One-glance verdict
Within fair range
$16.35 our estimate vs market $13.87
Wall Street consensus: $23.39 (43.1% higher than our fair-value estimate)
15% below our estimate
Fundamentals snapshot
Coupang, Inc.
CPNG · NYQ · Consumer Cyclical · Internet Retail
Current price
$13.87
52-week range
$13.35 - $32.35
Market cap
$24.93B
Balance sheet
Healthy
5.50x Adequate
Net cash $477.00M. Interest coverage shows how many times profit covers the interest bill.
What stands out
2 Rewards
3 Risks
2 rewards · 3 risks
- Reward Revenue grew 2.7% last year.
- Reward Free cash flow was positive in 3/10 years.
- Risk Return on equity was -20.0% last year — the company lost money on shareholders' equity.
- Risk Insider ownership is only 0.6% (peer median: 7.0%).
What this company does
Coupang, Inc.
Coupang is like an online shopping mall in South Korea where people can buy almost anything, from groceries to clothes, and it makes most of its money from selling these products directly to customers and letting other businesses sell on its platform. This is important because it shows how much people are relying on Coupang for their everyday shopping needs, which helps the company grow.
How the company got here
Coupang was founded in South Korea in 2010 by Bom Kim, who was studying at Harvard Business School but dropped out to pursue his entrepreneurial vision. Initially, Coupang operated as a daily deals platform, similar to Groupon, capitalizing on the early trend of social commerce. Recognizing the limitations of this model, the company pivoted in 2012 to focus on direct e-commerce, a move that significantly shaped its future. A key turning point was the investment in and development of its own logistics and delivery network, known as Rocket Delivery, which became a defining feature of the company and set a new standard for online shopping in South Korea. Coupang has since expanded its offerings beyond general merchandise to include groceries, food delivery, streaming services, and even luxury fashion through acquisitions.
What it actually does
Coupang is South Korea's largest online retailer, often compared to Amazon. It operates primarily through mobile apps and websites, offering a vast array of products directly to consumers. The company's core strategy revolves around providing a wide selection of goods, competitive prices, and exceptionally fast and reliable delivery. Coupang has built an extensive logistics network, with a significant portion of South Korea's population living close to its fulfillment centers, enabling its signature same-day or next-day delivery services. Beyond just selling products, Coupang has expanded into a broader ecosystem that includes food delivery, streaming content, and financial technology services.
Product Commerce
This is Coupang's main business and makes up the vast majority of its revenue, roughly 85-90%. It encompasses Coupang's core e-commerce operations, including its own retail sales (where Coupang buys products and sells them directly) and its marketplace (where third-party sellers list their items). Within this segment, Coupang also offers Rocket Fresh, a service for delivering fresh groceries, and various advertising products for sellers on its platform. The success of this segment is heavily reliant on Coupang's extensive logistics network, which allows for rapid delivery of millions of products.
Developing Offerings
This segment represents Coupang's newer ventures and growth areas, which are smaller in revenue compared to Product Commerce but are strategically important for future expansion. It includes Coupang Eats, a food delivery service that connects customers with local restaurants, and Coupang Play, an online content streaming service. This segment also involves fintech activities, such as digital payments, and the recent acquisition of Farfetch, a global luxury fashion marketplace. These diverse offerings aim to create a more comprehensive customer experience and tap into new markets.
What management is betting on now
Coupang's management is focused on expanding its ecosystem beyond traditional e-commerce to capture more customer spending and enhance loyalty. A key priority is the continued investment in its logistics and delivery infrastructure, ensuring fast and reliable service, which is a major differentiator. The company is also strategically growing its 'Developing Offerings' segment, which includes services like food delivery (Coupang Eats) and streaming (Coupang Play), as well as exploring fintech and global luxury markets through acquisitions like Farfetch. This multi-pronged approach aims to make Coupang an indispensable part of its customers' daily lives by offering a wide range of convenient services.
