World’s top large-cap stock crushes short-sellers and it has nothing to do with making electric cars or iPhones

putri titian

High-profile U.S. tech companies tend to grab the clickiest headlines when it comes to the financial news splashed across the internet these days, but none of them compare to a Singapore-based gaming, e-commerce and payments company on a performance basis over the past 18 months. In fact, it’s not even […]

High-profile U.S. tech companies tend to grab the clickiest headlines when it comes to the financial news splashed across the internet these days, but none of them compare to a Singapore-based gaming, e-commerce and payments company on a performance basis over the past 18 months.

In fact, it’s not even close.

New York-listed shares of Sea Ltd
SE,
-3.42%

have rallied almost 900 % over that time frame to become the world’s best-performing large-cap stock, according to Bloomberg News. As you can see, Apple
AAPL,
+5.15%

, Tesla
TSLA,
+2.40%

and the S&P
SPX,
+0.34%

lag far behind:

Short-sellers placed a record amount of bets against Sea in June, Bloomberg data show, but they are running for cover amid the growing belief that the loss-making company could emerge as the Tencent
TCEHY,
+4.96%

and Alibaba
BABA,
+3.03%

of the region.

Overall, however, a bearish position of more than $3 billion still remains, which is about 8% of the stock’s float, according to financial analytics firm S3 Partners.

“Mark-to-market losses may have forced shorts out of their position,” S3’s Ihor Dusaniwsky, told Bloomberg News. “But they may still have a negative outlook.”

Sea had a rough start to its first year in the public market back in 2017, but its path to the top of the large-cap heap began with Free Fire, a battle royale mobile game that has many as 80 million daily active users across more than 130 markets worldwide. Now, the company’s e-commerce and financial services units have also become driving forces for the overall bullish business case.

The company is expected to announce its second-quarter results on Aug. 20.

At last check, Sea shares were up more than 4% to take part in a broad market rally on Wednesday that saw the Dow Jones Industrial Average
DJIA,
+0.68%

jump almost 300 points.

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