Sea Limited (SE) Is Considered a Good Investment by Brokers: Is That True?

Core Viewpoint - The article discusses the reliability of brokerage recommendations, particularly focusing on Sea Limited Sponsored ADR (SE), and suggests that while the average brokerage recommendation (ABR) indicates a favorable outlook, investors should exercise caution and validate these recommendations with other tools like Zacks Rank [1][5][10]. Brokerage Recommendation Summary - Sea Limited has an average brokerage recommendation (ABR) of 1.52, which is between Strong Buy and Buy, based on recommendations from 22 brokerage firms [2]. - Out of the 22 recommendations, 15 are Strong Buy and 2 are Buy, accounting for 68.2% and 9.1% of all recommendations respectively [2]. Zacks Rank Insights - The Zacks Rank, a proprietary stock rating tool, categorizes stocks from 1 (Strong Buy) to 5 (Strong Sell) and is based on earnings estimate revisions, which have shown a strong correlation with near-term stock price movements [8][11]. - The Zacks Consensus Estimate for Sea Limited remains unchanged at $4.23, indicating steady analyst views on the company's earnings prospects [13]. - Sea Limited currently holds a Zacks Rank 3 (Hold), suggesting a cautious approach despite the favorable ABR [14].