Coupang (CPNG)

[winston]

not vested

Coupang (CPNG US): More ways to participate in E-commerce’s rise CPNG is South Korea’s largest online retailer with around US$12bn of sales.

More than half of South Korea have used Coupang’s app before, with 15mn active customers, about 30% of South Korea’s population.

At 27%, South Korea boasts one of the highest e-commerce penetration rates, ahead of US and China. However, CPNG is still seeing YoY% growth rate that is ahead of Amazon’s and Alibaba’s respective e-commerce divisions.

CPNG’s initial IPO price range is at US$27-30, which is around 4.1x Price/Sales at the mid-point of US$28.5.

We see US$35/share (+23%) as a fairly achievable mark despite the recent weak market sentiment on tech stocks.

CPNG is expected to start trading on Thursday, 11 March.

Source: KGI

[winston]

not vested

Coupang Is the Amazon.com of South Korea, but Maybe Even Better. And Now You Can Buy the Stock.

By Eric J. Savitz

The company accounts for 4% of the country’s consumer commerce, with a broad array of online retailing services: Think Amazon.com plus Instacart, DoorDash, and Netflix.

Coupang has about 50,000 employees and expects to hire another 50,000 Koreans by 2025.

The company has 25 million square feet of warehouse space, spread over 100 locations in more than 30 cities. Coupang says that 70% of Koreans live within seven miles of one of its distribution centers.

Almost anything can be ordered same-day, and “dawn delivery” assures that goods ordered by midnight are delivered by 7 a.m.

It ships goods in reusable containers—leave them by the door and they are whisked away by one of Coupang’s 15,000 delivery staff members for reuse.

Returning goods? Leave them outside your door—no special packaging or printed label required.

Coupang had 2020 revenue of $12 billion, up 91% from the previous year, as the pandemic helped accelerate growth from 55% in 2019 and 69% in 2018. Growth was above 90% in each of the past four quarters.

Coupang’s profit margin, as measured by adjusted earnings before interest, taxes, depreciation, and amortization, was minus 2.1% last year, versus minus 8.8% the previous year.

Source: Barron's

https://www.barrons.com/articles/coupan ... ne_March13

[winston]

not vested

Coupang Pares IPO Surge Before Insiders Get Early Shot to Sell

by Drew Singer

(Bloomberg) -- Coupang Inc. insiders may be poised to unload shares on Thursday, thanks to an unusual provision that’s allowing them to seize on early gains a little over a week after the company’s initial public offering.

By Monday, shares of the South Korean e-commerce giant had surged 44% since the March 10 IPO. But they have since given back some gains, dropping as much as 4% Wednesday, the last day before early investors in the company are free to sell some of their stakes.

That’s because a rare provision in the deal’s prospectus allows them to bypass what’s typically a six-month lockup period. The company deliberately excluded an unusual amount of investors from buying shares in the IPO, people familiar with the matter told Bloomberg, prompting speculation about whether Coupang’s deal was priced artificially low to ensure quick gains for early investors.

The shares must continue trading above $35 for the expiry to be triggered, according to securities filings. They’re currently well above that limit, hovering near $46.

Next week, most pre-IPO shareholders will also be released from their lockup agreements if the stock is trading for at least $46.55.

Source: Bloomberg

https://finance.yahoo.com/news/coupang- ... 53137.html

[winston]

vested

Masayoshi Son is bringing Coupang's services to Japan

Source: Deal Street Asia

https://www.dealstreetasia.com/stories/ ... 69cc61b4c8

[winston]

vested

March 27, 2021

Wait for A Pullback Before Buying Brand-New Coupang Stock

by Thomas Niel

Based upon the financials provided in its S-1 filing, the Korean e-commerce giant generated just over $11 billion in sales last year. That’s a price-sales ratio of around 7x.

The company’s sales could hit $28.5 billion by 2025. Yet, with e-commerce as a whole in South Korea growing just 5.2% per year from now until 2025 (per figures from Statista), this ambitious sales growth projection for Coupang depends highly on it grabbing substantially more market share in the coming years. Already holding a substantial 24% share there, this may be a tall order.

Source: Yahoo Finance

https://finance.yahoo.com/news/wait-pul ... 04816.html

[winston]

vested

March 22, 2021

Coupang:

IPO US$35. Coupang stock opened at $63.50, peaking at $69 on its first day of trading. It became South Korea's second most-valuable public company by market cap, but has gone on to shed more than a third of its peak value as of Friday's close.

Net revenue soared 91% to hit nearly $12 billion last year, accelerating from a 55% pace in 2019.

Coupang is still not profitable, but its losses have narrowed sharply in back-to-back years. The stock tumbled last week after conditions were met for a partial early lock-up release, but that's just one thing fewer for investors to worry about later this year.

Coupang's growth and market dominance will bring rewards for those who are opportunistic today and patient tomorrow.

