Groupon priced its IPO last night at $20 a share and started trading this morning around $30. See the right half of the chart below. Groupon already has a huge base of email subscribers — 150 million — that it can market to for free. First, this stock increase means the privileged investors who landed Groupon IPO shares now are flipping their stock for a quick profit. So if Groupon were to trade at, say, 20X-30X 2013 earnings of $300 million, it would trade in a valuation range of $6 billion to $9 billion, with a central value of $7.5 billion. So ... Groupon Already Looks Overvalued 
 
 Could Groupon do much better than that scenario? Goldman Sachs, who helped take the company public, thinks Groupon's revenue will grow at 40% for the next two years and that the company will have a 30% profit margin in 2013. I don't buy them because, having been a Wall Street insider for a decade, I learned firsthand just how much of a disadvantage most outsiders are at.
– Groupon is having a big debut as a public company. The stock was selling for about $30 a share at the market's open today, way above the $20 IPO price the company set last night, reports the Wall Street Journal. Which means that, on paper anyway, the company is valued at about $20 billion. Part of the surge: Institutional investors who got the stock early are flipping it for profit just as fast as they can, notes Henry Blodget at Business Insider. You won't catch him on the bandwagon: "There is NO WAY I would own Groupon's stock for the next few quarters at this price, given the business transition Groupon is currently undergoing," he writes. Sure, it's possible the stock might double, but from the looks of things, it could easily drop to $12 a share in the near future.