tiprankstipranks
Trending News
More News >
KE Holdings Inc. Sponsored ADR Class A (BEKE)
NYSE:BEKE
Advertisement

KE Holdings Inc. Sponsored ADR Class A (BEKE) AI Stock Analysis

Compare
747 Followers

Top Page

BEKE

KE Holdings Inc. Sponsored ADR Class A

(NYSE:BEKE)

Select Model
Select Model
Select Model
Neutral 62 (OpenAI - 4o)
Rating:62Neutral
Price Target:
$17.50
▲(0.00% Upside)
KE Holdings Inc. demonstrates strong revenue growth and operational efficiency improvements, particularly in the rental business. However, declining profitability margins and a high P/E ratio suggest caution. The technical indicators show a bearish trend, and while the dividend yield offers some appeal, the overall valuation remains a concern.
Positive Factors
Revenue Growth
The significant growth in home rental services revenue indicates a strong demand and successful expansion in this segment, supporting long-term revenue growth.
Strategic Partnerships
The partnership to develop AI + 3D visualization technologies enhances KE Holdings' technological capabilities, potentially strengthening its competitive position in the real estate market.
ESG Rating Upgrade
The ESG rating upgrade reflects the company's commitment to sustainable practices, potentially attracting more institutional investors and enhancing its market reputation.
Negative Factors
Declining Profit Margins
The decline in gross margin suggests increased cost pressures or pricing challenges, which could impact long-term profitability if not addressed.
Cash Flow Challenges
The sharp decline in free cash flow growth raises concerns about the company's ability to generate cash, potentially affecting its financial flexibility and investment capacity.
Decreasing New Home Transaction Revenue
The decrease in new home transaction revenue indicates potential challenges in this core segment, which could affect overall revenue growth if the trend continues.

KE Holdings Inc. Sponsored ADR Class A (BEKE) vs. SPDR S&P 500 ETF (SPY)

KE Holdings Inc. Sponsored ADR Class A Business Overview & Revenue Model

Company DescriptionKE Holdings Inc. (BEKE) operates as a leading technology-driven real estate services company in China. The company primarily focuses on the residential real estate market, providing a range of services including property brokerage, online and offline marketing solutions, and transaction services. KE Holdings leverages its proprietary technology platform to connect home buyers and sellers, facilitating seamless transactions and enhancing customer experience. The company operates under various brands, with its flagship being Beike, which serves as a comprehensive marketplace for real estate services.
How the Company Makes MoneyKE Holdings generates revenue through multiple key streams. The primary source comes from real estate brokerage services, where the company earns commission fees from property transactions facilitated through its platform. Additionally, the company provides advertising and marketing services for property developers and owners, generating revenue from listing fees and promotional services on its platform. Partnerships with real estate agencies and developers further bolster its revenue model, allowing KE Holdings to expand its service offerings and market reach. The growing demand for digital real estate solutions and the increasing volume of property transactions in China significantly contribute to the company's earnings.

