Analysts Adjust Targets as Sea Limited (SE) Expands E‑Commerce and Fintech

Group 1 - Sea Limited (NYSE:SE) is currently viewed as one of the best foreign stocks to buy, with a recent price target adjustment by Morgan Stanley from $209 to $173 while maintaining an Overweight rating [1] - BofA Securities has also lowered its 12-month price target for Sea from $182 to $150, citing expected pressure on e-commerce margins while maintaining a Buy rating [3] - Sea's e-commerce gross merchandise value (GMV) is projected to grow by over 20% in 2026, supported by operational investments and market expansions in Brazil and ASEAN [2] Group 2 - BofA expects Sea's e-commerce GMV to grow 26% year over year, with a quarterly improvement in take-rate to 13.7%, although e-commerce EBITDA margins are forecasted to decline to 0.50% from 0.6% [3] - In the fintech segment, Monee, BofA models a 55% year-over-year topline growth, but anticipates a decline in EBITDA margins due to increased sales and marketing expenses [4] - Sea operates three major digital businesses: Shopee (e-commerce), Garena (digital entertainment), and SeaMoney (digital financial services), with Shopee being one of the largest online marketplaces in Southeast Asia [5]