$Sea(SE.US)Context: E-commerce and gaming company Sea will be announcing earnings results tomorrow before market hours. …

$Sea(SE.US)

Context: E-commerce and gaming company Sea will be announcing earnings results tomorrow before market hours. Sea beat analysts’ revenue expectations last quarter, reporting revenues of $7.74 billion, up 44.5% year on year. It was a very strong quarter for the company, with a solid beat of analysts’ EBITDA estimates and solid growth in its users. It reported 68.1 million users, up 10.2% year on year. This quarter, the market is expecting Sea’s revenue to grow 31.4% year on year, slowing from the 40.7% increase it recorded in the same quarter last year. Looking at Sea’s peers in the online marketplace segment, some have already reported their Q3 results, giving us a hint as to what we can expect. EverQuote delivered year-on-year revenue growth of 25.4%, beating analysts’ expectations by 7.6%, and Etsy reported revenues up 10.9%, topping estimates by 3.8%. EverQuote traded up 19.9% following the results while Etsy was also up 4.5%.

My Trade: I will be looking closely at how Sea performs after exiting the trade a few months back. If it confirms a long term stronger growth, I'll be enticed.

Takeaway: Will the retail and e-commerce stocks rally slightly amidst a strong rotation out of AI and semiconductor stocks? That is what I will be monitoring. @Captain's Treasure