KE Holdings Inc. Sponsored ADR Class A Earnings Call Summary

Earnings Call Date:Nov 10, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Mar 12, 2026
Earnings Call Sentiment Neutral
The earnings call highlighted significant achievements in operational efficiency and growth in the rental business. However, there were notable declines in gross margin and new home transaction revenue, which were concerning.
Q3-2025 Updates
Positive Updates
Record Contribution Profit in Home Renovation and Rental Business
Achieved city-level profitability in both home renovation and rental business before deducting headquarter expenses. The combined contribution profit reached a record high.
Home Rental Services Surge
Revenue from home rental services reached a record high of RMB 5.7 billion in Q3, up 45.3% year-over-year.
Improved Efficiency and Shareholder Returns
Enhanced operational efficiency through AI technology and increased execution of shareholder returns with a single quarter share repurchase spending reaching its highest level in the past 2 years.
Negative Updates
Decline in Gross Margin and Net Income
Gross margin declined by 1.3 percentage points year-over-year to 21.4%. GAAP net income was RMB 747 million, down 36.1% year-over-year.
Decrease in New Home Transaction Revenue
Revenue from new home transactions decreased by 14.1% year-over-year and 23% quarter-over-quarter.
Emerging Services Revenue Drop
Revenue from emerging and other services decreased by 18.7% year-over-year and 8.4% quarter-over-quarter to RMB 396 million.
Company Guidance
During the third quarter of 2025, KE Holdings, Inc. focused on enhancing business efficiency and profitability, achieving city-level profitability in its home renovation and rental business segments before deducting headquarters expenses. Total Gross Transaction Value (GTV) was RMB 736.7 billion, remaining stable year-over-year, while total revenues increased by 2.1% to RMB 23.1 billion. The gross margin declined by 1.3 percentage points to 21.4%, and GAAP net income decreased by 36.1% to RMB 747 million. Non-GAAP net income also saw a decline of 27.8% to RMB 1.29 billion. The company optimized costs and expenses across core business segments and enhanced shareholder returns with significant share repurchases, spending USD 281 million in Q3, marking the highest level in the past two years. Revenue from home renovation and furniture services remained flat at RMB 4.3 billion, with a contribution margin increase of 0.8 percentage points to 32%. The home rental services business saw a revenue surge to RMB 5.7 billion, a 45.3% year-over-year increase, driven by growth in rental units under management, which reached over 660,000. The contribution margin for home rental services improved to 8.7%, a year-over-year increase of 4.3 percentage points.

KE Holdings Inc. Sponsored ADR Class A Financial Statement Overview

Summary
KE Holdings Inc. shows strong revenue growth and a stable balance sheet with moderate leverage. However, profitability margins have slightly declined, and there are challenges in cash conversion efficiency. Overall, the financial statements reflect growth potential but require attention to cost management.
Income Statement
75
Positive
KE Holdings Inc. shows strong revenue growth with a TTM increase of 45.4%, indicating a robust expansion. However, the gross profit margin has decreased from 24.55% in 2024 to 22.15% in TTM, reflecting potential cost pressures. The net profit margin also declined to 3.78% from 4.35%, suggesting reduced profitability. Despite these challenges, the company maintains a positive EBIT and EBITDA margin, though both have slightly decreased, indicating stable operational efficiency.
Balance Sheet
70
Positive
The company's debt-to-equity ratio remains stable at around 0.32, reflecting moderate leverage. Return on equity has slightly decreased to 5.58% in TTM, indicating a slight decline in profitability relative to equity. The equity ratio is strong, suggesting a solid capital structure with a significant portion of assets financed by equity. Overall, the balance sheet reflects financial stability with manageable debt levels.
Cash Flow
65
Positive
The free cash flow growth rate is positive at 19.82% in TTM, indicating improved cash generation. However, the operating cash flow to net income ratio has decreased, suggesting less cash conversion from earnings. The free cash flow to net income ratio remains high at 80.8%, indicating efficient cash management. Overall, the cash flow statement shows positive trends but highlights potential challenges in converting earnings to cash.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue103.52B93.46B77.78B60.67B80.75B70.48B
Gross Profit22.63B22.94B21.72B13.78B15.82B16.86B
EBITDA4.20B4.93B9.31B817.87M762.60M4.25B
Net Income3.48B4.06B5.88B-1.39B-524.77M2.78B
Balance Sheet
Total Assets119.30B133.15B120.33B109.35B100.32B104.30B
Cash, Cash Equivalents and Short-Term Investments48.99B52.76B53.89B54.90B49.85B56.66B
Total Debt21.10B22.65B17.99B12.19B7.51B7.99B
Total Liabilities51.36B61.70B48.13B40.29B33.26B37.50B
Stockholders Equity67.84B71.32B72.10B68.92B66.97B66.77B
Cash Flow
Free Cash Flow2.43B8.41B10.28B7.67B2.17B8.47B
Operating Cash Flow2.91B9.45B11.16B8.46B3.60B9.36B
Investing Cash Flow4.99B-9.38B-3.98B-8.47B-24.88B-14.98B
Financing Cash Flow-7.91B-5.79B-6.96B-1.15B-1.07B25.41B

