SEA (NYSE:SE) Announces Earnings Results

SEA (NYSE:SE) posted its quarterly earnings results on Tuesday. The Internet company based in Singapore reported $0.78 EPS for the quarter, missing analysts’ consensus estimates of $1.04 by ($0.26), FiscalAI reports. SEA had a net margin of 5.98% and a return on equity of 13.54%. The business had revenue of $8.58 billion for the quarter, compared to the consensus estimate of $8.08 billion. During the same period in the prior year, the business earned $0.59 earnings per share. SEA’s revenue was up 43.7% compared to the same quarter last year.

Here are the key takeaways from SEA’s conference call:

• Sea reported $8.6 billion in third-quarter revenue, $931 million in adjusted EBITDA and $502 million in net income; management also plans an additional $1 billion share repurchase after nearly completing its prior program.
• Shopee posted 23% GMV growth and 26% order growth, with adjusted EBITDA rising 45% to $269 million, its highest quarterly result. Sea reaffirmed its 2026 targets of around 25% GMV growth and $1 billion in adjusted EBITDA, while noting that investment continues to absorb some monetization gains.
• Monee’s loan book grew 60% to $12.6 billion, serving nearly 44 million active credit users, and Sea is considering a standalone listing in one to three years. Its 90-day NPL ratio was 1.3%, a modest increase that management attributed partly to market and product mix, prompting tighter underwriting in selected segments.
• Garena bookings increased 6% to $890 million and adjusted EBITDA rose 46% to $458 million, supported by Free Fire and Arena of Valor engagement.
• Sea Cloud is an early-stage AI initiative intended to sell the company’s internal capabilities to external organizations, but it has not secured enterprise contracts. Management described it as a long-term opportunity and said investments will be selective, tied to customer commitments and attractive returns.

SEA Price Performance

NYSE SE traded up $1.51 during trading on Tuesday, hitting $79.47. 10,643,961 shares of the stock traded hands, compared to its average volume of 5,123,119. The company has a market capitalization of $48.56 billion, a P/E ratio of 30.68, a price-to-earnings-growth ratio of 0.83 and a beta of 1.58. The firm has a 50-day simple moving average of $94.01 and a 200-day simple moving average of $97.61. The company has a quick ratio of 1.48, a current ratio of 1.49 and a debt-to-equity ratio of 0.07. SEA has a 12-month low of $71.53 and a 12-month high of $159.09.

Insider Buying and Selling

In related news, insider Yanjun Wang sold 800 shares of the firm’s stock in a transaction on Monday, November 9th. The shares were sold at an average price of $78.32, for a total value of $62,656.00. Following the completion of the transaction, the insider directly owned 64,780 shares of the company’s stock, valued at approximately $5,073,569.60. This trade represents a 1.22% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Feng Zhao sold 30,000 shares of the business’s stock in a transaction on Wednesday, November 4th. The stock was sold at an average price of $80.22, for a total transaction of $2,406,600.00. Following the completion of the sale, the insider owned 63,580 shares in the company, valued at $5,100,387.60. This represents a 32.06% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 876,036 shares of company stock worth $97,506,130. Corporate insiders own 0.22% of the company’s stock.

Wall Street Analyst Weigh In

SE has been the subject of several research analyst reports. Morgan Stanley reiterated an “overweight” rating and set a $153.00 target price on shares of SEA in a research report on Thursday, August 13th. Wall Street Zen downgraded SEA from a “buy” rating to a “hold” rating in a research note on Sunday, November 1st. Barclays upped their price target on SEA from $122.00 to $156.00 and gave the stock an “overweight” rating in a research note on Wednesday, August 12th. Arete Research raised shares of SEA from a “neutral” rating to a “buy” rating and set a $152.00 price objective for the company in a report on Monday, September 7th. Finally, Weiss Ratings upgraded shares of SEA from a “hold (c-)” rating to a “hold (c)” rating in a research report on Wednesday, August 12th. One research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $137.73.

Key Stories Impacting SEA

Here are the key news stories impacting SEA this week:

• Positive Sentiment: Q3 revenue rose 43.4% year over year to $8.6 billion, above the $8.08 billion consensus. Net income increased 34% to $502.5 million, gross profit rose 51.4% to $3.9 billion, and adjusted EBITDA grew 28.9% to $931.3 million. Sea Limited Q3 results
• Positive Sentiment: Shopee continued to drive growth, with gross merchandise value up 23.3% to $39.7 billion; Monee revenue grew 63.9%, and Garena EBITDA increased 45.9%. Sea Limited growth and quarterly profit
• Neutral Sentiment: An insider sold 800 shares in each of two disclosed transactions. The sales were small relative to the insider’s remaining holdings and may have limited significance for the investment outlook. SEC insider transaction filing
• Negative Sentiment: GAAP EPS was $0.78, below the $1.04 analyst consensus. Higher credit-loss provisions at Monee—up 82.3%—also raise concerns about lending risk and could help explain the negative reaction reported in premarket trading despite revenue growth. Sea Q3 expectations and stock reaction

SEA Company Profile

Sea Limited is a Singapore-based technology company operating digital entertainment, e-commerce and digital financial services businesses. Founded in 2009 as Garena, the company adopted the name Sea Limited in 2017. Its digital entertainment business, Garena, publishes and develops online games and also provides a platform for users to access games and connect with other players. Shopee, Sea’s e-commerce platform, serves consumers and merchants in Southeast Asia and other markets, including Taiwan and parts of Latin America.