“We believe e-commerce’s turnaround, achieving adjusted ebitda positive across each market by FY2023, will be the key share price catalyst. This shall outweigh potential digital entertainment weaknesses owing to high inflation, which might hurt discretionary spending on games,” the analyst writes.
DBS Group Research analyst Sachin Mittal has kept his “buy” call on Sea Limited as he sees a turnaround in Sea’s e-commerce and fintech segments. The analyst has also upped his target price to US$103 ($137.55) from US$100 previously.
Following Sea’s net profit and ebitda positive results for the 4QFY2022 ended Dec 31, 2022 on March 7, Mittal is also upping his adjusted ebitda estimates for the FY2023 to US$2.3 billion compared to a loss of US$321 million earlier.