KE Holdings Inc. Sponsored ADR Class A Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price17.50
Price Trends
50DMA
18.05
Negative
100DMA
18.32
Negative
200DMA
19.11
Negative
Market Momentum
MACD
-0.28
Negative
RSI
54.98
Neutral
STOCH
78.53
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BEKE, the sentiment is Neutral. The current price of 17.5 is above the 20-day moving average (MA) of 16.79, below the 50-day MA of 18.05, and below the 200-day MA of 19.11, indicating a neutral trend. The MACD of -0.28 indicates Negative momentum. The RSI at 54.98 is Neutral, neither overbought nor oversold. The STOCH value of 78.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for BEKE.

KE Holdings Inc. Sponsored ADR Class A Risk Analysis

KE Holdings Inc. Sponsored ADR Class A disclosed 95 risk factors in its most recent earnings report. KE Holdings Inc. Sponsored ADR Class A reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

KE Holdings Inc. Sponsored ADR Class A Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
$14.86B24.149.14%12.51%32.34%
68
Neutral
$3.71B16.7812.21%6.77%150.72%
67
Neutral
$1.76B-8.09%1.80%5.08%41.21%
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
62
Neutral
$20.11B42.424.91%2.06%25.33%-13.60%
54
Neutral
$6.44B-39.33%-4.45%18.95%
38
Underperform
$872.45K
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
BEKE
KE Holdings Inc. Sponsored ADR Class A
17.50
-0.57
-3.15%
JLL
Jones Lang Lasalle
314.87
31.20
11.00%
EXPI
eXp World Holdings
11.09
-3.06
-21.63%
CWK
Cushman & Wakefield
16.01
0.84
5.54%
XHG
XChange TECINC
0.93
-28.87
-96.88%
OPEN
Opendoor Technologies
6.75
4.47
196.05%

KE Holdings Inc. Sponsored ADR Class A Corporate Events

KE Holdings Inc. Announces Share Repurchase and Conversion
Nov 17, 2025

On November 13, 2025, KE Holdings Inc. reported changes in its share structure, including the repurchase and cancellation of 37,806,099 shares, which constituted a 1.067% reduction in issued shares. Additionally, the company converted Class B ordinary shares to Class A ordinary shares, reflecting strategic adjustments in its equity structure. These changes are part of KE Holdings’ ongoing efforts to optimize its capital structure and enhance shareholder value, potentially impacting its market positioning and investor relations.

KE Holdings Reports Third Quarter 2025 Financial Results
Nov 12, 2025

KE Holdings Inc. announced its unaudited financial results for the third quarter of 2025, showing a gross transaction value (GTV) of RMB736.7 billion, which remained flat year-over-year. The company reported a net revenue increase of 2.1% to RMB23.1 billion, despite a 36.1% decrease in net income. The number of stores and agents saw significant growth, with active stores increasing by 25.9% and active agents by 11.4% compared to the previous year. The company is focusing on operational efficiency and technological innovation, including a pilot program in Shanghai and AI integration in home rental services. KE Holdings also continued its share repurchase program, spending US$281 million in the third quarter, marking the highest single-quarter repurchase in two years.

KE Holdings Inc. Completes Share Repurchase Program in October 2025
Nov 3, 2025

KE Holdings Inc. announced a series of share repurchases throughout September and October 2025, with the latest changes in issued shares recorded on October 24, 2025. These actions reflect the company’s strategic efforts to manage its capital structure, potentially enhancing shareholder value and signaling confidence in its financial health.

KE Holdings Inc. Achieves ‘AA’ MSCI ESG Rating Upgrade
Oct 28, 2025

On October 27, 2025, KE Holdings Inc. announced an upgrade in its MSCI ESG rating from ‘A’ to ‘AA’, marking the third consecutive upgrade since 2023. This achievement underscores the company’s commitment to ESG excellence, highlighted by its improved scores in governance and environmental categories, driven by initiatives like the Sustainable Apartment Agreement. The upgraded rating enhances Beike’s industry positioning and reflects its dedication to sustainable practices, which could positively impact stakeholders and institutional investors.

