I am a full-time analyst interested in a wide range of stocks. With my unique insights and knowledge, I hope to provide other investors with a contrasting view of my portfolio, given my particular background.If you have any questions, feel free to reach out to me via a direct message on Seeking Alpha or leave a comment on one of my articles.Analyst’s Disclosure: I/we have a beneficial long position in the shares of AMZN either through stock ownership, options, or other derivatives. I wrote this article myse ...

With U.S. stocks rebounding sharply and reclaiming high valuation multiples, I continue to find it prudent to allocate a larger percentage of my portfolio toward international stocks. And though international plays are largely focused on value, we also shouldn't ignore the fantastic growth storiesWith combined experience of covering technology companies on Wall Street and working in Silicon Valley, and serving as an outside adviser to several seed-round startups, Gary Alexander has exposure to many of the t ...

Core Insights - Sea Limited operates the largest e-commerce platform in Southeast Asia, along with a successful mobile game studio and a growing digital financial services business [1][2] - The company's stock has increased by 52% year-to-date but remains 57% below its all-time high from 2021, indicating potential for recovery [2] E-commerce Segment - Sea's e-commerce platform, Shopee, processed 3.1 billion orders worth $28.6 billion in Q1 2025, positioning it as a leading player in the region [4] - New features like "instant delivery" and VIP memberships have been introduced in Indonesia, with 1 million customers signing up for the membership program [5] Digital Financial Services - The digital financial services platform, Monee, has a loan book of $5.8 billion, reflecting a 75% year-over-year increase, and serves 28 million users, up 50% [6] - Monee provides loans to Shopee sellers and consumers, enhancing spending power and business growth [6] Digital Entertainment - Garena, the mobile game development studio, has seen a sequential and year-over-year increase in quarterly active users to 661.8 million, although still below its peak [7][8] - Revenue from the digital entertainment segment increased by 8.2% to $495.6 million due to the uptick in active users [10] Financial Performance - Sea generated $4.8 billion in total revenue in Q1, a 29.6% increase year-over-year, with Shopee contributing $3.5 billion [9] - Monee's revenue grew by 57.6% to $787.1 million, highlighting its status as the fastest-growing segment [10] - The company reported a net income of $410.8 million, a significant improvement from a net loss of $23 million in the previous year [11] Valuation and Future Outlook - Despite a 52% increase in stock price in 2025, Sea's price-to-sales (P/S) ratio stands at 5.7, below the historical average of 9.2 [12] - The company has a strong balance sheet with $10.3 billion in cash and equivalents, allowing for reinvestment into growth initiatives [14] - Sea stock is considered a good value, especially as the broader market approaches record highs [15]

Key Insights - The report indicates that the intersection of financial reports and macroeconomic improvement is evident, with April's overall industry prosperity index continuing to decline but at a slower rate [1] - The sectors showing potential for growth include TMT components such as storage chains, communication equipment, computer devices, and software development [1] - Certain manufacturing industries are reportedly surpassing capacity cycle inflection points, with signs of demand stabilization, particularly in military electronics, aviation equipment, general machinery, agricultural machinery, batteries, wind power equipment, and photovoltaic equipment [1] - Consumer staples and discretionary goods are experiencing a recovery in prosperity rates, including dairy products, dining-seasoning products, and personal care items [1] - Price increases or stabilization is noted in some cyclical goods, including precious metals, rare earths, steel, and cement [1] Company-Specific Insights - Tencent Holdings reported a 13% year-on-year revenue growth in Q1, exceeding consensus expectations by 2.5%, with value-added services, advertising, and fintech revenues growing by 17%, 20%, and 5% respectively [2] - The adjusted net profit attributable to shareholders increased by 22% year-on-year, also surpassing expectations by 2.5% [2] - Capital expenditures for Q1 reached 27.5 billion, aligning with the company's capex progress, which is expected to account for 11-13% of revenue in 2025 [2] - The long-term outlook for Tencent's gaming operations remains positive, with the WeChat mini-store expected to drive growth in commissions and advertising [2] Additional Company Insights - SEA's Q1 revenue was reported at $4.84 billion, reflecting a year-on-year increase of 29.6%, slightly below the consensus expectation of 31.2% due to deferred gaming revenue and lower-than-expected e-commerce revenue [5] - Adjusted EBITDA for SEA was $0.95 billion, outperforming the consensus estimate of $0.7 billion [5] - Management maintains a 20% growth guidance for e-commerce GMV in 2025, with expectations for double-digit growth in active users and bookings in the gaming segment [5]

