COUPANG INC (CPNG) Stock Fundamental Analysis
NYSE:CPNG - New York Stock Exchange, Inc. - US22266T1097 - Common Stock - Currency: USD
CPNG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 31 industry peers in the Broadline Retail industry. While CPNG seems to be doing ok healthwise, 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
CPNG had positive earnings in the past year.
In the past year CPNG had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: CPNG reported negative net income in multiple years.
CPNG had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
CPNG's Return On Assets of 1.00% is in line compared to the rest of the industry. CPNG outperforms 51.61% of its industry peers.
With a Return On Equity value of 3.75%, CPNG perfoms like the industry average, outperforming 54.84% of the companies in the same industry.
CPNG's Return On Invested Capital of 5.08% is in line compared to the rest of the industry. CPNG outperforms 48.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1% | ||
| ROE | 3.75% | ||
| ROIC | 5.08% |
ROA(3y)3.41%
ROA(5y)-3.72%
ROE(3y)11.07%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
CPNG has a Profit Margin of 0.51%. This is comparable to the rest of the industry: CPNG outperforms 51.61% of its industry peers.
CPNG's Operating Margin of 1.72% is in line compared to the rest of the industry. CPNG outperforms 41.94% of its industry peers.
The Gross Margin of CPNG (29.18%) is worse than 80.65% of its industry peers.
CPNG's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.72% | ||
| PM (TTM) | 0.51% | ||
| GM | 29.18% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y22.09%
GM growth 5Y12.12%
2. Health
2.1 Basic Checks
CPNG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, CPNG has more shares outstanding
The number of shares outstanding for CPNG has been increased compared to 5 years ago.
The debt/assets ratio for CPNG is higher compared to a year ago.
2.2 Solvency
CPNG has an Altman-Z score of 3.84. This indicates that CPNG is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.84, CPNG is in the better half of the industry, outperforming 74.19% of the companies in the same industry.
The Debt to FCF ratio of CPNG is 1.52, which is an excellent value as it means it would take CPNG, only 1.52 years of fcf income to pay off all of its debts.
CPNG's Debt to FCF ratio of 1.52 is amongst the best of the industry. CPNG outperforms 83.87% of its industry peers.
CPNG has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
CPNG has a Debt to Equity ratio of 0.36. This is comparable to the rest of the industry: CPNG outperforms 48.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 1.52 | ||
| Altman-Z | 3.84 |
ROIC/WACC0.53
WACC9.66%
2.3 Liquidity
A Current Ratio of 1.17 indicates that CPNG should not have too much problems paying its short term obligations.
CPNG's Current ratio of 1.17 is on the low side compared to the rest of the industry. CPNG is outperformed by 77.42% of its industry peers.
CPNG has a Quick Ratio of 1.17. 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 0.89, CPNG is doing worse than 61.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
CPNG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -38.46%.
CPNG shows a strong growth in Revenue. In the last year, the Revenue has grown by 24.14%.
Measured over the past years, CPNG shows a very strong growth in Revenue. The Revenue has been growing by 36.99% on average per year.
EPS 1Y (TTM)-38.46%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-50%
Revenue 1Y (TTM)24.14%
Revenue growth 3Y18.03%
Revenue growth 5Y36.99%
Sales Q2Q%21.4%
3.2 Future
CPNG is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 52.57% yearly.
CPNG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.20% yearly.
EPS Next Y159.12%
EPS Next 2Y126.32%
EPS Next 3Y91.1%
EPS Next 5Y52.57%
Revenue Next Year13.71%
Revenue Next 2Y14.61%
Revenue Next 3Y13.42%
Revenue Next 5Y10.2%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 132.06, which means the current valuation is very expensive for CPNG.
Based on the Price/Earnings ratio, CPNG is valued a bit more expensive than 64.52% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.63, CPNG is valued quite expensively.
The Price/Forward Earnings ratio is 50.97, 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 67.74% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.85. CPNG is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 132.06 | ||
| Fwd PE | 50.97 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as CPNG.
CPNG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.88 | ||
| EV/EBITDA | 34.93 |
4.3 Compensation for Growth
CPNG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as CPNG's earnings are expected to grow with 91.10% in the coming years.