KE Holdings Inc. Announces Strategic Share Repurchases in October 2025
Oct 27, 2025

KE Holdings Inc. has recently disclosed a series of share repurchases that took place throughout September and October 2025. The company repurchased a significant number of shares, which indicates a strategic move to potentially enhance shareholder value and optimize its capital structure. These repurchases could impact the company’s market positioning by reducing the number of outstanding shares, thereby potentially increasing earnings per share and investor confidence.

KE Holdings Inc. Reports Share Repurchase Activities in October 2025
Oct 20, 2025

KE Holdings Inc. has recently disclosed several changes in its issued shares and treasury shares, as reported in their Next Day Disclosure Returns dated from October 13 to October 17, 2025. The company has been actively repurchasing shares throughout September and early October 2025, with significant repurchase activities noted on various dates. These actions reflect the company’s strategic financial management decisions aimed at optimizing its capital structure, which could potentially impact its market positioning and shareholder value.

KE Holdings Inc. Releases October 2025 Disclosure Returns
Oct 14, 2025

KE Holdings Inc. has released a series of Next Day Disclosure Returns dated between October 6 and October 10, 2025. These disclosures are part of the company’s regulatory compliance under the Securities Exchange Act of 1934, indicating ongoing transparency in its financial and operational activities. The releases could impact stakeholders by providing insights into the company’s recent activities and adjustments, potentially affecting its market positioning and investor confidence.

KE Holdings Reports Share Movements and Capital Adjustments for September 2025
Oct 9, 2025

In its latest monthly return for September 2025, KE Holdings Inc. reported no change in its authorized share capital, maintaining a total of USD 500,000. However, the company experienced a decrease in its issued shares, with Class A shares reducing by 27,051,775 and Class B shares by 1,120,452. This reduction was partly due to the repurchase and cancellation of shares, as well as the conversion of Class B shares to Class A shares. These movements reflect the company’s ongoing efforts to manage its share capital and optimize its financial structure, which may impact its market positioning and shareholder value.

KE Holdings Inc. Executes Strategic Share Repurchases in September 2025
Oct 6, 2025

In a recent disclosure, KE Holdings Inc. reported a series of share repurchases throughout September 2025, with the most recent activity occurring on September 26, 2025. These repurchases, conducted on the New York Stock Exchange, amounted to 693,855 shares at an aggregate price of USD 4,497,106. The repurchase activities are part of a broader mandate allowing the company to buy back up to 360,216,007 shares, reflecting a strategic move to manage share capital and potentially enhance shareholder value. This activity may impact the company’s stock liquidity and market perception, indicating a focus on strengthening its financial positioning.

KE Holdings Inc. Grants RSUs to Employees to Boost Long-term Growth
Oct 2, 2025

On October 1, 2025, KE Holdings Inc. announced the grant of 320,694 restricted share units (RSUs) to 15 employees under its 2020 Share Incentive Plan. This move aims to align the interests of the employees with the company’s long-term growth and profitability, and to recognize their past contributions. The RSUs will vest over periods ranging from 42 to 48 months, with no performance targets attached. This initiative is expected to motivate employees and secure their commitment, thereby potentially enhancing the company’s future development and shareholder value.

KE Holdings Inc. Reports Extensive Share Buybacks in September 2025
Sep 29, 2025

KE Holdings Inc. has been actively involved in share repurchase activities throughout July to September 2025, as detailed in their recent disclosures dated September 22 to September 26, 2025. These buybacks, which involve significant volumes of shares, indicate the company’s strategic move to consolidate its equity structure, potentially enhancing shareholder value and reflecting confidence in its financial health. The repurchases are part of a broader trend in the industry where companies are leveraging buybacks to optimize their capital structure, which could have implications for market positioning and investor relations.

