Two Stocks Trading Near 52-Week Lows That Are Too Good to Ignore

Investors often say the best opportunities are found in the dark. Today, two companies—Coupang (CPNG) and Airbnb (ABNB)—are trading near 52-week lows, yet their fundamentals suggest they’ve been unfairly punished by short-term noise. Both are positioned to capitalize on structural tailwinds, from global expansion to product innovation, even as macroeconomic clouds linger. Let’s dissect why these stocks could be among the market’s most compelling buys.

Coupang (CPNG): South Korea’s E-Commerce Titan With Global Ambition

Coupang’s stock has slumped to $22.50—a 14% drop from its 2023 peak—but its fundamentals tell a story of resilience. The Seoul-based company is South Korea’s largest e-commerce platform, with $30 billion in annual revenue and a $1 billion free cash flow engine. Its crown jewel is the “Rocket Wow” subscription service, which offers same-day delivery, grocery discounts, and even appliance installation—a model that’s expanded to 3.5 million subscribers in 2024 alone.

Why now?
- Market Penetration: South Korea’s e-commerce adoption lags China’s by 20+ percentage points, leaving room for Coupang to deepen its dominance.
- Global Ambition: Its expansion into Taiwan (a $4 billion market) and its acquisition of Farfetch (a luxury fashion platform) signal a shift from regional to global player.
- Profitability: Gross profit rose 29% year-over-year in 2024, excluding currency impacts.

At a $41 billion market cap, Coupang trades at just 13x its trailing free cash flow—a discount to peers like Amazon (AMZN), which trades at 25x. This valuation gap is perplexing given its unit economics and growth profile.

Airbnb (ABNB): Betting Big on Globalization and New Services

Airbnb’s shares have fallen to $118—a 9% drop from their 2023 high—as investors worry about slowing travel demand. Yet the company’s 2024 performance reveals a business in transition, not retreat. Gross bookings hit $81.8 billion in 2024, up 12% from 2023, driven by surging demand in emerging markets like Japan (+20% Q4 growth) and Brazil (+25% Q4 growth).

Why now?
- New Revenue Streams: Airbnb is diversifying beyond home rentals with travel packages, concierge services, and even cleaning add-ons—a move to boost average spending per user.
- Balance Sheet Strength: With $4.8 billion in cash and no debt, the company can weather macro headwinds while investing in tech and marketing.
- Catalysts Ahead: Regulatory clarity in key markets (e.g., France’s approval of short-term rentals) and product launches (e.g., AI-driven itinerary planning) could reaccelerate growth.

At $64 billion market cap, Airbnb trades at 7.6x its 2024 revenue—a valuation that ignores its $81.8 billion in gross bookings, which are 14x higher than revenue. This disconnect suggests the market is underestimating its long-term value.

Common Risks, Compelling Rewards

Both stocks face headwinds: Coupang’s Taiwan expansion could hit regulatory hurdles, while Airbnb’s U.S. bookings have slowed. Yet these risks are already priced into their valuations.

Consider this: Coupang’s $1 billion in free cash flow and Airbnb’s $1.2 billion in net income (2024 estimate) reflect businesses that generate real profit. Meanwhile, their balance sheets are bulletproof—Coupang holds $3.2 billion in cash, and Airbnb’s net cash position is $1.1 billion.

Conclusion: A Buy-and-Hold Opportunity

The case for Coupang and Airbnb hinges on a simple premise: Both are undervalued relative to their long-term growth trajectories.

• Coupang: With 60% of South Korea’s retail still offline, its Rocket Wow service could capture $10 billion in incremental revenue over five years. At current valuations, that implies a 50% upside by 2027.
• Airbnb: Its $81.8 billion in gross bookings represent just 2% of the global travel market. Even capturing 5% of that market would double its revenue, making its $64 billion market cap a steal.

While skeptics will cite near-term risks, these stocks offer a rare blend of stability and ambition. For investors with a multi-year horizon, buying the dip could pay off handsomely. As the old adage goes: “Be fearful when others are greedy, and greedy when others are fearful.”

In this case, fear has driven prices too low—making these two stocks near the bottom of their valuation cycles, but at the top of their potential.

Note: All data is as of April 2025. Past performance does not guarantee future results.