Coupang, Inc. (CPNG): A Bull Case Theory

We came across a bullish thesis on Coupang, Inc. on R. Dennis’s Substack by OppCost. In this article, we will summarize the bulls’ thesis on CPNG. Coupang, Inc.'s share was trading at $20.16 as of January 30th. CPNG’s trailing and forward P/E were 95.19 and 41.67 respectively according to Yahoo Finance.

Coupang, Inc., together with its subsidiaries, owns and operates retail business through its mobile applications and internet websites in South Korea and internationally. CPNG is being positioned as a high-conviction, short-to-medium-term bullish opportunity built around the idea that the stock has likely found a bottom following a sharp selloff. Shares have come under significant pressure after a widely publicized data breach and the subsequent wave of class-action lawsuits, driving the stock down from the mid-$30s to roughly $23.

With the 52-week low near $19, the current price range is viewed as a strong technical floor, suggesting that the bulk of the negative news is already reflected in the stock. Rather than betting on an aggressive upside breakout, the thesis is centered on stabilization and mean reversion as sentiment normalizes.

The attractiveness of the trade lies in the asymmetric risk-reward over a relatively short, five-month window. Selling downside exposure around the $20 level allows investors to collect roughly $1 in premium on a $20 strike, translating to a 5% return in under half a year, or approximately 12% on an annualized basis. This level of income is compelling for a company that continues to be widely viewed as a long-term structural winner in South Korean e-commerce, logistics, and digital services, despite near-term headline risk.

Notably, the appearance of a 2,000-contract block trade reinforces confidence in the setup. This represents roughly $200,000 in immediate premium collected by sophisticated market participants, signaling institutional conviction that downside risk below $20 is limited. As a result, what might otherwise be seen as a volatile e-commerce name is reframed into a disciplined income-oriented bullish position, where time decay and improving sentiment work in the investor’s favor while downside risk remains defined.

Previously, we covered a bullish thesis on Coupang, Inc. (CPNG) by Brian Coughlin in April 2025, which highlighted the company’s vertically integrated logistics moat, customer-centric model, and long-term margin expansion potential. CPNG’s stock price has depreciated by approximately 5.75% since our coverage due to data breach concerns and related lawsuits. OppCost shares a similar view but emphasizes on a short-term bottoming setup and income-focused options strategy.

Coupang, Inc. is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 83 hedge fund portfolios held CPNG at the end of the third quarter which was 82 in the previous quarter. While we acknowledge the potential of CPNG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy NOW 

Disclosure: None.