Core Insights - Tiger Global's total market value for Q1 2025 reached $26.6 billion, a slight increase from $26.5 billion in the previous quarter, reflecting a quarter-over-quarter growth of 5.36% [1][2] - The fund added 5 new stocks to its portfolio, increased holdings in 14 stocks, reduced holdings in 2 stocks, and completely exited 9 stocks during the quarter [1][2] - The top 10 holdings accounted for 62.74% of the total portfolio value [1][2] Holdings Overview - The largest holding is Meta (META.US) with approximately 7.47 million shares valued at about $4.3 billion, representing 16.18% of the portfolio [2][3] - Microsoft (MSFT.US) is the second-largest holding with around 6.24 million shares valued at approximately $2.3 billion, which is 8.81% of the portfolio, showing a 16.78% increase in shares from the previous quarter [3][4] - Other significant holdings include Sea (SE.US), Google (GOOGL.US), and Amazon (AMZN.US), with respective portfolio percentages of 7.87%, 5.99%, and 4.71% [3][4] Trading Activity - The top five new purchases included Applovin (APP.US), Zillow-C (Z.US), GE Vernova (GE.US), Block (XYZ.US), and Zillow-A (ZG.US) [4][5] - The top five sold-out positions were Apollo Global Management (APO.US), Qualcomm (QCOM.US), Uber (UBER.US), Datadog (DDOG.US), and Atlassian (TEAM.US) [5][6] - The turnover rate for the portfolio was 25.93%, indicating a relatively active trading strategy [2]

Investment Rating - The report maintains a "Buy" rating for the company with a target price raised to $170, indicating a potential upside of 19% from the current price of $142.45 [2][4][17]. Core Insights - The company reported a strong performance in Q1 2025, with revenue of $4.84 billion, a year-on-year increase of 30%. Adjusted EBITDA reached $950 million, exceeding market expectations by 36%, with an adjusted EBITDA margin of 19.6% [1]. - E-commerce revenue grew by 28.3% year-on-year, with GMV increasing by 21.5%. The adjusted EBITDA margin for e-commerce improved to 7.5%, driven by scale expansion, cost optimization, and enhanced monetization capabilities [1]. - The digital financial services segment saw a 58% year-on-year revenue growth, with over 4 million new borrowers and a loan principal of $5.8 billion. The business has been rebranded as Monee, positioning it as one of Southeast Asia's largest unsecured consumer loan companies [2]. - The gaming segment experienced an 8% year-on-year revenue growth, with game revenue increasing by 51.4%, largely due to successful IP collaborations [2]. Summary by Sections Financial Performance - For FY25E, the company expects revenue to reach $21.14 billion, with an adjusted EBITDA of $3.59 billion and a net profit of $1.77 billion, reflecting significant growth from previous years [4][9]. - The adjusted net profit margin is projected to improve to 8.4% by FY25E, with a continued upward trend in profitability expected through FY27E [9]. Business Segments - E-commerce remains a key growth driver, with a focus on local market penetration and resilience against tariff uncertainties due to low cross-border trade exposure [1]. - The digital financial services segment is expected to continue its rapid growth, supported by effective credit risk management and adaptability to macroeconomic changes [2]. - The gaming segment is anticipated to maintain double-digit growth in users and revenue, bolstered by successful game launches and collaborations [2]. Market Position - The company is well-positioned in the market with strong competitive advantages, including localized operations and a robust product offering that minimizes the impact of discretionary spending fluctuations [1][2].

