BofA analyst Sachin Salgaonkar downgraded Sea Limited to Neutral from Buy with a price target of $60, down from $74. The analyst sees risks of near-term disappointment on both the company’s e-commerce and gaming business. Sea will struggle to balance revenue growth with profitability and its near-term path to profitability will come at the expense of revenue growth, Salgaonkar tells investors in a research note. In addition, the company’s lack of new games still remains an overhang and its Free Fire growth continues to slow, says the analyst.
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