Equity Analyst, LightStream Research

Oshadhi Kumarasiri

An equity research analyst with over 7 years of experience in multiple sectors. Previously worked for one of the world's largest asset managers with about USD2.5trn in AUM, covering small and micro-cap companies in the consumer sphere across Europe and developed Asia. Also experienced in covering multiple industries including banking, insurance and asset management, retail, tech, telco and REIT.

Equity Analyst

Coupang Popped 41% On Trading Debut, But Could Un-Pop As Lock-Up For 34.0m Shares Ends in Six Days

Coupang: Early Lockup Releases & Local Regulatory Risks

Triggering Point & Timing for Shorting Coupang

Coupang IPO: Not Worth Subscribing at Rumoured 50.0bn Valuation

Coupang IPO: Significantly Overvalued As a LT Investment & Too Risky To Bet On The Short Term Upside

Coupang IPO: Initial Thoughts on Rumoured $50.0bn Valuation

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Equity Capital Markets

<p><a href="https://www.smartkarma.com/entities/coupang" target="_blank" data-smartkarma-citation="entities:28425:1" rel="noopener">Coupang (CPNG US)</a>, the largest e-commerce company in South Korea filled an updates S-1 yesterday, which saw the offer price rage increasing from $27.0-30.0 per share to $30.0-32.0 per share.</p><p>Previously, we said that the IPO valuation of Coupang was extremely expensive and the revised offer price range makes it even more expensive with new market cap and post money EV of $54.9-58.3bn (previously $46.1-51.2bn) and $51.6-54.8bn (previously $43.3-48.1bn) respectively.</p><p>Nonetheless, the demand for the IPO of this South Korean e-commerce giant seems strong, despite the obvious signs of weakening investor enthusiasm on the overall e-commerce sector.</p><p>Like most of the high profile tech IPOs in the recent past, we could expect shares to open trading at a significant premium to the IPO price. However, the changing market sentiment on e-commerce pose huge risks and momentum trading needs to be carefully thought out. We suggest short term IPO investors should consider cashing out earlier than usual.</p><div style="text-align: left;" class="content-caption">Even though we expect the share price to pop immediately following the IPO, the insight is labelled bearish as we consider Coupang is overvalued on a long term basis.</div>

Coupang (CPNG US), the largest e-commerce company in South Korea filled an updates S-1 yesterday, which saw the offer price rage increasing from $27.0-30.0 per share to $30.0-32.0 per share.Previously, we said that the IPO valuation of Coupang was extremely expensive and the revised offer price range makes it even more expensive with new market cap and post money EV of $54.9-58.3bn (previously $46.1-51.2bn) and $51.6-54.8bn (previously $43.3-48.1bn) respectively.Nonetheless, the demand for the IPO of this South Korean e-commerce giant seems strong, despite the obvious signs of weakening investor enthusiasm on the overall e-commerce sector.Like most of the high profile tech IPOs in the recent past, we could expect shares to open trading at a significant premium to the IPO price. However, the changing market sentiment on e-commerce pose huge risks and momentum trading needs to be carefully thought out. We suggest short term IPO investors should consider cashing out earlier than usual.Even though we expect the share price to pop immediately following the IPO, the insight is labelled bearish as we consider Coupang is overvalued on a long term basis.

Coupang Ups Offer Price Range by 13-19%, As Investors Seem to Ignore The Company's 1P Exposure