Key Highlights

  • Groupon (NASDAQ:GRPN) closed down 23.05% on November 10, 2026 after third-quarter Revenue grew only 2% and it guided 2026 revenue to USD 500 million to USD 503 million, flat to up 1%.
  • Gilat Satellite Networks (NASDAQ:GILT) fell 20.45% after third-quarter revenue slipped to USD 116.2 million from USD 117.7 million and it cut its 2026 revenue outlook to USD 455 million to USD 475 million.
  • Groupon's loss from continuing operations narrowed to USD 0.8 million from USD 117.8 million, but free Cash Flow was negative USD 45.8 million in the quarter.
  • Gilat cited scheduling delays and Peru revenue shifting into 2027, while defence revenue rose 53% year on year.

Groupon: Growth Still Elusive

Groupon (NASDAQ:GRPN) has spent several years trying to rebuild its local deals marketplace under chief executive Dusan Senkypl. The third quarter showed progress in some areas but not enough to satisfy investors. Global billings rose 6%, international local revenue rose 12% and average order value increased 8%, but North America local revenue was flat, units fell 2% and active customers were roughly unchanged at 16.2 million. Adjusted EBITDA slipped to USD 14.7 million from USD 17.5 million, and operating cash outflow was USD 43.2 million. Full-year guidance calls for adjusted EBITDA of USD 60 million to USD 65 million and free cash flow of at least USD 40 million, implying a strong fourth quarter that investors may doubt after a weak third. The company has launched a restructuring plan targeting USD 20 million to USD 25 million of annual Payroll savings, with pre-tax charges of USD 7 million to USD 10 million, and relaunched LivingSocial as an agent-first marketplace in October. An investor update is planned for December 8 in New York. Cash stood at USD 177.4 million at the end of September. Groupon has also pointed to a leaner cost base after earlier restructuring as a source of future profit.

Gilat: Delays Behind the Cut

Gilat Satellite Networks makes satellite ground equipment and network services for telecom operators, airlines and defence customers. Its quarterly profitability actually improved: GAAP Net Income rose to USD 8.7 million, non-GAAP Operating Income rose 14% to USD 14.6 million and adjusted EBITDA rose 13% to USD 17.6 million, a 15% margin. But the revised revenue range of USD 455 million to USD 475 million and adjusted EBITDA guidance of USD 61 million to USD 63 million signalled that expected growth will slip into next year. The company pointed to scheduling delays and revenue from a large Peru connectivity programme moving into 2027. Defence was the bright spot, with revenue up 53%, and management expects the pending Acquisition of a Comtech business, due to close by year-end, to more than double defence revenue in 2027. Cash rose to USD 260 million after a USD 100 million convertible note issue.

What Links the Two Moves

Both stocks fell more than 20% on a day when the S&P 500 dropped only 0.38%, showing how harshly investors are treating small-cap companies that disappoint on guidance. Groupon must show that its turnaround can produce consistent growth and cash generation, while Gilat needs delayed projects to convert into revenue in 2027. For Groupon (NASDAQ:GRPN), the December investor update and fourth-quarter cash flow are the next tests. For Gilat, closing the Comtech deal and recovering the timing of Peru revenue will decide whether the cut proves temporary.

Where Things Stand

Groupon fell 23.05% after flat 2026 revenue guidance and negative quarterly free cash flow, while Gilat dropped 20.45% after cutting its revenue outlook on project delays. Groupon is relying on cost cuts and a December investor update to restore confidence. Gilat's defence growth and an acquisition offer upside in 2027, but near-term execution will drive both stocks.