Latest news with #Coupang
CNBC
2 days ago
- Business
- CNBC
Morgan Stanley says buy these five stocks soon that are set to rally
There's a slew of stocks that have a lot more room to run, according to Morgan Stanley. The firm says overweight-rated companies like Nvidia have plenty of upside and remain top picks in June. Others include: Nubank , Sallie Mae , Seagate and Coupang. Seagate The tech data storage company is just too attractive to ignore, analyst Erik Woodring, wrote following Seagate's analyst day in late May. "The inflection in compute will drive exponential growth in storage demand, and we see STX as a still underappreciated play on this theme at just 7.5x our peak EPS," he wrote. And there's a whole host of more positive catalysts to come for top pick Seagate, too, the firm said. "Tech leadership, premium margins, robust FCF generation, and strong cap returns support EPS upside and multiple re-rating from here," he added. The stock is also an undervalued play in the data center space, too, Woodring says. Shares of Seagate are up 36% this year. Coupang The South Korea e-commerce company was recently named a new top pick at the firm. "Competitors have scrambled to respond, but Coupang's market share gains have continued without a blip," analyst Seyon Park wrote. The firm also raised its price target on the stock to $32 per share from $27 as Coupang is firing on all cylinders. "The company continues to execute well, is relatively insulated from tariff risk, and a beneficiary of a weaker USD [US dollar]," he said. Meanwhile, shares are up 27% and remain compelling. "Valuations also look favorable compared to relevant peers, " he went on to say. Nubank The LatAm bank is a share gainer and a top pick at the firm, according analyst Jorge Kuri and team. "We think the market continues to significantly underestimate Nubank's ability to scale profitably — especially through deeper cross-sell in Brazil," they wrote. The firm says Nubank has a differentiated offering for consumers as a one stop shop for all banking needs. "From leading in primary account relationships and salary deposits, to capturing the lion's share of consumer intent in credit card, personal loan, and payroll loan applications and balance transfers, Nubank is clearly far outpacing incumbent and digital peers," he said. The stock is up almost 16% this year, but Kuri says shares have plenty more room to run. "Nubank leads in both reach and relevance," he said succinctly. Seagate "The inflection in compute will drive exponential growth in storage demand, and we see STX as a still underappreciated play on this theme at just 7.5x our peak EPS. Tech leadership, premium margins, robust FCF generation, and strong cap returns support EPS upside and multiple re-rating from here. ... .A (still) underappreciated play on data growth; PT increases to $140 and we reinstate STX as our Top Pick." Coupang "The company continues to execute well, is relatively insulated from tariff risk & a beneficiary of a weaker USD. Valuations also look favorable compared to relevant peers. ... .Competitors have scrambled to respond, but CPNG's market share gains have continued without a blip. ... .Despite the market uncertainties this year, we are quite comfortable CPNG can deliver on its growth targets, while also being a beneficiary of a weaker US dollar." Nvidia "NVIDIA is putting digestion fears fully to rest, showing acceleration of the business other than the China headwinds around growth drivers that seem durable. Everything should get better from here. Reiterate OW, Top Pick in semis. ... .Bear case is fading and inference trajectory is durable; stay with the story. ... .Most of the themes we have been focused on played out through this quarter." Sallie Mae "SLM remains our Top Pick. ... .SLM exploring potential alternatives to whole loan sales, such as JVs, which we think could drive multiple expansion on more consistent asset-light cash flow. ... .Once we gain further clarity on government policy, we expect SLM will formally issue a range of estimates on how much additional volume it can drive in 2H26/2027." Nubank "We think the market continues to significantly underestimate NU's ability to scale profitably — especially through deeper cross-sell in Brazil. ... .From leading in primary account relationships and salary deposits, to capturing the lion's share of consumer intent in credit card, personal loan, and payroll loan applications and balance transfers, NU is clearly far outpacing incumbent and digital peers. ... .Nubank leads in both reach and relevance."
