, Columnist
Sea’s Pandemic Surge Is Currency for Some Bold M&A
The Southeast Asian internet company should strike while its stock is hot.
Games and e-commerce are great businesses in a pandemic.
Photographer: CATHERINE LAI/AFP/Getty Images
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A doubling of revenue coupled with a 263% surge in Sea Ltd.’s shares aren’t enough to make the Southeast Asian internet company profitable, but they do provide something almost as important: opportunity.
Investors seem besotted with Sea, propelling it to a $69 billion market value despite its net loss widening 41% from a year earlier in the second quarter. Analysts, overwhelmingly bullish with 14 buy ratings to two sell calls, don’t even expect the games and e-commerce company to post net income this year or next.