Price history
How the share price has moved
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Loading price history…
Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q3
$-46.00M
FY2024 Q4
$462.00M
FY2025 Q1
$115.00M
FY2025 Q2
$246.00M
FY2025 Q3
$439.00M
FY2025 Q4
$-278.00M
FY2026 Q1
$-112.00M
FY2026 Q2
$50.00M
Revenue
$8.86B
Net income
$-570.00M
Diluted EPS
-0.32
Operating cash flow
$367.00M
Free cash flow
$50.00M
Fetching…
Sources
Revenue
$8.50B
Net income
$-266.00M
Diluted EPS
-0.15
Operating cash flow
$184.00M
Free cash flow
$-112.00M
Fetching…
Sources
Revenue
$8.84B
Net income
$-26.00M
Diluted EPS
-0.02
Operating cash flow
$82.00M
Free cash flow
$-278.00M
Fetching…
Sources
Revenue
$9.27B
Net income
$95.00M
Diluted EPS
0.05
Operating cash flow
$792.00M
Free cash flow
$439.00M
Fetching…
Sources
Revenue
$8.52B
Net income
$32.00M
Diluted EPS
0.02
Operating cash flow
$545.00M
Free cash flow
$246.00M
Fetching…
Sources
Revenue
$7.91B
Net income
$107.00M
Diluted EPS
0.06
Operating cash flow
$354.00M
Free cash flow
$115.00M
Fetching…
Sources
Revenue
$7.96B
Net income
$156.00M
Diluted EPS
0.08
Operating cash flow
$676.00M
Free cash flow
$462.00M
Fetching…
Sources
Revenue
$7.87B
Net income
$70.00M
Diluted EPS
0.04
Operating cash flow
$334.00M
Free cash flow
$-46.00M
Fetching…
Sources
Is it cheap or expensive?
Fair value $16.35 vs current price $13.87
Wall Street consensus is the average analyst price target: $23.39 (43.1% higher than our fair-value estimate).
Our most-likely fair value is $16.35 a share — about 17.9% away from today's price of $13.87, so the stock currently looks fairly priced.
Is it drowning in debt?
Healthy
Net cash $477.0M - more cash than debt. Interest coverage 5.5x.
Net debt
$-477.00M
Interest coverage
5.50x
Coupang, Inc.'s profit covers its interest bill about 5.5 times over. which is weaker than most peers shown here.
Healthy
Worse cushion
Baseline
Better cushion
CPNG
BASELINE
Coupang, Inc.
Total debt $5.63B Interest coverage 5.50x This is the baseline the peer rows are being compared against.
Total debt $13.21B Interest coverage 20.01x +264% vs CPNG Carries about 3.6x more debt cushion than CPNG.
Total debt $4.13B Interest coverage 59.07x +974% vs CPNG Carries about 10.7x more debt cushion than CPNG.
Total debt $251.64B Interest coverage 35.17x +539% vs CPNG Carries about 6.4x more debt cushion than CPNG.
Total debt $39.93B Interest coverage 6.09x +11% vs CPNG Has roughly the same debt cushion as CPNG.
What you should know
The case for and against CPNG
2 Rewards
3 Risks
Rewards
-
Revenue grew 2.7% last year.
-
Free cash flow was positive in 3/10 years.
Risks
-
Return on equity was -20.0% last year — the company lost money on shareholders' equity.
-
Insider ownership is only 0.6% (peer median: 7.0%).
-
Operating margin compressed from -0.5% to -6.3% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
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Forward P/E
50.03x
P/B
8.32x
P/S
0.70x
EV/EBITDA
-531.62x
PEG ratio
1.16x
Profitability
How much profit each dollar creates
Gross margin
28.4%
Operating margin
-6.3%
Net margin
-2.2%
ROE
-20.0%
ROA
-2.1%
Health
Liquidity and balance-sheet strength
Debt / equity
1.89x
Current ratio
0.87x
Quick ratio
0.61x
Total debt
$5.63B
Total cash
$6.11B
Growth
How the business has been compounding
Revenue TTM
$35.46B
Revenue 5Y CAGR
17.0%
EPS TTM
-0.42
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$1.43B
Free CF TTM
$522.00M
FCF margin
1.5%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
0.0%
Last ex-div date
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