What I’m Buying Right Now
"The market does reflect the available information, as the academics tell us. But just as the funhouse mirror reflects your figure, it distorts it." — Bill Miller
The overall market is sitting near all-time highs but there are individual stocks and entire sectors out there getting absolutely hammered right now.
You’d have no idea any of this was happening if you just looked at the index. But start poking around a little and there are genuinely great businesses sitting at prices I never expected to see, or at least not this soon.
Good businesses going through temporary noise getting priced like the noise is forever.
The timeless Buffett adage tells us to be greedy when others are fearful. Well, I’m happy to report that I am, in fact, being greedy. I’ve been actively adding to three specific names over the past couple weeks.
All three got hit for different reasons but in each case I think the selloff went way too far.
1.) Coupang (CPNG)
I’ve written about Coupang a few times recently so I’ll keep this one brief. If you want the full story, the posts linked below are worth a read:
![[Update] Coupang (CPNG)](https://substackcdn.com/image/fetch/$s_!m76d!,w_140,h_140,c_fill,f_webp,q_auto:good,fl_progressive:steep,g_auto/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F9b9aa7a6-fe3b-4b3f-b1c0-11ed9b7bae1c_3000x2000.jpeg)
For those who are unfamiliar with the name: Coupang is the dominant e-commerce platform in South Korea. Think Amazon, but in a country with 52 million people crammed into an area smaller than Indiana. The density makes logistics economics absurdly attractive.
They’ve built their own end-to-end fulfillment network that covers essentially the entire country, and they deliver something like 99% of orders within 24 hours. Many of them before dawn the next day. It’s a genuine competitive moat that would take years and billions of dollars to replicate.
The stock is down about ~50% over the past 3 months because a former employee accessed personal data tied to 33.7 million customer accounts.
It was one person who shouldn’t have had access anymore. Not a cyberattack or a systemic failure and no payment data was compromised. But the headlines have done some damage…
I think the market is pricing this like the data breach is an existential event. It isn’t.
South Korean consumers are not going to abandon the platform that delivers their groceries before sunrise because a former employee accessed some account data. The convenience is addictive. They’ll pay the fines, they’ll beef up security, and they’ll move on.
Earnings are February 26th. I wouldn’t be surprised if that becomes a catalyst.