Exp World (NASDAQ:EXPI) Shares Down 15.2% Following Weak Earnings

Key Points

• Exp World Holdings, Inc. (NASDAQ:EXPI) shares fell 15.2% after reporting weaker-than-expected earnings, with an EPS of ($0.01) compared to the consensus estimate of $0.12.
• The company declared a quarterly dividend of $0.05, with a payout ratio of -181.82%, indicating current challenges in profitability despite a slight year-over-year revenue increase.
• Analysts from DA Davidson set a target price of $12.00 for Exp World, maintaining a "buy" rating, suggesting expectations for future growth despite recent setbacks.

Exp World Holdings, Inc. (NASDAQ:EXPI - Get Free Report)'s stock price traded down 15.2% during mid-day trading on Friday following a dissappointing earnings announcement. The stock traded as low as $9.28 and last traded at $9.14. 251,840 shares were traded during mid-day trading, a decline of 78% from the average session volume of 1,158,310 shares. The stock had previously closed at $10.78.

The technology company reported ($0.01) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.12 by ($0.13). Exp World had a negative net margin of 0.68% and a negative return on equity of 4.79%. The company had revenue of $1.31 billion for the quarter, compared to analyst estimates of $1.30 billion. During the same quarter in the previous year, the company posted $0.08 EPS. The company's revenue for the quarter was up 1.0% compared to the same quarter last year.

Exp World Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, August 29th. Stockholders of record on Friday, August 15th will be paid a dividend of $0.05 per share. The ex-dividend date of this dividend is Friday, August 15th. This represents a $0.20 dividend on an annualized basis and a dividend yield of 2.0%. Exp World's dividend payout ratio is -100.00%.

Analysts Set New Price Targets

Separately, DA Davidson set a $12.00 price target on shares of Exp World and gave the company a "buy" rating in a research report on Friday, July 11th.

Insiders Place Their Bets

In other Exp World news, CEO Glenn Darrel Sanford sold 25,000 shares of the business's stock in a transaction that occurred on Monday, May 19th. The stock was sold at an average price of $7.99, for a total transaction of $199,750.00. Following the transaction, the chief executive officer owned 39,628,400 shares of the company's stock, valued at $316,630,916. The trade was a 0.06% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Randall D. Miles sold 10,000 shares of the business's stock in a transaction on Tuesday, June 10th. The shares were sold at an average price of $9.15, for a total value of $91,500.00. Following the completion of the sale, the director owned 537,190 shares of the company's stock, valued at $4,915,288.50. This trade represents a 1.83% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 60,000 shares of company stock valued at $486,500 over the last 90 days. 27.96% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Public Employees Retirement System of Ohio raised its position in Exp World by 32.7% during the 2nd quarter. Public Employees Retirement System of Ohio now owns 4,191 shares of the technology company's stock valued at $38,000 after purchasing an additional 1,032 shares during the last quarter. Brooklyn Investment Group grew its holdings in shares of Exp World by 880.8% in the first quarter. Brooklyn Investment Group now owns 4,806 shares of the technology company's stock worth $47,000 after acquiring an additional 4,316 shares during the period. Rossby Financial LCC purchased a new position in Exp World during the first quarter valued at $51,000. Geneos Wealth Management Inc. lifted its position in Exp World by 41.2% during the first quarter. Geneos Wealth Management Inc. now owns 6,365 shares of the technology company's stock valued at $62,000 after purchasing an additional 1,856 shares in the last quarter. Finally, US Bancorp DE grew its position in shares of Exp World by 1,608.8% during the first quarter. US Bancorp DE now owns 11,244 shares of the technology company's stock worth $110,000 after purchasing an additional 10,586 shares in the last quarter. Institutional investors own 27.17% of the company's stock.

Exp World Price Performance

The company has a market cap of $1.60 billion, a P/E ratio of -51.27 and a beta of 2.52. The firm's 50-day moving average is $9.55 and its two-hundred day moving average is $9.64.

Exp World Company Profile

eXp World Holdings, Inc, together with its subsidiaries, provides cloud-based real estate brokerage services for residential homeowners and homebuyers. The company operates through North American Realty, International Realty, Virbela, and Other Affiliated Services segments. It provides Virbela, a cloud-based technologies that provides data, lead generation, and marketing tools for real estate agents and employees.