Sea Ltd – Stay the course (SE US, CP USD331.40, BUY, TP USD379.00, Technology)
3Q21 revenue of USD2.7b (+122% YoY, +18% QoQ) was slightly ahead of our expectation, while gross profit of US1b (+147% YoY, +8% QoQ) was in line. Our SOTP TP of USD379 is largely unchanged, as a slight increase in our FY22E Shopee GMV and SeaMoney TPV is offset by slightly lower margin assumptions for Garena. We continue to like Sea as a proxy to ASEAN adoption of e-commerce and digital finance. BUY.