Coupang Earnings: What To Look For From CPNG

Anthony Lee /
2024/05/06 3:12 am EDT

E-commerce marketplace Coupang (NYSE:CPNG) will be reporting results tomorrow afternoon. Here's what investors should know.

Coupang beat analysts' revenue expectations by 2.4% last quarter, reporting revenues of $6.56 billion, up 23.2% year on year. It was a decent quarter for the company, with solid revenue growth. On the profitability side, Coupang blew past analysts' EBITDA, EPS, and free cash flow projections.

Is Coupang a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting Coupang's revenue to grow 20.8% year on year to $7.01 billion, improving from the 13.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.06 per share.

Coupang Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Coupang has missed Wall Street's revenue estimates four times over the last two years.

Looking at Coupang's peers in the consumer internet segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Wayfair's revenues decreased 1.6% year on year, beating analysts' expectations by 3.5%, and Snap reported revenues up 20.9%, topping estimates by 6.6%. Wayfair traded up 25.9% following the results while Snap was also up 27.5%.

Read our full analysis of Wayfair's results here and Snap's results here.

Investors in the consumer internet segment have had fairly steady hands going into earnings, with share prices down 1.5% on average over the last month. Coupang is up 25.1% during the same time and is heading into earnings with an average analyst price target of $23.5 (compared to the current share price of $23.06).

When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we’ve found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback.