StoneX cuts Sea stock price target to $155 on cloud spending concerns
StoneX reduced its price target for Sea Ltd. (NYSE:SE) to $155 from $175, citing cloud spending concerns and a modest EBITDA miss in Q3. The stock is near its 52-week low, down 40% YTD. Sea reported $8.6B in Q3 revenue, beating estimates, but EPS missed. Shopee and Monee showed strong growth. Analysts remain bullish, citing undervaluation and long-term potential.
How this was made
The 30-second read
Why it matters
The combined target reductions and earnings miss suggest a near‑term pullback, though long‑term growth drivers remain intact.
Market read
Sea's Q3 earnings miss and revised forecasts drive immediate downside risk, while its growth segments keep long‑term interest alive.
What to watch
Monee's IPO pipeline and strong Shopee margins could offset short‑term cloud spending worries.
Background
Sea Ltd. reported strong revenue growth but missed EPS expectations, prompting multiple analysts to lower price targets.
Ticker impact
StoneX lowered Sea Ltd.'s price target to $155 citing Q3 earnings miss and cloud spending concerns, indicating potential downside pressure.
likely downward pressure as investors price in lower guidance and AI spending risks
Analyst target reduction and EPS miss are fresh facts that can move the stock immediately.
Market effects
Cloud and AI spending concerns may affect other Southeast Asian tech firms with similar business models.
Potential drag on broader Asian internet and e‑commerce stocks.
Limited to investors tracking emerging‑market tech exposures.
Counterpoint
If Sea's AI initiatives gain traction, the target cut could be premature and present a buying opportunity.
Key entities
- AnalystStoneX
Research firm that cut Sea's price target to $155.
- AnalystBofA Securities
Reduced Sea's target to $110 citing margin miss.
- AnalystJefferies
Lowered target to $142 due to AI spending concerns.
