03:13 PM EDT, 05/14/2024 (MT Newswires) -- Sea's (SE) turnaround continues as indicated by its stronger-than-expected Q1 revenue and management's encouraging commentary on Q2 trends, Wedbush said in a report Tuesday.

The company's gross merchandise volume growth accelerated for the third straight quarter in Q1, the firm said.

"We continue to see significant long-term potential for the business given its market leading position, ecosystem of services across eCommerce, financial services, & gaming, and favorable regional dynamics that should support robust secular growth," it said.

Wedbush raised its Q2 and full-year revenue estimates for Sea following its Q1 results. It now expects Q2 revenue of $3.74 billion, up from its previous forecast of $3.69 billion. For full-year 2024, it now expects revenue of $15.35 billion, instead of $15.16 billion.

"We would expect further multiple expansion as the company continues to validate the turnaround in the business and return to

profitable eCommerce growth," it said.

Wedbush raised its price target for Sea to $76 from $72, and maintained its outperform rating.

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