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Sea is in troubled waters

Nirgunan Tiruchelvam
Nirgunan Tiruchelvam • 4 min read
Sea is in troubled waters
With a stock price that is 30x FY2019 revenue, is Sea, the creator of Free Fire mobile game, nothing but a one-trick pony?
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In 1883, there was a circus pony called Dicky in Chicago. Dicky won the affection of the audience. He was skilful in jumping over a stack of books. The circus goers marvelled at his flexibility. Children laughed and clapped.

Dicky performed the same trick in the same circus for many years. The audience began to tire of this old trick. They soon realised that the pony could only perform one trick. The poor beast was eventually put to death.

Investors are raving at a one-trick pony today: Sea, a US-listed e-commerce and gaming company in this region. It has now become the best-performing stock in the world.

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