What happened
Shares of eXp World Holdings (EXPI 2.64%) gained 36% in today's trading session, according to data from S&P Global Market Intelligence. The stock surged after the real estate company posted its second-quarter earnings results.
eXp World Holdings published its Q2 results before the market opened, crushing the average top- and bottom-line estimates. The company posted earnings per share of $0.24 on sales of $1 billion, handily topping the average analyst estimate's call for per-share earnings of $0.09 on revenue of $728.8 million.
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So what
eXp World Holdings' revenue surged 182.9% year over year in the second quarter, and total residential and commercial transaction volume conducted through the platform jumped 210% to reach $40.1 billion. The company reported 58,263 total registered agents and brokers on the platform at the end of the quarter, up 87% compared to the prior-year period.
Now what
eXp World Holdings paired its blockbuster second-quarter results with news that it would pay its first-ever dividend in Q3. The company's upcoming payment of $0.04 per share works out to what's an essentially negligible yield, but the initiation of the dividend signals that returning cash to shareholders could become a consistent component of stock ownership.
There's likely to be plenty of room for payout growth down the line if the company continues to execute at such a high level. The online real estate services market still has huge room for expansion, and eXp World's latest earnings report shows that the company is building impressive momentum in the space.
eXp World Holdings now has a market capitalization of roughly $6.85 billion and is valued at approximately 2.3 times this year's expected sales and 136 times expected earnings.
