SE - Sea Limited's Rally Was Too Fast & Furious - Time To Hit The Brake
2024-03-16 09:30:00 ET
Summary
- SE remains a Hold here, with the stock recording immense recovery over the past few months well exceeding the wider market.
- The GMV wins are only attributed to TikTok Shop's inactive e-commerce presence in Indonesia, with things likely to dramatically change once the GoTo/ TikTok Shop platform is launched.
- Combined with the more than doubled FWD valuations and elevated short interest, there remains great volatility ahead, depending on the management's ability to deliver the profitable growth target.
We previously covered Sea Limited ( SE ) in December 2023, discussing the latest developments on the e-commerce scene in Indonesia, with SE seemingly left out as TikTok chose to partner with GoTo, with the new monopolistic Super App presence likely to trigger headwinds in the former's near-term prospects....
Sea Limited's Rally Was Too Fast & Furious - Time To Hit The Brake