Coupang, Inc. (CPNG) vs PDD Holdings Inc. Sponsored ADR (PDD)

Coupang, Inc. and PDD Holdings Inc. Sponsored ADR are both Internet Retail companies. PDD Holdings Inc. Sponsored ADR is the larger, with a market value of $110.9B against $25.1B — 4.4× the size. Coupang, Inc. has negative trailing earnings, so its P/E is not meaningful; PDD Holdings Inc. Sponsored ADR trades at 8.1×. PDD Holdings Inc. Sponsored ADR grew revenue faster over the last twelve months: 17.3% against 9.92%. PDD Holdings Inc. Sponsored ADR has the higher net margin (20.4% vs −2.16%) and the higher return on invested capital (0.00% vs 0.00%). Across the 18 metrics below, PDD Holdings Inc. Sponsored ADR leads on 15 and Coupang, Inc. on 3.

Valuation

Metric CPNG PDD Internet Retail median
P/E n/m 8.09 22.73
P/S 0.70 1.65 0.64
P/B 8.36 1.65 1.65
Price to free cash flow 237.81 6.89 14.11
EV/EBITDA n/m 2.21 15.68
EV/Sales 0.55 0.48 0.76
Earnings yield (3.13%) 12.36% (0.11%)
Free cash flow yield 0.42% 14.52% 0.00%

Profitability

Metric CPNG PDD Internet Retail median
Gross margin 28.35% 56.33% 43.51%
Operating margin (1.77%) 21.85% 0.08%
Net margin (2.16%) 20.44% 0.56%
Free cash flow margin 0.30% 24.71% 0.00%
Return on equity (19.99%) 23.16% 0.00%
Return on assets (4.35%) 15.25% 0.00%
Return on invested capital 0.00% 0.00% 0.00%

Growth

Metric CPNG PDD Internet Retail median
Revenue growth (TTM) 9.92% 17.30% 10.60%
EPS growth (last fiscal year) 37.50% (7.88%) —
Revenue growth, 5-year CAGR 23.61% 46.61% 10.81%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CPNG PDD Internet Retail median
Debt to equity 0.21 0.00 0.13
Current ratio 0.87 2.62 1.49
Net debt to EBITDA (5.82) (5.16) (0.25)

Dividend

Metric CPNG PDD Internet Retail median
Dividend yield — — —
Payout ratio 0.00 0.00 0.00

Size

Metric CPNG PDD Internet Retail median
Market cap 25.11b 110.90b 443.85m

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