Coupang Q2 preview: where next for Coupang shares?
Joshua Warner August 9, 2021 9:54 AM
Coupang is due to release its second set of quarterly results since completing its IPO earlier this year. We explain what to expect and consider where how the Coupang share price could react to the earnings.
When will Coupang release Q2 results?
Coupang will release second quarter results after US markets close on Wednesday August 11.
Coupang Q2 earnings preview: what to expect from the results
South Korea’s biggest ecommerce company, Coupang, is not only continuing to attract more customers but is squeezing more money out of each of them. It had over 16 million active customers at the end of March that spent an average of $262 in the first three months of 2021. A year earlier, it had only 13.3 million customers that were spending an average of $182.
Analysts are expecting Coupang to report quarterly revenue of $4.46 billion and a bottom-line net loss of $265.6 million. That would compare to revenue of $2.61 billion and a net loss of $105 million the year before.
The anticipated 70% growth in revenue would mark a slight slowdown from the 74% topline growth delivered in the first quarter of 2021. However, that would still be impressive considering the prior year’s numbers will be flattered by the outbreak of the coronavirus, which led to accelerated growth for the ecommerce industry and Coupang.
Brokers remain bullish on Coupang’s prospects with the 10 covering the stock having an average Buy rating and a price target of $46.00 – some 18% higher than the current share price. Coupang went public on the New York Stock Exchange back in May at a price of $35 and hit a high of just under $65 on the first day of dealings before starting to head lower.
Where next for the Coupang share price?
Technically speaking, Coupang (CPNG) has had a relatively short, though eventful trading history. Following its March IPO, the stock fell sharply and has spent the last five months consolidating in an ever-tightening range. With prices currently trading near the middle of that range around the $40.00 level, there is no strong immediate technical bias, though a particularly poor earnings report could take CPNG down to test support near $37.00 while a strong release could push the stock toward the top of the developing symmetrical triangle around $44.00 next.
How to trade Coupang shares
You can trade Coupang shares with Forex.com in just four steps:
- Open a Forex.com account, or log-in if you’re already a customer.
- Search for ‘Coupang’ in our award-winning platform
- Choose your position and size, and your stop and limit levels
- Place the trade
Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to Forex.com or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.