Analyzing Auto Trader Group (OTCMKTS:ATDRY) & Coupang (NYSE:CPNG)

Auto Trader Group (OTCMKTS:ATDRY) and Coupang (NYSE:CPNG) are both retail/wholesale companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, analyst recommendations, earnings, dividends, valuation, profitability and institutional ownership.

Earnings & Valuation

This table compares Auto Trader Group and Coupang”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Auto Trader Group	$766.77 million	7.90	$360.57 million	N/A	N/A
Coupang	$30.27 billion	1.21	$154.00 million	$0.21	95.31

Auto Trader Group has higher earnings, but lower revenue than Coupang.

Institutional & Insider Ownership

0.0% of Auto Trader Group shares are held by institutional investors. Comparatively, 83.7% of Coupang shares are held by institutional investors. 12.8% of Coupang shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Risk and Volatility

Auto Trader Group has a beta of 1.19, meaning that its share price is 19% more volatile than the S&P 500. Comparatively, Coupang has a beta of 1.2, meaning that its share price is 20% more volatile than the S&P 500.

Profitability

This table compares Auto Trader Group and Coupang’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Auto Trader Group	N/A	N/A	N/A
Coupang	1.16%	6.95%	1.83%

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Auto Trader Group and Coupang, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Auto Trader Group	2	1	1	0	1.75
Coupang	0	4	5	0	2.56

Coupang has a consensus price target of $32.57, suggesting a potential upside of 62.73%. Given Coupang’s stronger consensus rating and higher probable upside, analysts clearly believe Coupang is more favorable than Auto Trader Group.

Summary

Coupang beats Auto Trader Group on 10 of the 12 factors compared between the two stocks.

About Auto Trader Group

Auto Trader Group plc operates in the digital automotive marketplace in the United Kingdom and Ireland. The company provides vehicle advertisement on its websites for private sellers, as well as insurance and loan financing products to consumers; and display advertising on its websites for manufacturers and their advertising agencies. The company offers its products to retailers, home traders, and logistics firms. Auto Trader Group plc was founded in 1977 and is headquartered in Manchester, the United Kingdom.

About Coupang

Coupang, Inc., together with its subsidiaries owns and operates retail business through its mobile applications and Internet websites primarily in South Korea. The company operates through Product Commerce and Developing Offerings segments. It sells various products and services in the categories of home goods and décor products, apparel, beauty products, fresh food and groceries, sporting goods, electronics, and everyday consumables, as well as travel, and restaurant order and delivery services. In addition, the company offers Rocket Fresh, which offers fresh groceries; Coupang Eats, a restaurant ordering and delivery services; and Coupang Play, an online content streaming services, as well as advertising products. It also performs operations and support services in the United States, South Korea, Taiwan, Singapore, China, Japan, and India. Coupang, Inc. was incorporated in 2010 and is headquartered in Seattle, Washington.