WallStSmart

LGI Homes (LGIH)vsSea Ltd (SE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sea Ltd generates 1270% more annual revenue ($22.94B vs $1.67B). SE leads profitability with a 6.9% profit margin vs 4.2%. SE appears more attractively valued with a PEG of 0.59. SE earns a higher WallStSmart Score of 70/100 (B-).

LGIH

Hold

49

out of 100

Grade: D+

Growth: 2.0Profit: 3.5Value: 8.0Quality: 7.5
Piotroski: 3/9Altman Z: 3.07

SE

Strong Buy

70

out of 100

Grade: B-

Growth: 10.0Profit: 6.0Value: 7.3Quality: 5.5
Piotroski: 6/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LGIHUndervalued (+28.7%)

Margin of Safety

+28.7%

Fair Value

$85.48

Current Price

$46.67

$38.81 discount

UndervaluedFair: $85.48Overvalued
SEUndervalued (+52.8%)

Margin of Safety

+52.8%

Fair Value

$242.40

Current Price

$86.73

$155.67 discount

UndervaluedFair: $242.40Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LGIH4 strengths · Avg: 9.0/10
Price/BookValuation
0.5x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
3.0710/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.698/10

Growing faster than its price suggests

P/E RatioValuation
15.2x8/10

Attractively priced relative to earnings

SE4 strengths · Avg: 9.3/10
Revenue GrowthGrowth
38.4%10/10

Revenue surging 38.4% year-over-year

EPS GrowthGrowth
58.2%10/10

Earnings expanding 58.2% YoY

Market CapQuality
$54.29B9/10

Large-cap with strong market position

PEG RatioValuation
0.598/10

Growing faster than its price suggests

Areas to Watch

LGIH4 concerns · Avg: 3.0/10
Market CapQuality
$1.08B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.4%3/10

ROE of 3.4% — below average capital efficiency

Profit MarginProfitability
4.2%3/10

4.2% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

SE3 concerns · Avg: 3.0/10
P/E RatioValuation
35.2x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
6.9%3/10

6.9% margin — thin

Free Cash FlowQuality
$02/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : LGIH

The strongest argument for LGIH centers on Price/Book, Altman Z-Score, PEG Ratio. PEG of 0.69 suggests the stock is reasonably priced for its growth.

Bull Case : SE

The strongest argument for SE centers on Revenue Growth, EPS Growth, Market Cap. Revenue growth of 38.4% demonstrates continued momentum. PEG of 0.59 suggests the stock is reasonably priced for its growth.

Bear Case : LGIH

The primary concerns for LGIH are Market Cap, Return on Equity, Profit Margin. Thin 4.2% margins leave little buffer for downturns.

Bear Case : SE

The primary concerns for SE are P/E Ratio, Profit Margin, Free Cash Flow.

Key Dynamics to Monitor

LGIH profiles as a value stock while SE is a hypergrowth play — different risk/reward profiles.

LGIH carries more volatility with a beta of 1.90 — expect wider price swings.

SE is growing revenue faster at 38.4% — sustainability is the question.

Monitor RESIDENTIAL CONSTRUCTION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SE scores higher overall (70/100 vs 49/100) and 38.4% revenue growth. LGIH offers better value entry with a 28.7% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

LGI Homes

CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA

LGI Homes, Inc. designs, builds and sells homes in the United States. The company is headquartered in The Woodlands, Texas.

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Sea Ltd

CONSUMER CYCLICAL · INTERNET RETAIL · USA

Sea Limited is engaged in the digital entertainment, e-commerce and digital financial services businesses in Southeast Asia, Latin America, the rest of Asia and internationally. The company is headquartered in Singapore.

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