Globe and Mail
2 days ago
- Business
- Globe and Mail
This Soaring Hypergrowth Technology Stock Still Has Plenty of Room to Run
Coupang (NYSE: CPNG) stock, which had been trading above $25 in mid-February, sank to less than $20 in early April amid the market's negative reaction to President Donald Trump's tariffs. However, as of this writing, it sits at $28.45, a level it hadn't seen since the end of 2021. The South Korea-based e-commerce and technology company has kept growing its market share in its home market, and it's beginning to successfully expand into another country. Yet even with Coupang's market cap now surpassing $51 billion, there is still plenty of room for its stock to run in 2025 and through the rest of the decade. The South Korean Amazon Shoppers in South Korea are flocking to Coupang. It has more than 20 million accounts in the country, which has a population of 52 million, and many of those accounts represent households with multiple people. Why is the platform seeing so much success? Because Coupang has built up an incredible e-commerce shipping system. It offers same-day delivery, as well as overnight delivery by 7 a.m. for orders placed by midnight the day before. Returns can be handled simply by leaving an item in a Coupang reusable package outside your door. The free delivery for groceries and food delivery services it offers are much better than even Amazon manages. All this is included for a cheap monthly subscription to its Rocket Wow program, which also includes a streaming video service. Through scale, automation, and brute-force efficiency, Coupang has been able to offer this incredible shopping experience while still generating positive cash flow. On $31 billion in revenue over the past 12 months, the company has generated $1 billion in free cash flow. This was with revenue growing by 21% year-over-year on a currency-neutral basis and gross profit growing 31% year-over-year last quarter. South Korea's annual retail spending amounts to hundreds of billions of dollars, so the company has a ton of room to keep expanding in its home market. Adding another country with high growth potential Management is not stopping at South Korea. It recently launched the Coupang e-commerce model in Taiwan with great success. The business segment that houses the Taiwan unit grew its revenue by 78% year-over-year last quarter to $1 billion on a currency-neutral basis. While that segment is unprofitable today, Taiwan -- a rich and densely populated nation of around 23 million people -- is a similar market in many regards to South Korea -- and customers there will likely quickly come to appreciate the Coupang model. Taiwan and the rest of what Coupang calls its "developing offerings" segment lost $168 million in adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) last quarter, which was a headwind to its consolidated profits. However, I believe these expansions will drive a long-term advantage for Coupang. Management can funnel some of the profits it reaps in South Korean e-commerce to build up scale in Taiwan, which should eventually have similar economic characteristics to its home market. This expansion adds tens of billions of dollars to Coupang's addressable market, and Taiwan is only the second country it has launched its e-commerce platform in so far. CPNG Revenue (TTM) data by YCharts. Why Coupang stock still has room to run I believe the party is just getting started for Coupang stock. Its South Korean e-commerce sales should keep rising steadily in the years to come, while Taiwan will deliver explosive growth. Adding to the appeal for investors is that the Korean won has recently been appreciating versus the U.S. dollar, which will make Coupang's revenue and profits more impactful for American investors. The company also got a bargain deal when it acquired the Farfetch luxury shopping platform out of bankruptcy. Its offerings should be well-suited to the South Korean market, which spends relatively heavily on fashion and luxury. Add everything together and I think Coupang is well on its way to $50 billion in revenue and eventually $100 billion in annual sales by the end of the decade. Management is guiding for its profit margin to reach around 10% at scale, which would equate to $10 billion in annual earnings on $100 billion in revenue. In all likelihood, Coupang's market cap will approach $200 billion or higher if the company generates $10 billion in annual income. That would be a price-to-earnings ratio (P/E) of around 20 -- not a demanding earnings multiple for investors to expect. Today, its market cap is barely over $50 billion, so this calculation points to the stock gaining 300% or more over the next five years. In that light, the stock looks like a buy for long-term investors even after its bump so far this spring. Don't miss this second chance at a potentially lucrative opportunity Ever feel like you missed the boat in buying the most successful stocks? Then you'll want to hear this. On rare occasions, our expert team of analysts issues a 'Double Down' stock recommendation for companies that they think are about to pop. If you're worried you've already missed your chance to invest, now is the best time to buy before it's too late. And the numbers speak for themselves: Nvidia: if you invested $1,000 when we doubled down in 2009, you'd have $360,955!* Apple: if you invested $1,000 when we doubled down in 2008, you'd have $37,958!* Netflix: if you invested $1,000 when we doubled down in 2004, you'd have $638,985!* Right now, we're issuing 'Double Down' alerts for three incredible companies, available when you join Stock Advisor, and there may not be another chance like this anytime soon. *Stock Advisor returns as of May 19, 2025 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Brett Schafer has positions in Amazon and Coupang. The Motley Fool has positions in and recommends Amazon. The Motley Fool recommends Coupang. The Motley Fool has a disclosure policy.
