In this video, Motley Fool tech and telecom analyst Andrew Tonner tells us about Groupon's big plunge. He sees the 30% drop it took the day after posting its quarterly earnings as indicative of a larger trend: the Web Bubble 2.0. He discusses several recent companies like Groupon, compares their forays into unproven business models, and tells us whether he sees any of these businesses that have taken tumbles after being initially overvalued as being able to rebound and prove themselves viable in the long run.
Groupon's story at one point was one of the American Dream. The company went from 400 subscribers in 2008 to more than 150 million today. While this story is definitely one of success on a business level, its success most certainly hasn't been shared by investors. Company shares have fallen more than 80% over the past year and left investors panicked. Investors have to wonder whether this company will live out its American Dream, or leave shareholders empty-handed? To answer that question, our analyst has compiled a premium research report with in-depth analysis on whether you should buy or sell Groupon right now, and why. Simply click here now to get started.
The article Is Groupon a Goner? originally appeared on Fool.com.
Andrew Tonner and Taylor Muckerman have no positions in the stocks mentioned above. The Motley Fool owns shares of Facebook and has options on Facebook. Motley Fool newsletter services recommend Facebook. Try any of our Foolish newsletter services free for 30 days. 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.