Singapore-based tech giant Sea Ltd. (SE, Financial), often dubbed the "Little Tencent of Southeast Asia," has seen its stock price soar nearly 200% this year, with its market value increasing by approximately $43 billion to over $60 billion. This surge follows a robust third-quarter earnings report, which revealed a 30.8% revenue increase to $4.33 billion, surpassing analysts' expectations.
Sea's three main business segments—e-commerce platform Shopee, gaming platform Garena, and digital finance SeaMoney—contributed to the strong performance. E-commerce revenue rose by 42.6% to $3.18 billion, while gaming and fintech revenues also exceeded forecasts. As a result, at least seven Wall Street firms, including Morgan Stanley and Deutsche Bank, have raised their price targets for Sea's ADRs.
Analysts predict Sea's adjusted net profit could nearly double this year and continue to grow similarly by 2025. Key growth drivers include its gaming collaboration with Tencent, internal e-commerce logistics expansion, and fintech developments.
