Sea Limited Intrinsic Stock Value – SEA LIMITED Reports 4.9% Increase in Total Revenue for FY2023 Q3
December 4, 2023
🌧️Earnings Overview
On November 14 2023, SEA LIMITED ($NYSE:SE) disclosed their financials for Q3 of FY2023, revealing total revenue of USD 3310.2 million, representing a 4.9% rise from the same quarter of the previous year. Net income was reported at USD -144.0 million, an impressive improvement from the -569.3 million reported in the same quarter of the previous year.
Analysis – Sea Limited Intrinsic Stock Value
GoodWhale has performed a thorough analysis of SEA LIMITED‘s financials and concluded that the intrinsic value of its shares is approximately $208.1. This figure was calculated using our proprietary Valuation Line. At the current stock price of $35.9, SEA LIMITED is significantly undervalued by 82.8%. This presents an opportunity for investors looking to gain exposure to a strong company at an attractive price. SEA LIMITED’s strong balance sheet, cash flow, and revenue growth make it an attractive buy in today’s market. Furthermore, with its low-cost structure and innovative approach to technology, the company is well-positioned to benefit from long-term growth in the digital economy. More…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Sea Limited. More…
| Total Revenues | Net Income | Net Margin |
| 12.9k | 687.26 | 7.5% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Sea Limited. More…
| Operations | Investing | Financing |
| 2.12k | -4.7k | -331.08 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Sea Limited. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 18.03k | 11.45k | 11.37 |
Key Ratios Snapshot
Some of the financial key ratios for Sea Limited are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 53.2% | – | 6.8% |
| FCF Margin | ROE | ROA |
| 8.9% | 8.4% | 3.0% |
Peers
Sea Ltd is a gaming company that operates in various countries. Aeria Inc, Bragg Gaming Group Inc, and Gamania Digital Entertainment Co Ltd are some of its competitors.
– Aeria Inc ($TSE:3758)
Aeria Inc is a global publisher of online games. The company was founded in 2006 and is headquartered in Santa Clara, California. Aeria Inc has a market cap of 10.01B as of 2022, a Return on Equity of 3.69%. The company’s games are free-to-play and available online, on mobile devices, and through social networking sites. Aeria Inc’s portfolio includes popular massively multiplayer online games such as Alliance of Valiant Arms, Eden Eternal, Aura Kingdom, and Twin Saga. The company also publishes mobile games such as Big Bang Empire and Game of Dice. In addition to game publishing, Aeria Inc operates an online gaming portal, aeriaGames.com, which offers a variety of casual and social games.
– Bragg Gaming Group Inc ($TSX:BRAG)
Bragg Gaming Group Inc is a Canadian online gaming company. The company operates in the online gambling and gaming industry. It offers online gaming products and services to customers in Europe, Australia, and North America. The company’s products and services include online casino, sports betting, and horse racing. Bragg Gaming Group Inc is headquartered in Toronto, Canada.
– Gamania Digital Entertainment Co Ltd ($TPEX:6180)
Gamania Digital Entertainment Co Ltd has a market cap of 9.35B as of 2022, a Return on Equity of 20.25%. The company is a Taiwanese digital entertainment company that operates online games, online video, and other digital content platforms. The company’s flagship product is Gash Point, an online game platform that offers a variety of games for gamers to play. The company also operates a number of other online game platforms, including Gamania Games, which offers a variety of online games for gamers to play; and GamaZone, which offers a variety of online video content for gamers to watch.
Summary
SEA Limited‘s latest earnings results show a year-on-year increase in revenue, though net income was still in the negative. Investors reacted negatively to the news, with the stock price dropping on the same day. This suggests that investors are expecting more from the company in terms of profitability and growth.
Long-term investors may want to do further research into SEA Limited before making any decisions, as the company is still in a period of transition. It could be a good opportunity for those looking to buy in at a lower cost, but caution should still be exercised.
