Investors looking for stocks in the Real Estate - Operations sector might want to consider either KE Holdings Inc. Sponsored ADR (BEKE) or Zillow (Z) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank is a proven s ...

vm/E+ via Getty Images I first wrote about my investment thesis on KE Holdings (NYSE:BEKE) (Beike) in June 2024. Since then, the stock has been mostly flat, while the stock prices of most Chinese real estate developers have further declined amid the continuing slump of China's real estate market. BEKE reported its earnings for Q2 FY2024 on August 12th before the bell. The company's Q2 results demonstrated the resilience of its business model. Along with the earnings release, the company also announced a sig ...

Exhibit 99.3 Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement. KE Holdings Inc. 貝殼控股有限公司 (A company controlled through weighted voting rights and incorporated in the Cayman Islands with limited ...

Target Price Change 13 August 2024 BUY 75% side Target price: US$24.62 Prior TP: US$22.03 BEKE US Price: US$14.03 TP basis: EV/EBITDA Sector rating: - Forecast Revisions (%) Year ended 31 Dec 24E 25E 26E Revenue 6.8 8.5 9.4 Adjusted EPS 10.7 11.5 12.1 Source: BOCI Research estimates Trading Summary US$ Turnover (US$ m) 14/08/23 14/09/23 14/10/23 14/11/23 14/12/2314/01/2414/02/2414/03/2414/04/2414/05/2414/06/2414/07/24 12.0 13.0 14.0 15.0 16.0 17.0 18.0 19.0 20.0 21.0 0 100 200 300 400 500 600 700 800 900 Tu ...

Investment Rating - The report assigns a "Buy" rating for Ke Holdings with a target price of $21.50, slightly adjusted from the previous target of $22.00, reflecting a potential upside of 53.2% from the current price of $14.03 [2]. Core Insights - Ke Holdings reported a 20% year-over-year revenue growth in Q2, reaching RMB 23.4 billion, exceeding both the forecast and consensus estimates by 9% [2]. - Non-GAAP net income for the quarter was RMB 2.7 billion, surpassing expectations by 48%, attributed to revenue growth and optimized operating expenses [2]. - The company is expected to maintain its market share growth in core business segments due to strong industry demand and an efficient agency network [2]. Summary by Sections Financial Performance - Q2 revenue reached RMB 23.4 billion, a 20% increase year-over-year, driven by new home transactions (NHT) and existing home transactions (EHT) [2]. - Non-GAAP net income was RMB 2.7 billion, exceeding expectations by 48% [2]. - The company anticipates a revenue growth of 44% year-over-year in the home renovation and furniture business for 2024 [2]. Market Share and Business Outlook - Ke Holdings experienced significant market share growth in both EHT and NHT segments, with EHT online registrations increasing by 16% year-over-year in major cities [2]. - The company’s NHT gross transaction value (GTV) declined by 20% year-over-year, while the overall industry saw a 35% decline, indicating strong competitive positioning [2]. - Management is shifting focus from rapid scale expansion to profit margin improvement in the home renovation segment, with profit margins increasing to 31% in Q2 2024 [2]. Shareholder Returns - The management has repurchased shares worth $480 million, representing 2.75% of shares outstanding as of the end of 2023, and has expanded the buyback program to $3 billion [2]. - The company aims to maintain a shareholder return target of 6-7% annually through buybacks and dividends [2]. Real Estate Market Trends - The report notes a slowdown in sales momentum during the typical summer sales lull, with new home sales in July and August showing a month-over-month decline of 24% and 19%, respectively [2]. - Leading indicators suggest a narrowing decline in new home sales, with expectations for increased project launches in September and October [4].

13 Aug 2024 CMB International Global Markets | Equity Research | Company Update Ke Holdings (BEKE US) Solid market share gains amid uncertain environment Beike reported (12 Aug) 2Q24 results: revenue increased 20% YoY to RMB23.4bn, and was 9% ahead of both our forecast and Bloomberg consensus estimates, thanks to a beat on GTV of both new home transactions (NHT) and existing home transactions (EHT), and stronger-than-expected expansion of NHT aided by strong industry demand. Non-GAAP net income was RMB2.7bn ...

