5 Best Entertainment Stocks To Buy In 2023

3. Sea Limited (NYSE:SE)

Number of Hedge Fund Holders: 48

Sea Limited (NYSE:SE) is involved in the digital entertainment, e-commerce, and digital financial services industries. The company provides the Garena digital entertainment platform, which allows users to access mobile and PC online games, as well as eSports operations. On March 7, Sea Limited (NYSE:SE) reported a Q4 non-GAAP EPS of $0.72 and a revenue of $3.45 billion, topping Wall Street estimates by $1.27 and $400 million, respectively. It is one of the best entertainment stocks to invest in. 

On April 20, Benchmark initiated coverage of Sea Limited (NYSE:SE) with a Buy rating and a $105 price target as part of the firm’s industry launch of Southeast Asia e-commerce stocks. The analyst highlighted that Sea Limited (NYSE:SE) is a leading platform provider that offers gaming via Garena, e-commerce via Shopee, and fintech services through SeaMoney. The firm’s positive view is based on the belief that the growth of Shopee and SeaMoney will continue to benefit from favorable structural factors. Additionally, the firm noted that Sea Limited (NYSE:SE) delivered impressive profitability in Q4, which was one year ahead of its guided timeline, and this further supports the positive outlook.

According to Insider Monkey’s fourth quarter database, 48 hedge funds were long Sea Limited (NYSE:SE), compared to 55 funds in the last quarter. Nitin Saigal and Dan Jacobs’ Kora Management is the largest stakeholder of the company, with approximately 4 million shares worth $206.8 million. 

Artisan Developing World Fund made the following comment about Sea Limited (NYSE:SE) in its Q1 2023 investor letter:

“Top contributors to performance for the quarter included Southeast Asian e-commerce platform Sea Limited (NYSE:SE). Sea rose after achieving profitability in e-commerce a year ahead of guidance, and delivering significant growth in monetization and revenue despite moderating gross merchandise value (GMV) trends. Notably, our top four holdings entering the quarter (Sea, Meli, Nvidia, Airbnb) which represented 24.37% of capital on December 31, 2022, increased an average of 64.42% during the quarter.”