Shares of Sea Limited (NYSE: SE), southeast Asia's leading internet company, continue their wild ride. Sea's e-commerce business Shoppee is expected to reach breakeven by the end of 2023, but its profitable video game segment Garena (led by the global hit Free Fire) still struggles as many gamers return to work or school. With a long and hard road ahead of it, is now the time to buy Sea stock?
Instead, some of its peers abroad continue to grow rapidly, a factor that might lead investors to consider Shopify (NYSE: SHOP), MercadoLibre (NASDAQ: MELI), or Sea Limited (NYSE: SE) as the new top e-commerce stocks. Also, due to efforts to keep the cost of net revenue down, its $317 million in net income during the period surged 146% year over year.
The consensus price target hints at a 96.6% upside potential for Sea Limited Sponsored ADR (SE). While empirical research shows that this sought-after metric is hardly effective, an upward trend in earnings estimate revisions could mean that the stock will witness an upside in the near term.