Wednesday’s Headlines: Sea Limited Provides Rare Profit Beat

Wednesday’s Headlines: Sea Limited Provides Rare Profit Beat

Here were the biggest movers in the MyWallSt shortlist yesterday:

Moving Up ⬆️

Sea Limited (SE) +6.1%

Peloton Interactive (PTON) +3.0%

Etsy (ETSY) +2.0%

Take-Two Interactive (TTWO) +1.9%

Duluth Trading (DLTH) +1.9%

Moving Down ⬇️

Bumble (BMBL) -6.1%

Chuy's (CHUY) -6.0%

Under Armour (UAA) -6.0%

Nordstrom (JWN) -5.0%

Trupanion (TRUP) -4.9%

1. Sea Limited (SE) is bucking the trend of declining e-commerce growth in 2021 after topping Q2 estimates and boosting its guidance on Tuesday. The Southeast Asian consumer internet company reported revenue of $2.3 billion, up 158.6% year-on-year (YoY), with total gross profit hitting $930.9 million — a jump of 364% YoY — thanks largely to a 160% boost in e-commerce revenue YoY to $1.2 billion. Meanwhile, in its digital entertainment business, Sea Limited’s hit game, ‘Free Fire’, maintained its position as the highest-grossing mobile battle royale app in the U.S., highlighting its growth in this previously untapped market for the business. Read the official press release here

2. It wasn’t such smooth sailing for Home Depot (HD), which saw its share price fall 4.3% as same-store sales missed analyst estimates. As rising house and materials prices give consumers pause in Q2, the home improvement chain reported a 5.8% drop in customer transactions from a year earlier. However, it wasn’t all bad, as Home Depot still beat earnings and revenue estimates, reporting a profit of $4.81 billion, or $4.53 per share, on revenue of $41.12 billion. “Customer engagement and demand for home improvement is healthy,” CFO Richard McPhail said. “Housing remains strong, and we see a supportive environment for home improvement spending as we look out over the next several years.” Read the official press release here

3. Someone over at Palantir (PLTR) knows something we don’t — probably on account of all the surveillance — because the company just bought a lot of gold. The data analytics firm has disclosed that it purchased $50 million worth of the precious metal in August, reflecting the growing trend of companies stashing cash in unconventional assets — much like Tesla (TSLA) and others have done with Bitcoin. As concerns over inflation grow and fears that the U.S. dollar will decline, many investors, as well as firms, are hedging their bets through these alternative means, with the price of an ounce of gold crossing the $2,000 mark for the first time last year. Read more here

Get this week’s full earnings calendar here.