Investment Rating - The investment rating for the company is "Buy" with a target price of $168.00 [7][8]. Core Insights - The company's revenue for Q1 2025 was $4.84 billion, representing a year-over-year increase of 29.6%, slightly below the consensus estimate of 31.2%. The adjusted EBITDA was $950 million, exceeding the consensus estimate of $700 million. Management maintains a guidance of 20% growth in e-commerce GMV for 2025, with expectations of double-digit growth in active users and bookings in the gaming segment [1][5]. Summary by Sections E-commerce - E-commerce revenue grew by 28.3% year-over-year to $3.52 billion, slightly below the consensus estimate of 30.3%. The adjusted EBITDA for this segment was $260 million, with an EBITDA margin of 7.5%, improving by 8.3 percentage points year-over-year. The order volume and GMV increased by 19% and 22%, respectively. Management is focused on enhancing service quality for sellers to drive more usage of advertising tools, with the number of participating sellers and average ad spend increasing by 22% and 28%, respectively [2]. Digital Payments - Digital payments revenue surged by 57.6% year-over-year to $790 million, outperforming the consensus estimate of 51.3%. The adjusted EBITDA for this segment was $240 million, up 62.4%, with an EBITDA margin of 30.7%. As of the end of Q1 2025, the loan balance for Monee was approximately $5.8 billion, with a non-performing loan ratio of about 1.1%, showing a decrease quarter-over-quarter. The brand name was changed from SeaMoney to Monee to reflect synergy with Shopee [3]. Gaming - Gaming revenue increased by 8.2% year-over-year to $500 million, below the consensus estimate of 15.0%, primarily due to deferred revenue. The adjusted EBITDA for this segment was $460 million, up 56.8%, with an EBITDA margin of 92.5%. The net bookings reached $780 million, a year-over-year increase of 51.4%. The active user count for Q1 2025 was 660 million, up 11.3%, with paying users at 64.6 million, a 32.1% increase [4]. Profit Forecast and Valuation - The profit forecast for 2025, 2026, and 2027 has been raised by 15.7%, 14.7%, and 13.2% to $3.52 billion, $4.53 billion, and $5.39 billion, respectively. The target price has been adjusted to $168.00 based on a sum-of-the-parts valuation model [5][30]. Financial Metrics - The projected revenue for 2025 is $20.89 billion, with a year-over-year growth rate of 24.2%. The net profit attributable to the parent company is expected to reach $1.89 billion, reflecting a significant increase of 325.79% year-over-year. The EPS for 2025 is projected at $3.20, with a PE ratio of 48.23 [6][39].

Investment Rating - The investment rating for the company is "Buy" with a target price of $168.00 [7][8]. Core Insights - The company's revenue for Q1 2025 was $4.84 billion, representing a year-on-year increase of 29.6%, slightly below the consensus estimate of 31.2% due to deferred gaming revenue and lower-than-expected e-commerce revenue [1]. - Adjusted EBITDA for Q1 2025 was $950 million, exceeding the consensus estimate of $700 million, indicating a positive trend in profitability as scale effects become more apparent [1]. - The management maintains a guidance of 20% growth in e-commerce GMV for 2025, with expectations of double-digit growth in active users and bookings in the gaming segment [1]. E-commerce Segment - E-commerce revenue increased by 28.3% to $3.52 billion in Q1 2025, slightly below the consensus estimate of 30.3% [2]. - The adjusted EBITDA for the e-commerce segment was $260 million, with an EBITDA margin of 7.5%, improving by 8.3 percentage points year-on-year [2]. - The number of e-commerce orders and GMV grew by 19% and 22% respectively, with management focusing on enhancing service quality to drive more merchants to use advertising tools [2]. Electronic Payment Segment - Electronic payment revenue surged by 57.6% to $790 million in Q1 2025, outperforming the consensus estimate of 51.3% [3]. - Adjusted EBITDA for this segment was $240 million, reflecting a year-on-year increase of 62.4%, with an EBITDA margin of 30.7% [3]. - The company rebranded its payment service from SeaMoney to Monee to highlight its synergy with e-commerce, with a loan balance of approximately $5.8 billion at the end of Q1 2025 [3]. Gaming Segment - Gaming revenue grew by 8.2% to $500 million in Q1 2025, below the consensus estimate of 15.0% due to significant deferred revenue [4]. - Adjusted EBITDA for the gaming segment was $460 million, with an EBITDA margin of 92.5% [4]. - The net bookings reached $780 million, up 51.4% year-on-year, with management confident in achieving double-digit growth in active users and bookings for 2025 [4]. Profit Forecast and Valuation - The company has revised its adjusted EBITDA forecasts for 2025, 2026, and 2027 upwards by 15.7%, 14.7%, and 13.2% respectively, reflecting better-than-expected profit release from various business lines [5][27]. - The target price is set at $168.00 based on a sum-of-the-parts valuation, with the gaming segment valued at $38.8 per share, e-commerce at $104.0 per share, and electronic payments at $25.2 per share [30][31].