Source: Motley Fool

[winston]

not vested

Coupang Technical Levels To Watch

by Tyler Bundy

April 5, 2021

Three sell-side analysts initiated coverage of Coupang Inc. (NYSE: CPNG) Monday: Deutsche Bank with a Hold rating and $46 price target, Mizuho with a Neutral rating and $50 price target and Goldman Sachs with a Buy rating and $62 price target.

Coupang Daily Chart Analysis: The Coupang daily chart above shows there are three key levels to watch.

1. The first key level is $46 — Deutsche Bank's price target. This area may hold as support on the chart because it appears there was resistance near this area.

2. If the stock were to fall below this level, it may not find support until it nears the $42 level.

3. The stock has seen resistance near the $50 level in the past and may hold again in the future.

What's Next: Bullish technical traders would like to see the stock build higher lows up to the higher analyst price targets. The stock being able to reach resistance and break above is a good sign for the future.

Bearish technical traders would like to see the stock fall below the lowest analyst rating of $46 and start to push lower. They would like to see the stock stay below $46 for a period of time before the price may push lower.

Source: Benzinga

https://finance.yahoo.com/news/coupang- ... 26227.html

[winston]

not vested

Coupang (CPNG)

When an online sales site hits it big, to say, “It’s the next Amazon,” usually, that’s all hype. But Coupang, by all appearances, is the real deal.

The South Korean e-commerce company, founded in 2010, showed over US$5.9 billion in sales in 2019, doubled that to $12 billion in 2020, and is on its way toward dominating the South Korean online retail market.

Coupang sells an enormous range of products on its site, from household furnishings and kitchen utensils to childcare items to pet supplies and automotive needs – and that is only a small selection of their categories.

The company boasts a Rocket Delivery network, guaranteeing same-day or next-day delivery on more than 5 million items in stock, and claims a 99.6% 24-hour delivery rate.

A major e-commerce player, posting numbers like that, would be ripe for an IPO – and Coupang went public on Wall Street this past March. The company offered 130 million shares at $35 each, and raised $4.55 billion.

Among the bulls is Goldman Sachs analyst Eric Cha, who initiated coverage of Coupang with a Buy rating and a $62 price target. Investors stand to pocket ~35% gain should the analyst's thesis play out.

Backing his stance, Cha writes: “Coupang has disrupted Korea’s e-commerce market with its 1P-based service, dubbed 'Rocket Delivery.' The vast assortment of low-priced 1P products delivered free of charge the next day (or within hours) to Coupang Wow members will be difficult for competitors to match and seems to be driving mind-share as well as GMV.

We expect the company to continue to place priority on GMV growth by expanding to new service offerings (i.e., Fresh and Eats) as well as new categories.”

Not everyone is as enthusiastic about Coupang as Cha, as TipRanks analytics reveal CPNG as a Hold. In fact, out of 5 analysts polled in the last 3 months, Cha seems to be the sole bull.

Meanwhile, the 12-month average price target stands at $50.60, which implies ~9% upside from current levels. (See CPNG stock analysis on TipRanks)

Source: Tip Ranks

[winston]

not vested

Coupang: How To View This Recent IPO

Summary

Coupang is the leading B2C e-commerce platform in South Korea and is taking market share rapidly against the competition.

The company's secret sauce is its fully integrated logistics and delivery operations; unmatched delivery speeds have seemingly differentiated the platform and have led to hyper-growth.

Future growth runway is still substantial within Korea; management consists of long-term thinkers and the company is diversifying its revenue streams across other services.

Financial momentum with a 91% yoy top-line, free cash flow generation, and improving gross margins bode well for 2021 prospects.

Source: Seeking Alpha

https://seekingalpha.com/article/442099 ... king_alpha

[winston]

vested

Coupang

South Korea’s e-commerce giant, Coupang Inc. (NYSE: CPNG) is also set to report first-quarter results after markets close Wednesday.

Last month, Goldman Sachs said the company grabbed 50% of the 2020 e-commerce growth in Korea.

The company came public in the United States in early March, raising $4.6 billion in its IPO. That’s the largest foreign company IPO since Alibaba’s 2014 debut.

The shares have dropped almost 25% since the IPO, likely the result of the slowdown in the tech sector.

Sentiment is decidedly cool on the stock, with five of six brokerages rating Coupang a Hold. The median price target is $49, implying a potential upside of nearly 32% to a current price of around $37.20. At the high target of $62 (from Goldman Sachs), upside potential on the stock is 67%.

There are no consensus estimates for first-quarter results, but in its report on Coupang, Goldman said it estimated EPS for 2021 at $0.29, rising to $0.47 in 2022 and $0.73 in 2023.

Revenue is expected to rise from $1.88 billion in 2020 to $2.19 billion this year, $2.72 billion in 2022 and $3.55 billion in 2023.

The stock trades at about 128 times estimated 2021 EPS (Goldman’s estimate), 79 times estimated 2022 earnings and 51 times estimated 2023 earnings.

The stock’s post IPO range is $36.38 to $69.00, and the low was posted Tuesday morning. The average daily trading volume is 8.4 million shares.

Source: 24/7 Wall Street