WallStSmart

Ferrari NV (RACE)vsSea Ltd (SE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sea Ltd generates 221% more annual revenue ($22.94B vs $7.15B). RACE leads profitability with a 22.4% profit margin vs 6.9%. SE appears more attractively valued with a PEG of 0.55. SE earns a higher WallStSmart Score of 70/100 (B-).

RACE

Buy

51

out of 100

Grade: C-

Growth: 4.7Profit: 9.0Value: 2.7Quality: 7.0
Piotroski: 4/9Altman Z: 2.81

SE

Strong Buy

70

out of 100

Grade: B-

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

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RACESignificantly Overvalued (-444.1%)

Margin of Safety

-444.1%

Fair Value

$70.38

Current Price

$317.40

$247.02 premium

UndervaluedFair: $70.38Overvalued
SEUndervalued (+2.9%)

Margin of Safety

+2.9%

Fair Value

$117.94

Current Price

$78.16

$39.78 discount

UndervaluedFair: $117.94Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RACE5 strengths · Avg: 8.8/10
Return on EquityProfitability
42.9%10/10

Every $100 of equity generates 43 in profit

Market CapQuality
$56.52B9/10

Large-cap with strong market position

Profit MarginProfitability
22.4%9/10

Keeps 22 of every $100 in revenue as profit

Operating MarginProfitability
28.6%8/10

Strong operational efficiency at 28.6%

Free Cash FlowQuality
$1.41B8/10

Generating 1.4B in free cash flow

SE4 strengths · Avg: 9.0/10
Revenue GrowthGrowth
38.4%10/10

Revenue surging 38.4% year-over-year

EPS GrowthGrowth
58.5%10/10

Earnings expanding 58.5% YoY

PEG RatioValuation
0.558/10

Growing faster than its price suggests

Free Cash FlowQuality
$1.04B8/10

Generating 1.0B in free cash flow

Areas to Watch

RACE4 concerns · Avg: 3.5/10
P/E RatioValuation
30.7x4/10

Premium valuation, high expectations priced in

Price/BookValuation
12.5x4/10

Trading at 12.5x book value

Revenue GrowthGrowth
3.8%4/10

3.8% revenue growth

PEG RatioValuation
3.472/10

Expensive relative to growth rate

SE2 concerns · Avg: 3.5/10
P/E RatioValuation
31.0x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
6.9%3/10

6.9% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : RACE

The strongest argument for RACE centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 22.4% and operating margin at 28.6%.

Bull Case : SE

The strongest argument for SE centers on Revenue Growth, EPS Growth, PEG Ratio. Revenue growth of 38.4% demonstrates continued momentum. PEG of 0.55 suggests the stock is reasonably priced for its growth.

Bear Case : RACE

The primary concerns for RACE are P/E Ratio, Price/Book, Revenue Growth.

Bear Case : SE

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

Key Dynamics to Monitor

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

SE carries more volatility with a beta of 1.63 — expect wider price swings.

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

RACE generates stronger free cash flow (1.4B), providing more financial flexibility.

Bottom Line

SE scores higher overall (70/100 vs 51/100) and 38.4% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Ferrari NV

CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA

Ferrari NV designs, designs, produces and sells high performance sports cars. The company is headquartered in Maranello, Italy.

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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