Core Viewpoint - Sea's Shopee has shown strong growth in Q1 FY25, driven by seasonal factors, improved monetization rates, and cost optimization strategies [1][3] Group 1: Growth Drivers - Seasonal factors contributed to growth, as Ramadan fully fell in Q1 for the first time [1][3] - The company improved its monetization rate, with advertising monetization increasing by 50 basis points compared to last year [1][3] - Cost optimization efforts led to a significant reduction in transportation costs, along with improved sales, marketing, and operational expenses through AI solutions [1][3] Group 2: Market Position and Resilience - The macro environment has not significantly impacted Shopee's growth, as it operates primarily as a local market platform with minimal cross-border trade influence [2][4] - Shopee's price leadership in markets with low e-commerce penetration helps attract users seeking lower-priced products, enhancing market penetration [2][4] - The demand-driven nature of Shopee's market means it is less affected by discretionary spending fluctuations, with foreign exchange rates being the only potential risk factor [2][4] Group 3: Financial Performance and Projections - The company maintains a GMV growth guidance of 20% for the full year, with a long-term EBITDA target of 2% to 3% of GMV [1][3] - Short-term strategies focus on growth without excessively squeezing the ecosystem, ensuring both EBITDA improvement and sustained growth [1][3] Group 4: Regional Insights - In Brazil, Shopee's growth is supported by pricing advantages and significant infrastructure improvements, including reduced delivery times [7] - The company has successfully launched a VIP membership service, enhancing purchase frequency and user retention, which does not conflict with VAS revenue growth [7] Group 5: Financial Technology and Market Potential - Monee's strong performance is attributed to increased penetration of Shopee financial products and growth in non-Shopee business segments [5][6] - The Brazilian market shows significant growth potential for financial technology, with the company integrating more data to enhance service offerings [9]

Core Insights - Sea Limited (SE) reported adjusted earnings of 86 cents per share in Q1 2025, missing the Zacks Consensus Estimate by 7.53% and down from 21 cents per share in the same quarter last year [1] - Revenues reached $4.8 billion, a year-over-year increase of 29.6%, driven by growth in e-commerce and digital financial services [1] Financial Performance - Digital Entertainment (Garena) revenues were $495.6 million, up 8.2% year-over-year, with quarterly active users at 661.8 million, an increase of 11.3% [3][4] - E-commerce (Shopee) service revenues totaled $3.1 billion, reflecting a 28.7% year-over-year growth, with gross orders reaching 3.1 billion, a 20.5% increase [5][6] - Digital Financial Services revenues increased 57.6% year-over-year to $787.1 million, supported by a loan book growth of 76.5% to $5.8 billion [6][7] Profitability Metrics - Gross profit rose 43.9% year-over-year to $2.24 billion, with adjusted EBITDA more than doubling to $946.5 million from $401.1 million in the prior year [8][9] - Digital Entertainment's adjusted EBITDA increased 56.8% to $458.2 million, while E-commerce adjusted EBITDA reached $264.4 million, a turnaround from a loss of $21.7 million [9] Balance Sheet and Cash Flow - As of March 31, 2025, SE had cash and cash equivalents of $2.18 billion, down from $2.41 billion at the end of 2024 [10] - The company generated $756.9 million in cash from operating activities in the reported quarter, compared to $1.02 million in the previous quarter [10]