What happened

Shares of Sea Limited (NYSE:SE) were rising 5% in morning trading Monday as the Asian digital entertainment company continues on the growth trajectory it's been following for over a year.

So what

Although there was no specific news driving the stock higher today, the gaming, e-commerce, and digital finance company has been benefiting from the global coronavirus pandemic that is forcing people to stay at home.

Smiling man looking at smartphone

Image source: Getty Images.

With little for people to do but play games, companies similarly situated to Sea have been enjoying a bumper crop of growth. For example, the Nintendo Switch hybrid game console has been out of stock, and now the lower-priced Switch Lite is also unavailable at most major e-commerce and brick-and-mortar retailers on and off line.

Now what

Sea reported last month that first-quarter revenue more than doubled to $715 million as the pandemic increased demand for online digital entertainment and e-commerce. Its active user base continues to grow and its self-developed Free Fire game grows in popularity.

Shares of Sea Limited are up nearly 50% since it reported earnings and are 165% higher year to date. The stock has more than quadrupled in value from its low point last October.

The business is still unprofitable, but recently announced a $1 billion convertible note offering to pay the cost of capped call transactions related to existing notes, with the net proceeds possibly going toward "strategic investments and acquisitions."

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