Sea Ltd (SE)vsSpotify Technology SA (SPOT)
SE
Sea Ltd
$98.91
-0.64%
CONSUMER CYCLICAL · Cap: $63.26B
SPOT
Spotify Technology SA
$497.51
-2.45%
COMMUNICATION SERVICES · Cap: $104.73B
Smart Verdict
WallStSmart Research — data-driven comparison
Sea Ltd generates 53% more annual revenue ($27.72B vs $18.11B). SPOT leads profitability with a 18.4% profit margin vs 5.9%. SE appears more attractively valued with a PEG of 1.00. SPOT earns a higher WallStSmart Score of 66/100 (B-).
SE
Buy60
out of 100
Grade: C+
SPOT
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+55.9%
Fair Value
$259.48
Current Price
$98.91
$160.57 discount
Margin of Safety
-58.1%
Fair Value
$308.12
Current Price
$497.51
$189.39 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 48.1% year-over-year
Large-cap with strong market position
Growing faster than its price suggests
Generating 1.1B in free cash flow
Every $100 of equity generates 40 in profit
Earnings expanding 222.4% YoY
Conservative balance sheet, low leverage
Large-cap with strong market position
Areas to Watch
Premium valuation, high expectations priced in
Distress zone — elevated risk
5.9% margin — thin
Moderate valuation
Trading at 10.4x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : SE
The strongest argument for SE centers on Revenue Growth, Market Cap, PEG Ratio. Revenue growth of 48.1% demonstrates continued momentum. PEG of 1.00 suggests the stock is reasonably priced for its growth.
Bull Case : SPOT
The strongest argument for SPOT centers on Return on Equity, EPS Growth, Debt/Equity. Profitability is solid with margins at 18.4% and operating margin at 13.7%. Revenue growth of 13.9% demonstrates continued momentum.
Bear Case : SE
The primary concerns for SE are P/E Ratio, Altman Z-Score, Profit Margin.
Bear Case : SPOT
The primary concerns for SPOT are P/E Ratio, Price/Book.
Key Dynamics to Monitor
SE profiles as a hypergrowth stock while SPOT is a mature play — different risk/reward profiles.
SPOT carries more volatility with a beta of 1.59 — expect wider price swings.
SE is growing revenue faster at 48.1% — sustainability is the question.
SE generates stronger free cash flow (1.1B), providing more financial flexibility.
Bottom Line
SPOT scores higher overall (66/100 vs 60/100), backed by strong 18.4% margins and 13.9% revenue growth. SE offers better value entry with a 55.9% margin of safety. 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.
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.
Spotify Technology SA
COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA
Spotify Technology SA, provides audio streaming services worldwide. The company is headquartered in Luxembourg, Luxembourg.
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