SEA (NYSE:SE) Releases Earnings Results, Misses Expectations By $0.16 EPS

Key Points

• SEA reported $0.70 in quarterly EPS, missing analysts’ consensus estimate of $0.86 by $0.16, despite revenue increasing approximately 48% year over year.
• Revenue growth was supported by broad momentum across e-commerce, fintech and gaming; quarterly revenue reached about $7.8 billion, while net income rose 10.6% to $458.1 million.
• Shares rose 1.2% to $114.81, and analysts maintained a generally positive outlook with a “Moderate Buy” consensus and an average price target of $154.81, although insiders have sold shares recently.

SEA (NYSE:SE - Get Free Report) released its earnings results on Tuesday. The Internet company based in Singapore reported $0.70 EPS for the quarter, missing analysts' consensus estimates of $0.86 by ($0.16), Briefing.com reports. SEA had a return on equity of 14.12% and a net margin of 6.41%.The business's revenue for the quarter was up 48.3% compared to the same quarter last year. During the same quarter last year, the firm earned $0.65 earnings per share.

SEA Stock Up 1.2%

Shares of SE opened at $114.81 on Tuesday. The stock has a 50 day moving average price of $99.67 and a 200 day moving average price of $96.63. SEA has a one year low of $77.05 and a one year high of $199.30. The company has a debt-to-equity ratio of 0.05, a quick ratio of 1.56 and a current ratio of 1.58. The stock has a market capitalization of $70.15 billion, a price-to-earnings ratio of 45.20, a PEG ratio of 1.09 and a beta of 1.54.

Insider Buying and Selling at SEA

In other news, COO Gang Ye sold 20,000 shares of the company's stock in a transaction on Monday, August 10th. The shares were sold at an average price of $114.59, for a total transaction of $2,291,800.00. Following the completion of the sale, the chief operating officer owned 460,000 shares of the company's stock, valued at $52,711,400. This represents a 4.17% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Yanjun Wang sold 1,500 shares of the stock in a transaction dated Monday, August 10th. The shares were sold at an average price of $114.58, for a total transaction of $171,870.00. Following the completion of the sale, the insider owned 10,000 shares of the company's stock, valued at $1,145,800. This trade represents a 13.04% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 541,100 shares of company stock worth $54,277,980. 0.22% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. Zions Bancorporation National Association UT grew its position in shares of SEA by 539.6% in the fourth quarter. Zions Bancorporation National Association UT now owns 307 shares of the Internet company based in Singapore's stock valued at $39,000 after purchasing an additional 259 shares in the last quarter. Cloud Capital Management LLC grew its holdings in SEA by 8.0% in the 4th quarter. Cloud Capital Management LLC now owns 2,005 shares of the Internet company based in Singapore's stock valued at $255,000 after buying an additional 148 shares in the last quarter. Oarsman Capital Inc. increased its stake in shares of SEA by 89.0% in the 4th quarter. Oarsman Capital Inc. now owns 2,124 shares of the Internet company based in Singapore's stock worth $271,000 after acquiring an additional 1,000 shares during the last quarter. Gen Wealth Partners Inc raised its holdings in shares of SEA by 328.6% during the 4th quarter. Gen Wealth Partners Inc now owns 2,829 shares of the Internet company based in Singapore's stock worth $361,000 after acquiring an additional 2,169 shares during the period. Finally, Arkadios Wealth Advisors raised its holdings in shares of SEA by 11.1% during the 4th quarter. Arkadios Wealth Advisors now owns 3,221 shares of the Internet company based in Singapore's stock worth $411,000 after acquiring an additional 322 shares during the period. 59.53% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

SE has been the topic of several analyst reports. Zacks Research raised SEA from a "strong sell" rating to a "hold" rating in a report on Monday, June 1st. Barclays increased their price target on shares of SEA from $120.00 to $122.00 and gave the stock an "overweight" rating in a report on Thursday, May 14th. JPMorgan Chase & Co. dropped their price target on shares of SEA from $168.00 to $163.00 and set an "overweight" rating on the stock in a research report on Thursday, May 14th. TD Cowen decreased their price objective on shares of SEA from $108.00 to $100.00 and set a "hold" rating for the company in a research report on Tuesday, August 4th. Finally, Sanford C. Bernstein reissued an "outperform" rating on shares of SEA in a research note on Monday, July 20th. One investment analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and four have assigned a Hold rating to the company's stock. According to MarketBeat, SEA currently has a consensus rating of "Moderate Buy" and an average target price of $154.81.

Trending Headlines about SEA

Here are the key news stories impacting SEA this week:

• Positive Sentiment: Revenue significantly beat expectations: Second-quarter GAAP revenue reached $7.8 billion, up 48.1% year over year. Gross profit rose 47.3% to $3.5 billion, while net income increased 10.6% to $458.1 million and adjusted EBITDA climbed 10.6% to $917.2 million. Sea Limited Reports Second Quarter 2026 Results
• Positive Sentiment: Strong revenue growth outweighed the profit shortfall: Sea reported quarterly EPS of $0.70, below the $0.86 consensus estimate, but revenue exceeded expectations. The favorable market reaction suggests investors are prioritizing the company’s accelerating top-line growth and operating momentum. Sea Limited misses EPS but revenue beat pushes shares higher
• Positive Sentiment: OpenAI partnership may strengthen Shopee: Sea’s artificial-intelligence initiatives could improve product discovery, seller tools and automation, potentially supporting customer engagement and efficiency over time. Sea's AI Push With OpenAI Could Deepen Shopee's Competitive Edge Now
• Neutral Sentiment: Analysts note that growth is broad-based across e-commerce, fintech and gaming, but Sea’s recent rally has lifted valuation while increased investment and credit provisions may limit near-term upside. Is Sea Stock a Buy Now as Growth Accelerates but Margins Tighten?
• Negative Sentiment: EPS missed expectations: Reported earnings of $0.70 per share were $0.16 below consensus, highlighting pressure on profitability despite sharply higher revenue.
• Negative Sentiment: Insiders sold shares: COO Gang Ye sold 40,000 shares across two transactions, while Yanjun Wang sold 3,000 shares. The sales were disclosed in SEC filings and modestly reduced their holdings, potentially adding a cautionary signal for investors.

About SEA

Sea Limited NYSE: SE is a Singapore-based consumer internet company that operates a trio of interconnected businesses across digital entertainment, e-commerce and digital financial services. Founded in 2009 as Garena and later rebranded as Sea, the company is headquartered in Singapore and listed on the New York Stock Exchange. Sea positions itself as a technology platform focused on enabling online consumers, merchants and developers primarily across Southeast Asia and adjacent markets.

Sea's digital entertainment arm, Garena, is a game developer and publisher that also organizes esports initiatives and operates online gaming platforms.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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