Yahoo
2 days ago
- Business
- Yahoo
This Soaring Hypergrowth Technology Stock Still Has Plenty of Room to Run
Coupang dominates the e-commerce landscape in South Korea. It is rapidly expanding in Taiwan. Even though the stock has surged recently, its valuation remains cheap for investors who are focused on the long haul. These 10 stocks could mint the next wave of millionaires › Coupang (NYSE: CPNG) stock, which had been trading above $25 in mid-February, sank to less than $20 in early April amid the market's negative reaction to President Donald Trump's tariffs. However, as of this writing, it sits at $28.45, a level it hadn't seen since the end of 2021. The South Korea-based e-commerce and technology company has kept growing its market share in its home market, and it's beginning to successfully expand into another country. Yet even with Coupang's market cap now surpassing $51 billion, there is still plenty of room for its stock to run in 2025 and through the rest of the decade. Shoppers in South Korea are flocking to Coupang. It has more than 20 million accounts in the country, which has a population of 52 million, and many of those accounts represent households with multiple people. Why is the platform seeing so much success? Because Coupang has built up an incredible e-commerce shipping system. It offers same-day delivery, as well as overnight delivery by 7 a.m. for orders placed by midnight the day before. Returns can be handled simply by leaving an item in a Coupang reusable package outside your door. The free delivery for groceries and food delivery services it offers are much better than even Amazon manages. All this is included for a cheap monthly subscription to its Rocket Wow program, which also includes a streaming video service. Through scale, automation, and brute-force efficiency, Coupang has been able to offer this incredible shopping experience while still generating positive cash flow. On $31 billion in revenue over the past 12 months, the company has generated $1 billion in free cash flow. This was with revenue growing by 21% year-over-year on a currency-neutral basis and gross profit growing 31% year-over-year last quarter. South Korea's annual retail spending amounts to hundreds of billions of dollars, so the company has a ton of room to keep expanding in its home market. Management is not stopping at South Korea. It recently launched the Coupang e-commerce model in Taiwan with great success. The business segment that houses the Taiwan unit grew its revenue by 78% year-over-year last quarter to $1 billion on a currency-neutral basis. While that segment is unprofitable today, Taiwan -- a rich and densely populated nation of around 23 million people -- is a similar market in many regards to South Korea -- and customers there will likely quickly come to appreciate the Coupang model. Taiwan and the rest of what Coupang calls its "developing offerings" segment lost $168 million in adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) last quarter, which was a headwind to its consolidated profits. However, I believe these expansions will drive a long-term advantage for Coupang. Management can funnel some of the profits it reaps in South Korean e-commerce to build up scale in Taiwan, which should eventually have similar economic characteristics to its home market. This expansion adds tens of billions of dollars to Coupang's addressable market, and Taiwan is only the second country it has launched its e-commerce platform in so far. I believe the party is just getting started for Coupang stock. Its South Korean e-commerce sales should keep rising steadily in the years to come, while Taiwan will deliver explosive growth. Adding to the appeal for investors is that the Korean won has recently been appreciating versus the U.S. dollar, which will make Coupang's revenue and profits more impactful for American investors. The company also got a bargain deal when it acquired the Farfetch luxury shopping platform out of bankruptcy. Its offerings should be well-suited to the South Korean market, which spends relatively heavily on fashion and luxury. Add everything together and I think Coupang is well on its way to $50 billion in revenue and eventually $100 billion in annual sales by the end of the decade. Management is guiding for its profit margin to reach around 10% at scale, which would equate to $10 billion in annual earnings on $100 billion in revenue. In all likelihood, Coupang's market cap will approach $200 billion or higher if the company generates $10 billion in annual income. That would be a price-to-earnings ratio (P/E) of around 20 -- not a demanding earnings multiple for investors to expect. Today, its market cap is barely over $50 billion, so this calculation points to the stock gaining 300% or more over the next five years. In that light, the stock looks like a buy for long-term investors even after its bump so far this spring. Ever feel like you missed the boat in buying the most successful stocks? Then you'll want to hear this. On rare occasions, our expert team of analysts issues a 'Double Down' stock recommendation for companies that they think are about to pop. If you're worried you've already missed your chance to invest, now is the best time to buy before it's too late. And the numbers speak for themselves: Nvidia: if you invested $1,000 when we doubled down in 2009, you'd have $360,955!