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back to article Regulator probes Groupon as shares tumble

Daily deals site Groupon has seen its stocks tumble nearly 17 per cent, after mistakes in its fourth quarter results announcement forced the firm to issue a revision over the weekend. Groupon shares finished US trading on Monday down 16.89 per cent to $15.27, meaning its stock has now fallen 41.5 per cent from its debut close …

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  1. Anonymous Coward
    Anonymous Coward

    First

    Because no-one gives a **** about Groupon :-)

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    1. Anonymous Coward
      Reply Icon
      Anonymous Coward

      like a

      Building with no foundations.

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  2. The Man Who Fell To Earth Silver badge
    Boffin

    Dot com bubble all over again

    I'm sure there's more to come in this next bubble. After all, there really hasn't been any reforms to the US financial system. The fact that this company has made such basic accounting blunders, both of which involved the company failing to account for its major expenses, does not bode well.

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    1. Charlie Clark Silver badge
      Reply Icon

      Au contraire

      The JOBS act which has just passed both Houses includes quite a lot of reforms. Just not the kind you might have been thinking about. A few highlights:

      * "small" companies with under USD 1 billion in turnover a year will be freed from such onerous reporting

      * companies will be able to have up to 2000 shareholders without having to publish their accounts. That they are currently limited to 500 is considered to be one of the reasons for Facebook going public

      * unregulated crowdsourcing via the internet is to become legitimate

      Sterling work by the investment banking and venture capital lobby, don't you agree? The next bubble is going to be so much bigger!

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  3. Mage Silver badge
    Coffee/keyboard

    Profit

    But can we trust the figures when they post a profit?

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    1. Tom 13
      Reply Icon

      Re: Profit

      No, but it should provide the needed uptick so you can execute a short on the company stock and make money when they finally go bankrupt.

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  4. Mr Young

    The biggest short ever?

    Do I need paper money for this game?

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  5. Tom 38

    Haven't people realised groupon is a scam yet? There is no future in their business, at least not a high value future. They've padded their earnings and projected earnings and quickly sold off a large chunk of the company at an inflated price.

    Any investors who couldn't see this coming deserve their shirts being taken tbh.

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  6. Jon Press

    "the firm's business model was untested"

    And there was me thinking the problem was that they *had* tested it rather than simply filing it under "maybe not".

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  7. Anonymous Coward
    Anonymous Coward

    Bitter

    All you bitter posters are just jealous you didn't snap up some of their stock when it went on offer... All the wise people who invested in Groupon are on a one way ticket to paradise

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  8. Lars Silver badge

    A hell of a spammer

    A hell of a spammer in my mail box, but I have used it a few times.

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  9. miknik
    Trollface

    Today's Groupon special offer

    Buy a $26.11 share for just $15.27!!

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  10. Anonymous Coward
    Anonymous Coward

    For the uninitiated a "material weakness" in your accounting systems is the polite way to say the numbers in our books may or may not reflect reality. The SEC *has to* investigate this as it's the bread and butter of what they were created to do.

    If this is reflected in "material misrepresentation" in the IPO there may be hell to pay.

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