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Here's Why Coupang, Inc. (CPNG) Gained But Lagged the Market Today

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Coupang, Inc. (CPNG - Free Report) closed at $21.31 in the latest trading session, marking a +0.61% move from the prior day. This change lagged the S&P 500's 0.64% gain on the day. On the other hand, the Dow registered a gain of 1.85%, and the technology-centric Nasdaq increased by 0.2%.

Shares of the company have appreciated by 3.12% over the course of the past month, outperforming the Retail-Wholesale sector's gain of 2.58% and lagging the S&P 500's gain of 3.82%.

The investment community will be closely monitoring the performance of Coupang, Inc. in its forthcoming earnings report. On that day, Coupang, Inc. is projected to report earnings of $0.04 per share, which would represent a year-over-year decline of 50%. Simultaneously, our latest consensus estimate expects the revenue to be $7.33 billion, showing a 25.61% escalation compared to the year-ago quarter.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $0.02 per share and a revenue of $30.46 billion, indicating changes of -92.31% and +24.94%, respectively, from the former year.

Investors should also take note of any recent adjustments to analyst estimates for Coupang, Inc. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 84.62% lower. Coupang, Inc. is holding a Zacks Rank of #4 (Sell) right now.

Valuation is also important, so investors should note that Coupang, Inc. has a Forward P/E ratio of 1059 right now. This valuation marks a premium compared to its industry's average Forward P/E of 22.35.

We can also see that CPNG currently has a PEG ratio of 56.57. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Internet - Commerce industry stood at 1.08 at the close of the market yesterday.

The Internet - Commerce industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 59, placing it within the top 24% of over 250 industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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