Online platform company Coupang (NYSE: CPNG) will be reporting results this Tuesday after market close. Here’s what investors should know.
Coupang missed analysts’ revenue expectations by 1.9% last quarter, reporting revenues of $7.91 billion, up 11.2% year on year. It was a mixed quarter for the company, with a solid beat of analysts’ EBITDA estimates. It reported 23.6 million active buyers, up 8.8% year on year.
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 14% year on year to $8.35 billion, slowing from the 25.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.05 per share.
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 three times over the last two years.
Looking at Coupang’s peers in the consumer internet segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Carvana delivered year-on-year revenue growth of 41.9%, beating analysts’ expectations by 5.7%, and Amazon reported revenues up 13.3%, topping estimates by 3.4%. Carvana traded up 17% following the results while Amazon was down 8.2%.
Read our full analysis of Carvana’s results here and Amazon’s results here.
Investors in the consumer internet segment have had steady hands going into earnings, with share prices flat over the last month. Coupang is down 3.8% during the same time and is heading into earnings with an average analyst price target of $31.28 (compared to the current share price of $28.87).
Today’s young investors won’t have read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.
StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.