* Apple: if you invested $1,000 when we doubled down in 2008, you'd have $37,958!* Netflix: if you invested $1,000 when we doubled down in 2004, you'd have $638,985!* Right now, we're issuing 'Double Down' alerts for three incredible companies, available when you join , and there may not be another chance like this anytime soon.*Stock Advisor returns as of May 19, 2025 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Brett Schafer has positions in Amazon and Coupang. The Motley Fool has positions in and recommends Amazon. The Motley Fool recommends Coupang. The Motley Fool has a disclosure policy. This Soaring Hypergrowth Technology Stock Still Has Plenty of Room to Run was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Business
- Yahoo
This Soaring Hypergrowth Technology Stock Still Has Plenty of Room to Run
Coupang dominates the e-commerce landscape in South Korea. It is rapidly expanding in Taiwan. Even though the stock has surged recently, its valuation remains cheap for investors who are focused on the long haul. These 10 stocks could mint the next wave of millionaires › Coupang (NYSE: CPNG) stock, which had been trading above $25 in mid-February, sank to less than $20 in early April amid the market's negative reaction to President Donald Trump's tariffs. However, as of this writing, it sits at $28.45, a level it hadn't seen since the end of 2021. The South Korea-based e-commerce and technology company has kept growing its market share in its home market, and it's beginning to successfully expand into another country. Yet even with Coupang's market cap now surpassing $51 billion, there is still plenty of room for its stock to run in 2025 and through the rest of the decade. Shoppers in South Korea are flocking to Coupang. It has more than 20 million accounts in the country, which has a population of 52 million, and many of those accounts represent households with multiple people. Why is the platform seeing so much success? Because Coupang has built up an incredible e-commerce shipping system. It offers same-day delivery, as well as overnight delivery by 7 a.m. for orders placed by midnight the day before. Returns can be handled simply by leaving an item in a Coupang reusable package outside your door. The free delivery for groceries and food delivery services it offers are much better than even Amazon manages. All this is included for a cheap monthly subscription to its Rocket Wow program, which also includes a streaming video service. Through scale, automation, and brute-force efficiency, Coupang has been able to offer this incredible shopping experience while still generating positive cash flow. On $31 billion in revenue over the past 12 months, the company has generated $1 billion in free cash flow. This was with revenue growing by 21% year-over-year on a currency-neutral basis and gross profit growing 31% year-over-year last quarter. South Korea's annual retail spending amounts to hundreds of billions of dollars, so the company has a ton of room to keep expanding in its home market. Management is not stopping at South Korea. It recently launched the Coupang e-commerce model in Taiwan with great success. The business segment that houses the Taiwan unit grew its revenue by 78% year-over-year last quarter to $1 billion on a currency-neutral basis. While that segment is unprofitable today, Taiwan -- a rich and densely populated nation of around 23 million people -- is a similar market in many regards to South Korea -- and customers there will likely quickly come to appreciate the Coupang model. Taiwan and the rest of what Coupang calls its "developing offerings" segment lost $168 million in adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) last quarter, which was a headwind to its consolidated profits. However, I believe these expansions will drive a long-term advantage for Coupang. Management can funnel some of the profits it reaps in South Korean e-commerce to build up scale in Taiwan, which should eventually have similar economic characteristics to its home market. This expansion adds tens of billions of dollars to Coupang's addressable market, and Taiwan is only the second country it has launched its e-commerce platform in so far. I believe the party is just getting started for Coupang stock. Its South Korean e-commerce sales should keep rising steadily in the years to come, while Taiwan will deliver explosive growth. Adding to the appeal for investors is that the Korean won has recently been appreciating versus the U.S. dollar, which will make Coupang's revenue and profits more impactful for American investors. The company also got a bargain deal when it acquired the Farfetch luxury shopping platform out of bankruptcy. Its offerings should be well-suited to the South Korean market, which spends relatively heavily on fashion and luxury. Add everything together and I think Coupang is well on its way to $50 billion in revenue and eventually $100 billion in annual sales by the end of the decade. Management is guiding for its profit margin to reach around 10% at scale, which