Quick Read iShares MSCI China ETF (MCHI) gained 45% over the past year. The S&P 500 returned 19% in comparison. MCHI allocates 17.5% to Tencent. The fund’s performance depends heavily on China’s gaming and social media giant. KraneShares CSI China Internet ETF (KWEB) offers pure internet exposure without financial sector or state-owned enterprise holdings. A recent study identified one single habit that doubled Americans’ retirement savings and moved retirement from dream, to reality. Read more her ...

Core Viewpoint - Sea Limited (NYSE:SE) is considered one of the best stocks to buy for high returns in 2026, with recent upgrades from analysts indicating a positive outlook despite recent price declines [1][2]. Group 1: Analyst Upgrades and Price Targets - Hussaini Saifee from Maybank upgraded Sea Limited from Hold to Buy with a price target of $156 [1]. - Scott Devitt from Wedbush reiterated a Buy rating but lowered the price target from $190 to $170 [1]. Group 2: Stock Performance and Risks - The share price of Sea Limited has fallen more than 36% from its peak in October 2025, suggesting that most near-term risks have already been priced in [2]. - Despite the stock price decline, the long-term growth drivers for Sea Limited remain intact [2]. Group 3: Investment in E-commerce - Sea Limited continues to invest in its Shopee VIP programme fulfilment network, strengthening its position in the Southeast Asian e-commerce market, which accounts for approximately 75% of Shopee's GMV [3]. - Maybank noted that Sea Limited provides an attractive risk/reward profile at current levels [3]. Group 4: Company Overview - Sea Limited operates through three segments: e-commerce, digital financial services, and digital entertainment, with key platforms including Shopee, Garena, and SeaMoney [4].

Core View - Sea Limited (NYSE:SE) has been upgraded from Hold to Buy by Maybank, maintaining a price target of $156, indicating a positive outlook from analysts [1][2] Company Performance - The company's share price has declined from its 2025 high, which Maybank interprets as creating an attractive risk-reward scenario [2] - Wedbush has reduced its price target from $190 to $170 while maintaining an Outperform rating, noting that consumer internet stocks had an average return of 23% in 2025, outperforming the NASDAQ's 19% gain [3] Competitive Position - Sea Limited's ongoing investments in its VIP program and fulfillment are strengthening its competitive position in the ASEAN markets [2] - The company operates in three core areas: digital entertainment, e-commerce, and digital financial services, positioning itself as a global consumer internet company based in Singapore [4] Future Outlook - Analysts expect performance divergence in 2026 due to factors such as AV disruption, AI monetization, and the increasing adoption of agentic AI [4]

Group 1 - Naspers Limited (NPSNY) has seen a 20.7% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - Suzano S.A. (SUZ) has experienced a 7.7% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - EverCommerce Inc. (EVCM) has reported a significant 42.9% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] Group 2 - LeMaitre Vascular, Inc. (LMAT) has seen a 9.6% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] - Teradyne, Inc. (TER) has experienced a 10.5% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [3]

Core Viewpoint - Sea Ltd. is viewed positively by Citadel LLC, with a long-term optimistic outlook despite a recent price target reduction by Bernstein analyst Venugopal Garre from $210 to $185 while maintaining an Outperform rating [1][2]. Group 1: Company Strategy and Vision - Forrest Li, the founder of Sea Ltd., expressed a vision for the company to become a trillion-dollar entity by leveraging artificial intelligence (AI) [2]. - Garre described Li's memo as a "compelling long-term vision anchored by a strong dose of AI optimism," but he raised concerns about short-term growth and profitability pressures as the company pursues these ambitious goals [2][3]. Group 2: Financial Performance and Market Position - Consensus forecasts for Sea Ltd. have improved due to strong execution of its strategy in the first half of the year, although there are doubts about whether this performance can be sustained [3]. - The company is making significant investments in expanding its e-commerce and fintech capabilities, which raises skepticism about the ability to replicate the flawless performance of the first half [3][4]. Group 3: Long-term Investment Perspective - Garre emphasized the importance of strategic investments for gaining market share and maintaining a competitive edge, suggesting that these should take precedence over addressing near-term challenges [4].

Core Insights - The head of internet research at Evercore ISI, Mark Mahaney, discusses the current state of consumer internet stocks, noting a major rerating and a dramatic rally over the past three years [2] - Mahaney identifies Meta as a strong compounder with a reasonable valuation, while Amazon is highlighted as a potential dislocated stock despite recent outages [3][4] Group 1: Market Trends - The consumer internet sector has experienced significant growth, with notable entry points earlier in the year for companies like Uber and Google [2] - There is a scarcity of dislocated high-quality stocks in the internet and tech space currently, with few trading significantly below their recent highs [7] Group 2: Company Performance - Amazon Web Services (AWS) has faced outages, which could impact its competitive position against rivals like Google Cloud and Azure, although Mahaney believes the recent outage will not have a long-term effect [8][10] - Major tech companies, including Microsoft, Amazon, Google, and Meta, have seen improvements in revenue and operating income per employee, attributed to aggressive headcount management and AI deployment [10] Group 3: Valuation Insights - Mahaney emphasizes the importance of fundamentals, focusing on revenue and operating income per employee, which he refers to as return on AI spend [9][10] - Valuations for companies like Google and Meta are considered reasonable, trading at a modest premium to the market, contrasting with the high PE multiples seen during the dot-com bubble [11][12]