CPNG - Buy This Monster Stock Before It Becomes the Next Technology Giant
2023-11-12 07:15:00 ET
Investors love initial public offerings (IPOs) . There is excitement around a young company making its debut on the stock market, with investors looking for wild price swings and the famous IPO "pop" in order to get a quick return.
But what if I told you investing in IPOs was a terrible idea? The data on IPO returns is sobering, with an estimated two-thirds of them underperforming the broad market three years after going public. If you buy a stock right after its IPO, the odds are against you.
One company that fell victim to the IPO curse is Coupang (NYSE: CPNG) . The e-commerce titan in South Korea is off 70% from all-time highs after going public in 2021. However, if you look at the underlying business fundamentals, Coupang is executing flawlessly right now. This was evident in its recent third-quarter earnings release.
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Buy This Monster Stock Before It Becomes the Next Technology Giant