Q: What is Sea Ltd 2024/Q1 Earnings Preview?
TigerGPT Answer: 【Forecast Data】
The financial forecast data for Sea Limited (SE) this quarter includes an earnings per share (EPS) of -$0.02, total revenue of $3,563,987,800, and EBIT of -$136,340,250. Compared to the same period last year:
- EPS has decreased from $0.15 to -$0.02, a change of -113.33%, indicating a significant downturn in profitability.
- Total revenue has increased from $3,041,104,000 to $3,563,987,800, a growth of 17.19%, suggesting an increase in the company's sales or services.
- EBIT has changed from $125,224,000 to -$136,340,250, a decrease of -208.89%, reflecting a substantial decline in earnings before interest and taxes.
The negative EPS and EBIT suggest that the company may be facing increased costs or challenges that are impacting profitability, despite the growth in revenue.
【Quarterly Important News】
The key news over the past quarter is the expansion of Belia Cosmetic, a major seller on Shopee Indonesia, which is part of the Sea Limited group. They have opened two offline stores to meet customer demand. This move could signify an important strategic development for Sea Limited, potentially increasing brand presence and customer engagement, which may contribute positively to future revenue streams.
【Forecast Viewpoints】
According to Zacks Consensus Estimate, there has been no change in the earnings estimate of $0.36 in the past 30 days, which is a 40.98% year-over-year decline. Revenue is expected to grow by 22.02% from the year-ago quarter. However, Sea Limited has a Zacks Rank #2 and an Earnings ESP of 0.00%, which does not strongly indicate an earnings beat. Analysts have revised the EPS estimate upwards by 6.4% in the past 30 days, which could be a positive sign for investor sentiment.
- Sea Limited (SE) to Report Q1 Earnings: What's in Store? Click here
- Wall Street's Insights Into Key Metrics Ahead of Sea Limited (SE) Q1 Earnings Click here
【Stock Trend Analysis】
Sea Limited's stock price has experienced a 32.62% increase from the last financial report release date to the current date. The latest price is $64.6701, with a support level at $66.02 and a resistance level at $54.52. This indicates a bullish trend, but the stock is currently trading below the support level, which could suggest a potential trend reversal or consolidation.
【Options Large Order Analysis】
The options large orders show a mix of bullish and bearish signals, with significant volume in both call and put options. However, the presence of large put option orders, such as the SE 20240621 60.0 put, may indicate that some investors are hedging or speculating on a potential decline in the stock price, which could suggest a lower probability of the financial report exceeding expectations.
【Analyst Ratings and Target Price Forecast】
With 13 recommendations, 14 buys, and 4 holds, the analyst consensus seems generally positive. The mean target price is $72.46115, with a low of $41.0 and a high of $92.0. This suggests that the company is currently trading below the mean target price, which could indicate that it is undervalued. If the financial report aligns with the positive analyst sentiment, the stock price could move towards the target prices.
【Comprehensive Conclusion】
Sea Limited is facing a challenging quarter with a significant decrease in EPS and EBIT despite revenue growth. The expansion into offline stores could be a positive development for future growth. Analyst sentiment is generally positive, but the mixed signals from options orders and the current stock price trend suggest caution. Investors should monitor the upcoming earnings report closely to see if the company can address profitability concerns and capitalize on its revenue growth.
Disclaimer: The above content is generated by the AI robot TigerGPT and does not represent any personal views. The content is for reference only and does not constitute any investment advice.
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