Exp World (NASDAQ:AGNT) Posts Quarterly Earnings Results, Misses Estimates By $0.10 EPS

Exp World (NASDAQ:AGNT) released its earnings results on Thursday. The technology company reported ($0.03) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.07 by ($0.10), FiscalAI reports. Exp World had a negative return on equity of 5.43% and a negative net margin of 0.35%. The business had revenue of $1.39 billion for the quarter. Exp World’s revenue was up 5.8% on a year-over-year basis.

Here are the key takeaways from Exp World’s conference call:

• Q3 revenue rose 6% to $1.4 billion, while transactions increased 8% and sales volume grew 10%, including NextHome. Operating income fell 23% to $3.1 million, primarily due to elevated legal costs, and Adjusted EBITDA declined 3% to $17.1 million.
• AGNT cited rising mortgage rates and softer housing demand in lowering its outlook: Q4 revenue is expected at $1.0 billion–$1.2 billion and Adjusted EBITDA at a loss of $7 million to break-even. Full-year Adjusted EBITDA guidance is $40 million–$47 million, with legal expenses expected to remain elevated through 2026 before normalizing in 2027.
• Agent count ended the quarter at 87,457, up 5% year over year, and core-business productivity per person rose 6% excluding NextHome. Management said more than 90% of attrition came from lower-productivity agents, while 44% of new joiners were on teams, which it says are 77% more productive than individual agents.
• Management is investing in AI-enabled tools and its AgentOS modernization, including connectors that let agents use AI within tools they already work in; the Hub MCP recorded more than 1.2 million tool calls since launch. The company also highlighted potential margin benefits from international improvement, ancillary services, and scaling NextHome, while cautioning that financial impacts from technology initiatives are early and uncertain.

Exp World Price Performance

Shares of Exp World stock traded down $0.61 on Friday, reaching $3.30. The company had a trading volume of 1,169,981 shares, compared to its average volume of 1,317,378. The firm has a market cap of $542.26 million, a price-to-earnings ratio of -30.00 and a beta of 1.94. The firm’s 50-day moving average price is $3.88 and its two-hundred day moving average price is $5.35. Exp World has a 1 year low of $3.22 and a 1 year high of $12.23.

Insiders Place Their Bets

In other Exp World news, major shareholder Gratitude 2022 Trust U/A/D 8/2 sold 8,693,290 shares of the firm’s stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $3.68, for a total value of $31,991,307.20. Following the completion of the sale, the insider owned 18,037,824 shares of the company’s stock, valued at $66,379,192.32. This trade represents a 32.52% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Insiders own 26.59% of the company’s stock.

Institutional Trading of Exp World

Institutional investors and hedge funds have recently bought and sold shares of the business. Philadelphia Investment Partners LLC purchased a new position in shares of Exp World in the 2nd quarter valued at about $46,000. Commonwealth Financial Services LLC purchased a new position in shares of Exp World during the 1st quarter valued at approximately $111,000. Fifth Third Bancorp lifted its position in shares of Exp World by 2,697.1% during the 1st quarter. Fifth Third Bancorp now owns 21,454 shares of the technology company’s stock valued at $129,000 after buying an additional 20,687 shares in the last quarter. Cim Investment Management Inc. acquired a new stake in Exp World in the 2nd quarter valued at $136,000. Finally, Citizens Financial Group Inc. RI acquired a new stake in Exp World in the 3rd quarter valued at $186,000. 27.17% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on the stock. Citizens Jmp began coverage on shares of Exp World in a research report on Wednesday, October 14th. They set a “market outperform” rating and a $6.00 price objective on the stock. Benchmark dropped their target price on shares of Exp World from $8.00 to $6.00 and set a “buy” rating for the company in a research report on Wednesday, August 5th. Weiss Ratings cut shares of Exp World from a “sell (d+)” rating to a “sell (d)” rating in a research note on Friday, September 25th. DA Davidson reduced their price target on shares of Exp World from $6.50 to $4.75 and set a “neutral” rating on the stock in a report on Wednesday, August 5th. Finally, Zacks Research upgraded Exp World from a “strong sell” rating to a “hold” rating in a research report on Wednesday, September 23rd. Two equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, Exp World has an average rating of “Hold” and a consensus price target of $5.38.

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. In addition, the company offers SUCCESS print magazine, SUCCESS.com portal, SUCCESS newsletters, SUCCESS podcasts, SUCCESS plus, SUCCESS speakers bureau, and SUCCESS coaching, podcasts, and digital training courses.