Groupon Inc. (NASDAQ:GRPN) is up 10.70% intraday, trading between $18.50 and $20.70 as Project Foundry AI restructuring, raised 2026 EBITDA guidance, and approximately 36% short interest drive a powerful short-squeeze rally.

Key Highlights

• Groupon is up 10.70% intraday, trading near $20.01 to $20.28 in a wide range as short-covering episodes push prices higher against a genuine fundamental re-rating backdrop.

• The board approved Project Foundry, an AI-native restructuring plan cutting up to 400 global jobs and targeting $20 million to $25 million in annualised savings.

• Full-year 2026 adjusted EBITDA guidance was raised to $75 million to $80 million from $70 million to $75 million.

• Short interest of approximately 36% of float makes the stock structurally vulnerable to squeeze dynamics whenever positive momentum builds.

AI Restructuring Meets Short Squeeze in Wide Intraday Range

Groupon Inc. (NASDAQ:GRPN), a Chicago-based digital local-commerce marketplace, is up 10.70% intraday, trading between $18.50 and $20.70. The wide range reflects two reinforcing forces: genuine fundamental re-rating driven by the Project Foundry AI restructuring announcement and raised EBITDA guidance, and short-squeeze mechanics from approximately 36% of float held short. A new Chief Operating Officer appointment alongside the plan signals execution commitment. Initial squeeze energy is showing signs of moderating, but fundamental re-rating buyers continue to provide a floor.

Project Foundry and Guidance Raise

Project Foundry is Groupon's board-approved plan to reposition the company as an AI-native business, cutting up to 400 global jobs and generating $20 million to $25 million in annualised savings. The strategic ambition is broader: rebuilding operations around AI-driven workflows for merchant onboarding, deal curation, and consumer personalisation.

Alongside the restructuring, Groupon raised full-year 2026 adjusted EBITDA guidance to $75 million to $80 million from a prior $70 million to $75 million. The guidance lift signals that management has line-of-sight to savings within the current fiscal year, shifting the narrative from distressed turnaround to genuine operational improvement. With approximately 36% of float short, covering dynamics amplify any positive catalyst mechanically.