Coupang's E-commerce Dominance Continues: Should You Buy CPNG Stock in July 2025?

Monday, Jul 28, 2025 9:09 am ET1min read

Coupang (CPNG) stock has surged 38% YTD and hit a new 52-week high of $31.65. The company has invested billions in its e-commerce ecosystem, including delivery fleet, streaming services, and membership programs. Its expansion into Taiwan and growing popularity of WOW membership show no signs of slowing down. With strong momentum and a premium valuation, investors should consider whether to buy in before the stock climbs higher.

Coupang (CPNG) stock has seen remarkable growth, surging 38% year-to-date (YTD) and hitting a new 52-week high of $31.65. The company's expansion into Taiwan and the growing popularity of its WOW membership program are driving this momentum. Investors are considering whether to buy into the stock before it climbs higher.

Coupang, often dubbed "South Korea's Amazon," has built a robust e-commerce ecosystem. It operates delivery fleets, streaming services like Coupang Play, and food delivery services such as Coupang Eats. The company's aggressive investment in these services has positioned it as a formidable player in the global e-commerce market.

The company's Q1 earnings report highlighted its strong performance. Revenue was up 6% year-over-year (YOY), with active customer count rising 9% to 23.4 million. The company's developing offerings, such as Coupang Eats and its expansion into Taiwan, grew revenue 67% in Q1. Gross profit and adjusted EBITDA also saw significant increases, up 20% and 36% respectively [1].

Coupang's stock has broken out of a long consolidation phase, with its Relative Strength Index (RSI) above 70 since May. This indicates strong bullish momentum. Analysts expect an EPS of $0.30 in 2025, up 36% YOY, before rising another 113% annually to $0.64 in 2026 [1].

While Coupang's stock is trading at a premium valuation, with a price-to-earnings ratio of 102 and a price-to-sales ratio of 1.81, investors are betting on the company's rapid growth and operational muscle. The consensus among analysts is bullish, with eight out of ten offering a "Strong Buy" rating [1].

However, investors should consider the potential risks. The company is forecasting adjusted EBITDA losses of $650 million to $750 million in 2025, as it expands into Taiwan and other markets. Additionally, the stock's high valuation may make it vulnerable to market corrections.

In conclusion, Coupang's strong performance and expansion plans make it an attractive investment opportunity. However, investors should weigh the risks and consider whether to buy in before the stock climbs higher.

References:
[1] https://www.barchart.com/story/news/33683690/coupang-keeps-hitting-new-highs-should-you-buy-cpng-stock-in-july-2025

Coupang's E-commerce Dominance Continues: Should You Buy CPNG Stock in July 2025?

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