Deutsche Bank Upgrades Coupang Inc (CPNG) to Buy
- Wall Street ends down as data spooks investors awaiting Fed report
- Roblox (RBLX) Lower as DAUs Fall Sequentially
- DraftKings (DKNG) Plunges as Hindenburg's Report Indicates Betting Company's Links to Black Market Operations
- Oracle (ORCL) Tops Q4 EPS by 23c
- U.S. retail sales take step back as spending pivots to services, trend remains strong
(Updated - May 13, 2021 5:42 AM EDT)
Deutsche Bank analyst Peter Milliken upgraded Coupang Inc (NYSE: CPNG) from Hold to Buy with a price target of $46.00 (from $46.00).
The analyst comments "1Q revenue rose 74% to USD4.2bn while gross profit improved 73% to USD733m. Operating loss however widened to (USD267m), due to the rapid roll-out, stock comp and IPO costs. Adjusted EBITDA loss was half of that level. The company was up against a tough comp, as Covid began impacting Korea in January 2021, leading to a strong lift in Coupang's business from early last year, and strong online growth in general. In 1Q21 Koreans did head back to the stores, allowing retail sales growth to hit a two-year high in Q1, growing 7.8% YoY. Online shopping was still strong YoY, up 21.3% YoY. Coupang was growing at three times that rate, and even with the online industry seeing absolute online sales edged down QoQ in 1Q, Coupang revenue was up 11%, showing its position is becoming more entrenched. We see this as a sign of how it has broadened its category penetration - as given its historic strength in consumables, it would have been easy for it to underperform once people returned to stores."
Shares of Coupang Inc closed at $35.33 yesterday.
You May Also Be Interested In
- UPDATE: Raymond James Upgrades Welltower, Inc. (WELL) to Strong Buy
- Medallia Inc. (MDLA) Acquisition Rumors Send Shares Soaring, Needham & Company Handicaps Situation
- Fast Retailing Co Ltd. (9983:JP) (FRCOY) PT Lowered to JPY92,000 at JPMorgan
Create E-mail Alert Related CategoriesAnalyst Comments, Hot Comments, Hot Upgrades, Upgrades
Related EntitiesDeutsche Bank, IPO
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!