Sea Limited remains a Buy as growth reinvestment drives long-term value despite recent 30% drop

Sea Limited's Q4 results show strong fundamentals with gross profits exceeding operating expenses and stable free cash flow margins around 20%. The company projects about 25% year-over-year growth in gross merchandise volume by 2025, supported by robust monetization through a 70% increase in ad revenue and higher user spending. Its logistics and fintech segments are expanding cautiously but effectively, with logistics boosting user spend and fintech's loan book growing 80% year-over-year while maintaining stable non-performing loans. Despite a recent 30% stock price correction, the company's reinvestment in growth supports a positive long-term outlook, making it a Buy recommendation.