Financial Data and Key Metrics - Total GTV reached RMB839 billion, up 7.5% YoY [20] - Net revenue was RMB23.4 billion, representing a YoY increase of 19.9% [20] - Gross margin improved by 0.5 percentage points YoY to 27.9% [20] - GAAP net income reached RMB1.9 billion, rising by 46.2% YoY [20] - Non-GAAP net income grew by 13.9% YoY to RMB2.69 billion [20] Business Line Data and Key Metrics - Revenue from existing home transactions reached RMB7.3 billion, up 14.3% YoY [21] - GTV for existing home transactions was RMB570.7 billion, increasing 25% YoY [21] - New home GTV reached RMB235.3 billion, growing by 28.2% YoY [22] - Revenue from home renovation and furnishing business grew by 53.9% YoY to RMB4 billion [24] - Home rental services revenue reached RMB3.2 billion, up 167.1% YoY [25] Market Data and Key Metrics - Existing home transactions on the platform grew by 40% YoY in Q2 2024 [8] - New home GTV contraction narrowed to 20% YoY in Q2 2024 [8] - Home renovation and furnishings business revenue grew close to 60% YoY in H1 2024 [10] - Home rental services revenue grew by 177% YoY in H1 2024 [10] Company Strategy and Industry Competition - The company is transforming into a technology-powered, one-stop residential services platform model [6] - Focus on community-based business to leverage in-depth community knowledge and understanding of residents' needs [14] - Expansion of store and agency networks, with a net increase of over 2,400 active stores and 40,000 active agents since the end of 2023 [9] Management Commentary on Operating Environment and Future Outlook - The external macro environment will continue to pose challenges in H2 2024 [16] - The company aims to build capabilities to keep the organization moving forward from one success to the next [16] - The company is committed to cost efficiency under refined operational measures [30] Other Important Information - The company repurchased around $480 million worth of shares, accounting for about 2.7% of the company's total shares outstanding at the end of 2023 [31] - The Board approved an expansion of the existing share repurchase program from $2 billion to $3 billion, extended until August 31, 2025 [32] Q&A Session Question: Changes in the real estate market after supportive policies - The housing market showed steady month-by-month improvement in Q2 2024, with existing home transactions rebounding sharply, especially in first-tier cities [35] - The new home market remains subdued, with year-over-year sales decline narrowing month-by-month [35] Question: Performance of new home business - The new home business outperformed the industry, with GTV reaching RMB235.3 billion, up 55% QoQ [40] - The company expanded cooperation with top-tier developers, doubling the number of strategic collaborations to 25 [40] Question: Growth strategy for home transaction services - The company added 48 new major brands and over 6,500 new stores in H1 2024, with a six-month retention rate of 93% [43] - Lianjia explored innovative store formats, including low-cost convenience stores and flagship stores with home-related elements [44] Question: Focus on home renovation and rental business - The home renovation business focused on upgrading digitalized capabilities and optimizing construction delivery [47] - The home rental business improved unit economics by enhancing service quality and leasing efficiency, with revenue reaching RMB3.19 billion, up 167% YoY [48]

KE Holdings Inc. Announces Second Quarter 2024 Unaudited Financial Results and Upsizing and Extension of Share Repurchase Program BEIJING, China, August 12, 2024 - KE Holdings Inc. ("Beike" or the "Company") (NYSE: BEKE and HKEX: 2423), a leading integrated online and offline platform for housing transactions and services, today announced its unaudited financial results for the second quarter ended June 30, 2024 and upsizing and extension of the share repurchase program. Business and Financial Highlights fo ...

Core Viewpoint - KE Holdings Inc. has approved an increase in its share repurchase program from US$2.0 billion to US$3.0 billion and extended it until August 31, 2025, reflecting the company's commitment to returning value to shareholders [2]. Group 1: Share Repurchase Program - The existing share repurchase program was initially established in August 2022 and was upsized in August 2023, allowing the company to purchase up to US$2.0 billion of its Class A ordinary shares and/or American depositary shares (ADSs) until August 31, 2024 [1]. - As of the announcement date, the company has repurchased approximately 95.0 million ADSs, equivalent to about 285.0 million Class A ordinary shares, for a total consideration of approximately US$1,389.8 million [1]. - The board of directors has now approved modifications to increase the repurchase authorization to US$3.0 billion and extend the program until August 31, 2025 [2]. Group 2: Company Overview - KE Holdings Inc. operates as a leading integrated online and offline platform for housing transactions and services in China, focusing on various aspects such as home sales, rentals, renovations, and furnishing [3]. - The company is known for its Lianjia brand, which has over 22 years of operational experience and is a key component of the Beike platform [3].

BEIJING, Aug. 12, 2024 (GLOBE NEWSWIRE) -- KE Holdings Inc. (“Beike” or the “Company”) (NYSE: BEKE and HKEX: 2423), a leading integrated online and offline platform for housing transactions and services, today announced its unaudited financial results for the second quarter ended June 30, 2024 and upsizing and extension of the share repurchase program. Business and Financial Highlights for the Second Quarter 2024 Gross transaction value (GTV)1 was RMB839.0 billion (US$115.5 billion), an increase of 7.5% yea ...