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Finance

Coupang (CPNG) Stock Price Prediction for 2021? Will It Rise or Fall?

Why is Coupang stock dropping?

Coupang shares fell 1.50 percent on April 21 to close below $42. The stock has pulled back 40 percent from its peak and now trades just a few cents from its all-time low of $41.41. The company went public in March, selling shares at $35 apiece. CPNG stock had a strong debut, closing the first day of trading just shy of $50.

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It seems Coupang may be a victim of its own early success. The company’s IPO came with lockups, which prevented insiders like staff and funds that invested in it early from selling their shares for up to six months. But the lockups were designed to expire early if the stock performed well, and it did. 

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In about a week after the debut, CPNG stock reached a price threshold that allowed non-executive employees to start selling their shares. Shortly after, it hit a price threshold that also allowed funds to start selling shares. With insiders rushing to sell, supply has exceeded demand in CPNG stock, resulting in the price drop. 

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View more information: https://marketrealist.com/p/coupang-price-prediction-2021/

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