’s price target on Groupon to $375 from $426 and keeps a Sell rating on the shares after its Q2 results and guidance update. The management noted “solid” Q2 revenue topping estimates and supported by “strong” June sales while attributing the disappointing Q3 outlook to a set of technical issues from a Cloud migration project that are expected to be resolved this quarter, the analyst tells investors in a research note. Goldman Sachs added however that Groupon still needs to execute against a repositioning of the platform to better serve the supply and demand sides of its marketplace, and expects these initiatives to play out over several quarters.
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