COUPANG INC (CPNG)
US22266T1097 - Common Stock
Taking everything into account, CPNG scores 4 out of 10 in our fundamental rating. CPNG was compared to 32 industry peers in the Broadline Retail industry. The financial health of CPNG is average, but there are quite some concerns on its profitability. CPNG is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CPNG was profitable.
In the past year CPNG had a positive cash flow from operations.
CPNG had negative earnings in 4 of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: CPNG reported negative operating cash flow in multiple years.
1.2 Ratios
CPNG's Return On Assets of 6.31% is fine compared to the rest of the industry. CPNG outperforms 65.63% of its industry peers.
CPNG has a better Return On Equity (24.60%) than 78.13% of its industry peers.
The Return On Invested Capital of CPNG (3.15%) is worse than 65.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.31% | ||
| ROE | 24.6% | ||
| ROIC | 3.15% |
ROA(3y)-2.88%
ROA(5y)-8.68%
ROE(3y)-13.82%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 3.57%, CPNG is in the better half of the industry, outperforming 65.63% of the companies in the same industry.
CPNG has a Operating Margin of 1.18%. This is in the lower half of the industry: CPNG underperforms 65.63% of its industry peers.
The Gross Margin of CPNG (27.79%) is worse than 81.25% of its industry peers.
In the last couple of years the Gross Margin of CPNG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.18% | ||
| PM (TTM) | 3.57% | ||
| GM | 27.79% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y15.22%
GM growth 5Y37.95%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CPNG is destroying value.
Compared to 1 year ago, CPNG has more shares outstanding
Compared to 5 years ago, CPNG has more shares outstanding
The debt/assets ratio for CPNG has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.71 indicates that CPNG is not in any danger for bankruptcy at the moment.
The Altman-Z score of CPNG (3.71) is better than 65.63% of its industry peers.
CPNG has a debt to FCF ratio of 1.73. This is a very positive value and a sign of high solvency as it would only need 1.73 years to pay back of all of its debts.
CPNG's Debt to FCF ratio of 1.73 is fine compared to the rest of the industry. CPNG outperforms 68.75% of its industry peers.
CPNG has a Debt/Equity ratio of 0.38. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.38, CPNG is in line with its industry, outperforming 46.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 1.73 | ||
| Altman-Z | 3.71 |
ROIC/WACC0.35
WACC9.1%
2.3 Liquidity
A Current Ratio of 1.13 indicates that CPNG should not have too much problems paying its short term obligations.
CPNG has a worse Current ratio (1.13) than 71.88% of its industry peers.
CPNG has a Quick Ratio of 1.13. This is a bad value and indicates that CPNG is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.86, CPNG is doing worse than 78.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
The earnings per share for CPNG have decreased strongly by -16.67% in the last year.
CPNG shows a strong growth in Revenue. In the last year, the Revenue has grown by 24.69%.
CPNG shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 43.17% yearly.
EPS 1Y (TTM)-16.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-20%
Revenue 1Y (TTM)24.69%
Revenue growth 3Y26.78%
Revenue growth 5Y43.17%
Sales Q2Q%27.21%
3.2 Future
The Earnings Per Share is expected to grow by 47.91% on average over the next years. This is a very strong growth
Based on estimates for the next years, CPNG will show a quite strong growth in Revenue. The Revenue will grow by 16.05% on average per year.
EPS Next Y-91.3%
EPS Next 2Y35.77%
EPS Next 3Y47.91%
EPS Next 5YN/A
Revenue Next Year25.95%
Revenue Next 2Y21.56%
Revenue Next 3Y18.89%
Revenue Next 5Y16.05%
3.3 Evolution
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 129.50, which means the current valuation is very expensive for CPNG.
Based on the Price/Earnings ratio, CPNG is valued a bit more expensive than the industry average as 65.63% of the companies are valued more cheaply.
CPNG's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 29.10.
The Price/Forward Earnings ratio is 54.04, which means the current valuation is very expensive for CPNG.
Based on the Price/Forward Earnings ratio, CPNG is valued a bit more expensive than the industry average as 65.63% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.79, CPNG is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 129.5 | ||
| Fwd PE | 54.04 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CPNG indicates a slightly more expensive valuation: CPNG is more expensive than 68.75% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CPNG is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 50.61 | ||
| EV/EBITDA | 54.07 |
4.3 Compensation for Growth
A more expensive valuation may be justified as CPNG's earnings are expected to grow with 47.91% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y35.77%
EPS Next 3Y47.91%
5. Dividend
5.1 Amount
CPNG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
COUPANG INC
NYSE:CPNG (11/13/2024, 10:35:11 PM)
After market: 25.9 0 (0%)25.9
+1.39 (+5.67%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap46.59B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 129.5 | ||
| Fwd PE | 54.04 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.31% | ||
| ROE | 24.6% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 1.18% | ||
| PM (TTM) | 3.57% | ||
| GM | 27.79% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.77
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.86 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-16.67%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-91.3%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)24.69%
Revenue growth 3Y26.78%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y