Today’s Change
Current Price
Coupang (CPNG 13.56%), an e-commerce platform in South Korea and internationally, closed Wednesday at $17.91, down 13.70%. Shares fell after Q1 results showed an 8% revenue increase but a sharp swing into net losses stemming from the costs of last year’s data breach. Trading volume reached 79.9 million shares, about 238% above its three-month average of 23.6 million shares. Coupang IPO’d in 2021 and has fallen 64% since going public.
How the markets moved today
The S&P 500 rose 1.48% to 7,366, while the Nasdaq Composite gained 2.02% to finish Wednesday at 25,839. In internet retail, industry peers Alibaba Group closed at $141.44, up 6.94%, and JD.com finished at $30.69, rising 3.40% as investors weighed competitive dynamics.
What this means for investors
Coupang’s Q1 results fell well short of analysts’ expectations as the company navigated its 2025 data breach and began showing the financial costs of the $1.2 billion voucher program it put in place for customers. While this remediation will weigh on Coupang’s results through 2026, management noted that 80% of the WOW memberships lost due to the breach had returned by April, suggesting it continues to successfully recover from the fiasco.
Additionally, the company’s growth segment (Developing Offerings) grew sales by 25% as its expansion in Taiwan continued to deliver hyperscale growth. Management also noted that its food delivery service (Eats) and its nascent Japanese operations (Rocket Now) also continued to scale well. Trading at just 0.96 times sales, Coupang remains a promising turnaround stock (and holding) for me.
Josh Kohn-Lindquist has positions in Coupang. The Motley Fool recommends Alibaba Group, Coupang, and JD.com. The Motley Fool has a disclosure policy.
