COUP Stock Overview
Coupa Software Incorporated provides cloud-based business spend management platform.
Coupa Software Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$127.30|
|52 Week High||US$377.04|
|52 Week Low||US$126.83|
|1 Month Change||-19.09%|
|3 Month Change||-48.24%|
|1 Year Change||-62.77%|
|3 Year Change||58.26%|
|5 Year Change||382.75%|
|Change since IPO||282.51%|
Recent News & Updates
Coupa: This Selloff Is Far Overdone
Shares of Coupa have sunk 60% over the past year and 20% since the start of January alone. The company remains the category leader in B2B procurement software, and continued ~40% y/y growth illustrates the enormity of the company's TAM. With positive pro forma operating income, Coupa is also a member of the vaunted Rule of 40 club. The stock trades at ~12x forward revenue, the cheapest at which Coupa has traded in recent memory.
Is Coupa Software (NASDAQ:COUP) Using Too Much Debt?
The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...
Coupa Software: Investor Panic Brings A Generational Opportunity
After a massive correction, Coupa's stock has become very reasonable, and I believe this is an opportune time for a long-term investment. Despite the bearish price action, Coupa's business fundamentals remain strong as evidenced by Q3 2021 earnings. Coupa's intrinsic value is ~$220 per share, i.e., it is undervalued by ~30%. Since Coupa's ten-year expected CAGR returns of ~19.2% beat my hurdle rate, I rate it a buy.
|COUP||US Software||US Market|
Return vs Industry: COUP underperformed the US Software industry which returned 9.6% over the past year.
Return vs Market: COUP underperformed the US Market which returned 6.6% over the past year.
|COUP Average Weekly Movement||7.4%|
|Software Industry Average Movement||8.7%|
|Market Average Movement||6.6%|
|10% most volatile stocks in US Market||15.7%|
|10% least volatile stocks in US Market||2.4%|
Stable Share Price: COUP is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: COUP's weekly volatility (7%) has been stable over the past year.
About the Company
Coupa Software Incorporated provides cloud-based business spend management platform. Its platform connects organizations with suppliers globally; and provides visibility into and control over how companies spend money, optimize supply chains, and manage liquidity, as well as enables businesses to achieve savings that drive profitability. The company’s platform consists of procurement, invoicing, expense management, and payment modules that form the transactional engine for managing a company’s business spend; and offers specialized modules, including strategic sourcing, contract management, contingent workforce, supplier risk management, supply chain design and planning, treasury management, and spend analysis.
Coupa Software Fundamentals Summary
|COUP fundamental statistics|
Is COUP overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|COUP income statement (TTM)|
|Cost of Revenue||US$316.20m|
Last Reported Earnings
Oct 31, 2021
Next Earnings Date
|Earnings per share (EPS)||-4.61|
|Net Profit Margin||-49.52%|
How did COUP perform over the long term?See historical performance and comparison
Is Coupa Software undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: COUP ($127.3) is trading below our estimate of fair value ($152.68)
Significantly Below Fair Value: COUP is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: COUP is unprofitable, so we can't compare its PE Ratio to the US Software industry average.
PE vs Market: COUP is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate COUP's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: COUP is overvalued based on its PB Ratio (10.2x) compared to the US Software industry average (4.9x).
How is Coupa Software forecast to perform in the next 1 to 3 years based on estimates from 25 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: COUP is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: COUP is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: COUP is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: COUP's revenue (21.8% per year) is forecast to grow faster than the US market (9.2% per year).
High Growth Revenue: COUP's revenue (21.8% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: COUP's Return on Equity is forecast to be low in 3 years time (13.5%).
How has Coupa Software performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: COUP is currently unprofitable.
Growing Profit Margin: COUP is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: COUP is unprofitable, and losses have increased over the past 5 years at a rate of 48.1% per year.
Accelerating Growth: Unable to compare COUP's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: COUP is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (20.5%).
Return on Equity
High ROE: COUP has a negative Return on Equity (-35.73%), as it is currently unprofitable.
How is Coupa Software's financial position?
Financial Position Analysis
Short Term Liabilities: COUP's short term assets ($898.3M) do not cover its short term liabilities ($1.1B).
Long Term Liabilities: COUP's short term assets ($898.3M) do not cover its long term liabilities ($1.1B).
Debt to Equity History and Analysis
Debt Level: COUP's net debt to equity ratio (97.5%) is considered high.
Reducing Debt: Insufficient data to determine if COUP's debt to equity ratio has reduced over the past 5 years.
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable COUP has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: COUP is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 56.3% per year.
What is Coupa Software current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate COUP's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate COUP's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if COUP's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if COUP's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of COUP's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Rob Bernshteyn (48 yo)
Mr. Robert Bernshteyn, also known as Rob, has been the Chief Executive Officer and Chairman of The Board of Coupa Software Incorporated since February 2009. Mr. Bernshteyn serves as a Member of Advisory Bo...
CEO Compensation Analysis
Compensation vs Market: Rob's total compensation ($USD16.08M) is above average for companies of similar size in the US market ($USD6.45M).
Compensation vs Earnings: Rob's compensation has increased whilst the company is unprofitable.
Experienced Management: COUP's management team is considered experienced (4.1 years average tenure).
Experienced Board: COUP's board of directors are considered experienced (5.9 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.5%.
Coupa Software Incorporated's employee growth, exchange listings and data sources
- Name: Coupa Software Incorporated
- Ticker: COUP
- Exchange: NasdaqGS
- Founded: 2006
- Industry: Application Software
- Sector: Software
- Implied Market Cap: US$9.507b
- Shares outstanding: 74.68m
- Website: https://www.coupa.com
Number of Employees
- Coupa Software Incorporated
- 1855 South Grant Street
- San Mateo
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/01/21 23:49|
|End of Day Share Price||2022/01/21 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.