Sea Limited is a strong e-commerce player with potential for 133% increase

From Nasdaq: 2025-06-26 04:14:00

Amazon (NASDAQ: AMZN) started as an online bookstore in 1994 and has grown into a massive e-commerce platform selling millions of products. The stock has surged by 850% in the past decade, reaching a market cap of $2.2 trillion. There’s another e-commerce company with growth potential worth $90 billion.

Sea Limited (NYSE: SE) is a dominant e-commerce player in Southeast Asia, also excelling in mobile gaming and financial services. Sea’s stock has surged over 102% in the past year, with potential for a 133% increase from its recent closing price of $153.52.

Sea’s e-commerce platform, Shopee, is mirroring Amazon’s success with 3.1 billion orders worth $28.6 billion in Q1 2025. Sea’s financial services arm, Monee, saw a 76.5% increase in its loan book to $5.8 billion. Sea’s revenue grew 29.6% in Q1, with financial services showing the fastest growth.

Monee, Sea’s financial services segment, is a significant contributor to profitability. It generated $241.1 million in Q1, almost matching Shopee’s $264.4 million in adjusted EBITDA. Sea’s move into more lucrative segments mirrors Amazon’s success with cloud computing.

Sea’s stock could soar by 133% to reach its all-time high of $357.78 by the end of 2026. The company’s rapid revenue growth has lowered its P/S ratio to 5.3 today, and Wall Street estimates suggest a forward P/S ratio of 3.6 by 2026. Sea’s stock might still be undervalued based on these metrics.

Consider investing in Sea Limited, a tech conglomerate with strong growth potential. The Motley Fool’s Stock Advisor team has identified the 10 best stocks to buy right now, excluding Sea Limited. Don’t miss out on the next big investment opportunity with Stock Advisor’s recommendations.



Read more at Nasdaq: Did You Miss Out on Amazon? Here’s Another Unstoppable E-Commerce Stock With a Potential Upside of 133%