SE have lost 84%, as stock drops 9.7% this past week

$Sea (SE.US)$
The share price is down a whopping 84% in the last twelve months. While some investors are willing to stomach this sort of loss, they are usually professionals who spread their bets thinly.

On the other hand, the stock is actually up 74% over three years. Furthermore, it's down 25% in about a quarter. That's not much fun for holders. I really hope anyone holding through that price crash has a diversified portfolio. Even when you lose money, you don't have to lose the lesson.

With the stock having lost 9.7% in the past week, it's worth taking a look at business performance and seeing if there's any red flags.

Because Sea made a loss in the last twelve months, I think the market is probably more focussed on revenue and revenue growth, at least for now. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. That's because it's hard to be confident a company will be sustainable if revenue growth is negligible, and it never makes a profit.

In the last twelve months, Sea increased its revenue by 72%. That's well above most other pre-profit companies. So it's really surprised that the share price down 84% over twelve months. Of course, markets do over-react so share price drop may be too harsh.

The company's revenue and earnings (over time) are depicted in the image below