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Coupang (Coupang) ROE %

: 117.73% (As of Dec. 2023)
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ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Coupang's annualized net income for the quarter that ended in Dec. 2023 was $4,131 Mil. Coupang's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $3,509 Mil. Therefore, Coupang's annualized ROE % for the quarter that ended in Dec. 2023 was 117.73%.

The historical rank and industry rank for Coupang's ROE % or its related term are showing as below:

CPNG' s ROE % Range Over the Past 10 Years
Min: -4.01   Med: 18.91   Max: 46.05
Current: 46.05

During the past 6 years, Coupang's highest ROE % was 46.05%. The lowest was -4.01%. And the median was 18.91%.

CPNG's ROE % is ranked better than
94.3% of 1087 companies
in the Retail - Cyclical industry
Industry Median: 6.02 vs CPNG: 46.05

Coupang ROE % Historical Data

The historical data trend for Coupang's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Coupang Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Premium Member Only - - - -4.01 41.83

Coupang Quarterly Data
Dec18 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
ROE % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 17.81 14.61 21.77 12.81 117.73

Competitive Comparison

For the Internet Retail subindustry, Coupang's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Coupang ROE % Distribution

For the Retail - Cyclical industry and Consumer Cyclical sector, Coupang's ROE % distribution charts can be found below:

* The bar in red indicates where Coupang's ROE % falls into.



Coupang ROE % Calculation

Coupang's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=1360/( (2414+4089)/ 2 )
=1360/3251.5
=41.83 %

Coupang's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %=Net Income (Q: Dec. 2023 )/( (Total Stockholders Equity (Q: Sep. 2023 )+Total Stockholders Equity (Q: Dec. 2023 ))/ count )
=4130.612/( (2928.377+4089)/ 2 )
=4130.612/3508.6885
=117.73 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Dec. 2023) net income data. ROE % is displayed in the 30-year financial page.


Coupang  (NYSE:CPNG) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Dec. 2023 )
=Net Income/Total Stockholders Equity
=4130.612/3508.6885
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(4130.612 / 26244.104)*(26244.104 / 12454.3845)*(12454.3845 / 3508.6885)
=Net Margin %*Asset Turnover*Equity Multiplier
=15.74 %*2.1072*3.5496
=ROA %*Equity Multiplier
=33.17 %*3.5496
=117.73 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2023 )
=Net Income/Total Stockholders Equity
=4130.612/3508.6885
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (4130.612 / 689.252) * (689.252 / 524.396) * (524.396 / 26244.104) * (26244.104 / 12454.3845) * (12454.3845 / 3508.6885)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 5.9929 * 1.3144 * 2 % * 2.1072 * 3.5496
=117.73 %

Note: The net income data used here is four times the quarterly (Dec. 2023) net income data. The Revenue data used here is four times the quarterly (Dec. 2023) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Coupang ROE % Related Terms

Thank you for viewing the detailed overview of Coupang's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Coupang (Coupang) Business Description

Traded in Other Exchanges
Address
720 Olive Way, Suite 600, Seattle, WA, USA, 05510
Coupang Inc is an e-commerce company. The company sells apparel, electronics, footwear, food products, furniture, nutritional supplements, and other products. Its segments include Product Commerce and Developing Offerings. The company generates maximum revenue from the Product Commerce segment. Product Commerce primarily includes core retail (owned inventory) and marketplace offerings (third-party merchants) and Rocket Fresh, fresh grocery offering, as well as advertising products associated with these offerings.
Executives
Tae Jung Kim officer: See Remarks 720 OLIVE WAY, SUITE 600, SEATTLE WA 98101
Svf Investments (uk) Ltd 10 percent owner 69 GROSVENOR STREET, LONDON X0 W1K3JP
Benjamin Sun director C/O COUPANG, INC., TOWER 730, 570, SONGPA-DAERO, SONGPA-GU, SEOUL M5 05510
Greenoaks Capital Partners Llc director, 10 percent owner, other: See Remarks 4 ORINDA WAY BUILDING C, SUITE 200, ORINDA CA 94563
Pedro Franceschi director C/O COUPANG, INC., TOWER 730, 570, SONGPA-DAERO,SONGPA-GU, SEOUL M5 05510
Hanseung Kang officer: Rep Director, Business Mngmt C/O COUPANG, INC., TOWER 730, 570, SONGPA-DAERO, SONGPA-GU, SEOUL M5 05510
Ambereen Toubassy director 720 OLIVE WAY, SUITE 600, SEATTLE WA 98101
Harold Rogers officer: See Remarks C/O COUPANG, INC., TOWER 730, 570, SONGPA-DAERO, SONGPA-GU, SEOUL M5 05510
Jonathan D. Lee officer: Chief Accounting Officer ONE PARK PLACE, SUITE 600, DUBLIN CA 94568
Thuan Pham officer: Chief Technology Officer 1455 MARKET STREET 4TH FLOOR, SAN FRANCISCO CA 94103
Neil Mehta director 535 PACIFIC AVENUE, 4TH FLOOR, SAN FRANCISCO CA 94133
Kevin M Warsh director 55 GLENLAKE PARKWAY, NE, ATLANTA GA 30328
Michael Parker officer: Chief Accounting Officer C/O COUPANG, INC., TOWER 730, 570, SONGPA-DAERO, SONGPA-GU, SEOUL M5 05510
Jason Child director C/O SPLUNK INC., 270 BRANNAN ST., SAN FRANCISCO CA 94107
Gaurav Anand officer: Chief Financial Officer C/O COUPANG, INC., TOWER 730, 570, SONGPA-DAERO, SONGPA-GU, SEOUL M5 05510

Coupang (Coupang) Headlines

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