would equate to $10 billion in annual earnings on $100 billion in revenue. In all likelihood, Coupang's market cap will approach $200 billion or higher if the company generates $10 billion in annual income. That would be a price-to-earnings ratio (P/E) of around 20 -- not a demanding earnings multiple for investors to expect. Today, its market cap is barely over $50 billion, so this calculation points to the stock gaining 300% or more over the next five years. In that light, the stock looks like a buy for long-term investors even after its bump so far this spring. Ever feel like you missed the boat in buying the most successful stocks? Then you'll want to hear this. On rare occasions, our expert team of analysts issues a 'Double Down' stock recommendation for companies that they think are about to pop. If you're worried you've already missed your chance to invest, now is the best time to buy before it's too late. And the numbers speak for themselves: Nvidia: if you invested $1,000 when we doubled down in 2009, you'd have $360,955!* Apple: if you invested $1,000 when we doubled down in 2008, you'd have $37,958!* Netflix: if you invested $1,000 when we doubled down in 2004, you'd have $638,985!* Right now, we're issuing 'Double Down' alerts for three incredible companies, available when you join , and there may not be another chance like this anytime soon.*Stock Advisor returns as of May 19, 2025 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Brett Schafer has positions in Amazon and Coupang. The Motley Fool has positions in and recommends Amazon. The Motley Fool recommends Coupang. The Motley Fool has a disclosure policy. This Soaring Hypergrowth Technology Stock Still Has Plenty of Room to Run was originally published by The Motley Fool
Yahoo
4 days ago
- Business
- Yahoo
Institutional investors control 59% of Coupang, Inc. (NYSE:CPNG) and were rewarded last week after stock increased 3.4%
Given the large stake in the stock by institutions, Coupang's stock price might be vulnerable to their trading decisions A total of 8 investors have a majority stake in the company with 50% ownership Recent sales by insiders We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. If you want to know who really controls Coupang, Inc. (NYSE:CPNG), then you'll have to look at the makeup of its share registry. We can see that institutions own the lion's share in the company with 59% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company. And last week, institutional investors ended up benefitting the most after the company hit US$52b in market cap. One-year return to shareholders is currently 24% and last week's gain was the icing on the cake. In the chart below, we zoom in on the different ownership groups of Coupang. See our latest analysis for Coupang Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing. Coupang already has institutions on the share registry. Indeed, they own a respectable stake in the company. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see Coupang's historic earnings and revenue below, but keep in mind there's always more to the story. Investors should note that institutions actually own more than half the company, so they can collectively wield significant power. Hedge funds don't have many shares in Coupang. Looking at our data, we can see that the largest shareholder is SB Investment Advisers (UK) Limited with 18% of shares outstanding. With 8.7% and 8.6% of the shares outstanding respectively, Bom Suk Kim and Baillie Gifford & Co. are the second and third largest shareholders. Bom Suk Kim, who is the second-largest shareholder, also happens to hold the title of Chief Executive Officer. We also observed that the top 8 shareholders account for more than half of the share register, with a few smaller shareholders to balance the interests of the larger ones to a certain extent. Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too. While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. The company management answer to the board and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves. I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions. Our most recent data indicates that insiders own some shares in Coupang, Inc.. Insiders own US$4.6b worth of shares (at current prices). It is good to see this level of investment. You can check here to see if those insiders have been buying recently. The general public-- including retail investors -- own 14% stake in the company, and hence can't easily be ignored. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies. Private equity firms hold a 18% stake in Coupang. This suggests they can be influential in key policy decisions. Some investors might be encouraged by this, since private equity are sometimes able to encourage strategies that help the market see the value in the company. Alternatively, those holders might be exiting the investment after taking it public. I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. To that end, you should be aware of the 2 warning signs we've spotted with Coupang . Ultimately the future is most important. You can access this free report on analyst forecasts for the company. NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
