eXp World Holdings (EXPI): Is it One of the Best Stocks to Buy in 2021?
Since Glenn Darrel Sanford founded eXp world holdings (EXPI) on July 30th, 2008 in Bellingham, Washington, the company has slowly risen in its fame and stature over the years. If you are looking for a good stock to invest in, EXPI is one of the best stocks available for you. The company has also recently crossed over a billion dollars in market cap, currently standing at $1.044 billion. Let’s find out more about EXPI, one of the best stocks available to buy in 2021.
eXp World Holdings (EXPI): Key Things to Know
eXp World Holdings (EXPI): Company Profile
eXp World Holdings, Inc. provides cloud-based real estate brokerage services for residential homeowners and homebuyers in the United States, Canada, the United Kingdom, Australia, South Africa, Portugal, France, Mexico, and India. The company facilitates buyers to search real-time property listings and sellers to list their properties through its Website, exprealty.com; and provides buyers and sellers with access to a network of professionals, consumer-centric agents, and brokers. It also provides VirBELA, a virtual reality software platform focused on education and team development with clients in various industries ranging from government to retail. In addition, it develops eXp World, a cloud campus that provides access to collaborative tools, training, and socialization for the real estate agents and employees. Further, the company provides marketing, training, and other support services to its brokers and agents through proprietary technology enabled services, as well as technology and support services contracted to third parties. The company was formerly known as eXp Realty International Corporation and changed its name to eXp World Holdings, Inc. in May 2016. eXp World Holdings, Inc. was founded in 2008 and is based in Bellingham, Washington. As things currently stand, it is one of the best stocks to buy in 2021.
When did eXp Realty (EXPI) go public?
eXp Realty is a publicly-traded company on the NASDAQ stock exchange and it can be found under the ticker symbol “EXPI.” The firm became a publicly traded company in 2013.
EXPI Stock Summary
The EXPI stock is definitely one of the good stocks to buy today. Here’s its summary for you:
- EXP World Holdings Inc’s capital turnover — a measure of revenue relative to shareholder’s equity — is better than 97.64% of US listed stocks.
- With a price/earnings ratio of 212.21, EXP World Holdings Inc P/E ratio is greater than that of about 96.13% of stocks in our set with positive earnings.
- The volatility of EXP World Holdings Inc’s share price is greater than that of 96.71% US stocks with at least 200 days of trading history.
- Stocks that are quantitatively similar to EXPI, based on their financial statements, market capitalization, and price volatility, are GLG, TRC, CAN, DQ, and HUGE.
EXPI Stock: Risk vs Reward
The risk vs reward analysis of EXPI points to the fact that it is one of the best stocks to buy in 2021.
- Volatile share price over the past 3 months.
- Significant insider selling over the past 3 months.
- Shareholders have been diluted in the past year.
- Trading at 21.4% below our estimate of its fair value.
- Earnings are forecast to grow 49.81% per year.
- Became profitable in 2020.
Is eXp realty (EXPI) profitable?
If you search “what are some good stocks to buy right now” on Google, chances are that EXPI will show up in the search results. And for very good reason. Last year, it reported its first profitable quarter. For all of 2019, eXp generated $980 million in revenue, up 96 percent year over year. That’s up from $282.2 million in the third quarter of 2019. During the quarter, agents logged 75,392 transactions, up 95 percent year over year.
What is eXp commission split?
All agents at eXp Realty receive an 80/20 commission split. This split caps at $16,000 gross commission paid into the company. … Once this happens, that agent will receive 100% of their commission minus a transaction fee, risk management fee, and a broker review fee.
Has EXPI expanded its global operations?
eXp Realty, one of the fastest-growing, global real estate companies and a subsidiary of eXp World Holdings (Nasdaq: EXPI), has announced plans to expand its real estate operations into Puerto Rico, Brazil, Italy and Hong Kong in the first quarter of 2021. In 2020, eXp launched operations in South Africa, India, Mexico, France and Portugal.
How has the EXPI stock performed recently?
For EXPI, shares are up 2.46% over the past week while the Zacks Real Estate – Operations industry is flat over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 27.26% compares favorably with the industry’s 1.14% performance as well.
While any stock can see a spike in price, it takes a real winner to consistently outperform the market. Over the past quarter, shares of Exp World Holdings, Inc. Have risen 33.92%, and are up 484.58% in the last year. On the other hand, the S&P 500 has only moved 11.86% and 17.02%, respectively.
What is EXPI’s average trading volume?
Investors should also take note of EXPI’s average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. Right now, EXPI is averaging 841,775 shares for the last 20 days.
What is the earnings outlook of the EXPI stock?
Most notably, this is eXp World Holdings’ first profitable quarter since being listed on Nasdaq in 2018. For some quick and easily digestible numbers, in the fourth quarter of 2019, revenue increased 82% to $274 million, compared to $150 million in the fourth quarter of 2018. For the entirety of 2019, eXp posted record revenue of $980 million, which is an increase of 96% year-over-year from $500 million in 2018. These are incredible numbers and the firm is focused on delivering similar results moving forward.
The increase in the number of agents has also made a relative impact on the number of transactions and sales volume in 2019 for eXp Realty. Transaction sides increased 81% to 135,320, compared to 74,678 in 2018. And transaction volume increased 93% to $38.2 billion, compared to $19.8 billion in 2018.
“We also expect eXp Realty to continue to add agents at levels above what competing national brokerages are experiencing and anticipate increased adoption of our affiliated services businesses by eXp Realty agents as well as additional international expansion,” said eXp World Holdings CFO and Chief Collaboration Officer Jeff Whiteside. “We have a long runway ahead of revenue growth and profitability with the right team in place to meet those goals.”
Michael Valdes, President of eXp Global, said:“The record revenue and transaction volume growth in 2020 was a direct result of our agent-centric, cloud-based brokerage that allowed us to add agents all over the world at an unprecedented pace. As we look ahead in 2021, we expect to continue expanding throughout Europe–a key growth market — while adding strong footholds in South America, Asia and the Caribbean.”
eXp Realty offers a unique financial model for residential and commercial real estate agents, going beyond attractive commissions to provide its agents with an opportunity to earn additional income by helping the company grow its agent base anywhere in the world and equity in eXp World Holdings, Inc. stock programs applied to listing and selling activities. eXp’s cloud-based brokerage is powered by Virbela, the company’s immersive and collaborative platform, which enables its agents to communicate, meet and conduct business in a virtual world.
How is EXPI’s earning growth and ROE?
To start with, eXp World Holdings’ ROE looks acceptable. Especially when compared to the industry average of 8.0% the company’s ROE looks pretty impressive. Despite this, eXp World Holdings’ five year net income growth was quite low averaging at only 2.0%. This is generally not the case as when a company has a high rate of return it should usually also have a high earnings growth rate. Such a scenario is likely to take place when a company pays out a huge portion of its earnings as dividends, or is faced with competitive pressures. All of that definitely makes it one of the best stocks to buy in 2021. Hopefully that will give you a better insight into the investment opportunities available with EXPI.