PEG (NY)0.83
PEG (5Y)N/A
EPS Next 2Y126.32%
EPS Next 3Y91.1%
5. Dividend
5.1 Amount
No dividends for CPNG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
21.13
-0.26 (-1.22%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners62.84%
Inst Owner Change0.18%
Ins Owners0.8%
Ins Owner Change7.4%
Market Cap38.15B
Analysts81.9
Price Target30.4 (43.87%)
Short Float %1.35%
Short Ratio2.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)439.93%
Min EPS beat(2)365.19%
Max EPS beat(2)514.67%
EPS beat(4)3
Avg EPS beat(4)311.22%
Min EPS beat(4)-13.24%
Max EPS beat(4)514.67%
EPS beat(8)6
Avg EPS beat(8)162.92%
EPS beat(12)10
Avg EPS beat(12)139.66%
EPS beat(16)11
Avg EPS beat(16)82.9%
Revenue beat(2)0
Avg Revenue beat(2)-1.98%
Min Revenue beat(2)-3.33%
Max Revenue beat(2)-0.63%
Revenue beat(4)1
Avg Revenue beat(4)-1.48%
Min Revenue beat(4)-3.33%
Max Revenue beat(4)0.71%
Revenue beat(8)4
Avg Revenue beat(8)-0.3%
Revenue beat(12)4
Avg Revenue beat(12)-1.33%
Revenue beat(16)4
Avg Revenue beat(16)-1.77%
PT rev (1m)1.73%
PT rev (3m)1.58%
EPS NQ rev (1m)-2.61%
EPS NQ rev (3m)-39.78%
EPS NY rev (1m)-17.66%
EPS NY rev (3m)-21.03%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)-5.2%
Revenue NY rev (1m)-0.43%
Revenue NY rev (3m)-3.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 132.06 | ||
| Fwd PE | 50.97 | ||
| P/S | 1.26 | ||
| P/FCF | 37.88 | ||
| P/OCF | 20.23 | ||
| P/B | 9.3 | ||
| P/tB | 9.96 | ||
| EV/EBITDA | 34.93 |
EPS(TTM)0.16
EY0.76%
EPS(NY)0.41
Fwd EY1.96%
FCF(TTM)0.56
FCFY2.64%
OCF(TTM)1.04
OCFY4.94%
SpS16.76
BVpS2.27
TBVpS2.12
PEG (NY)0.83
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1% | ||
| ROE | 3.75% | ||
| ROCE | 6.83% | ||
| ROIC | 5.08% | ||
| ROICexc | 18.47% | ||
| ROICexgc | 21.03% | ||
| OM | 1.72% | ||
| PM (TTM) | 0.51% | ||
| GM | 29.18% | ||
| FCFM | 3.33% |
ROA(3y)3.41%
ROA(5y)-3.72%
ROE(3y)11.07%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y22.09%
GM growth 5Y12.12%
F-Score7
Asset Turnover1.97
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 1.52 | ||
| Debt/EBITDA | 1.54 | ||
| Cap/Depr | 203% | ||
| Cap/Sales | 2.9% | ||
| Interest Coverage | 6.13 | ||
| Cash Conversion | 197.69% | ||
| Profit Quality | 653.9% | ||
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 3.84 |
F-Score7
WACC9.66%
ROIC/WACC0.53
Cap/Depr(3y)295.22%
Cap/Depr(5y)320.02%
Cap/Sales(3y)3.53%
Cap/Sales(5y)3.66%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-38.46%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-50%
EPS Next Y159.12%
EPS Next 2Y126.32%
EPS Next 3Y91.1%
EPS Next 5Y52.57%
Revenue 1Y (TTM)24.14%
Revenue growth 3Y18.03%
Revenue growth 5Y36.99%
Sales Q2Q%21.4%
Revenue Next Year13.71%
Revenue Next 2Y14.61%
Revenue Next 3Y13.42%
Revenue Next 5Y10.2%
EBIT growth 1Y10.15%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year348.61%
EBIT Next 3Y102.61%
EBIT Next 5YN/A
FCF growth 1Y-42.65%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-28.88%
OCF growth 3YN/A
OCF growth 5YN/A