KE Holdings Inc. Releases September 2025 Disclosure Returns
Sep 22, 2025

KE Holdings Inc. released a series of Next Day Disclosure Returns dated from September 15 to September 19, 2025, indicating ongoing compliance with regulatory requirements. These disclosures are part of the company’s routine reporting obligations under the Securities Exchange Act of 1934, reflecting its commitment to transparency and accountability in its financial operations.

KE Holdings Inc. Releases 2025 Interim Report
Sep 17, 2025

KE Holdings Inc. has released its interim report for the first half of the fiscal year ending December 31, 2025. This report, required by the Hong Kong Stock Exchange, provides insights into the company’s financial performance and strategic positioning. The release of the interim report is an important event for stakeholders, as it offers a detailed view of the company’s operations and market strategy, potentially impacting investor perceptions and market dynamics.

KE Holdings Inc. Reports Share Repurchases in July and August 2025
Sep 15, 2025

KE Holdings Inc. has reported several changes in its issued shares and treasury shares, as disclosed in their recent filings with the Securities and Exchange Commission. The company has been actively repurchasing shares throughout July and August 2025, with multiple transactions occurring on various dates. These repurchases have not yet been canceled, indicating a strategic move to manage its share capital. This series of transactions reflects KE Holdings Inc.’s efforts to optimize its capital structure and potentially enhance shareholder value.

KE Holdings Inc. Files Disclosure Returns for Early September 2025
Sep 8, 2025

On September 8, 2025, KE Holdings Inc. filed a report with the SEC, detailing several disclosure returns dated from September 1 to September 5, 2025. These filings are part of the company’s regulatory compliance under the Securities Exchange Act of 1934, reflecting its ongoing commitment to transparency and adherence to financial reporting standards. The disclosures may impact stakeholders by providing insights into the company’s financial and operational status during this period.

KE Holdings Inc. Reports Stability in Share Capital and Ongoing Share Repurchases
Sep 5, 2025

KE Holdings Inc. reported no changes in its authorized or issued share capital for the month ending August 31, 2025. The company maintained its authorized share capital at USD 500,000, with no increase or decrease in issued shares. Additionally, the company executed share repurchases throughout July and August 2025, totaling 28,172,226 Class A ordinary shares, which have not yet been canceled. These movements reflect the company’s ongoing capital management strategies and may impact its market positioning and shareholder value.

KE Holdings Grants RSUs to Independent Directors
Sep 3, 2025

On September 2, 2025, KE Holdings Inc. announced the grant of 37,500 Restricted Share Units (RSUs) under its 2020 Share Incentive Plan to two independent non-executive directors, Ms. Xiaohong Chen and Mr. Hansong Zhu. This move aligns with the company’s remuneration practices and governance codes, aiming to maintain the objectivity and independence of its directors. The RSUs will fully vest on the first anniversary of the grant date and are not tied to performance targets. This initiative reflects KE Holdings’ commitment to rewarding its leadership while adhering to corporate governance standards.

KE Holdings Inc. Announces Share Repurchase Activities in August 2025
Sep 2, 2025

On September 2, 2025, KE Holdings Inc. reported a series of share repurchases that took place from July 1 to August 22, 2025. These repurchases, which were not yet canceled by the closing balance date, reflect the company’s strategic financial maneuvers to manage its equity structure. The transactions involved repurchasing shares at varying prices, indicating a focus on optimizing shareholder value and potentially impacting the company’s market positioning by reducing the number of outstanding shares.

KE Holdings Reports Q2 2025 Financials and Expands Share Buyback
Aug 27, 2025

On August 26, 2025, KE Holdings Inc. announced its unaudited financial results for the second quarter of 2025, reporting a gross transaction value of RMB878.7 billion, a 4.7% increase year-over-year. Despite a 31.2% decrease in net income, the company saw an 11.3% rise in net revenues to RMB26.0 billion, driven by growth in new home transactions and non-housing services. The company also expanded its share repurchase program, increasing authorization to US$5 billion, reflecting its commitment to shareholder returns.

KE Holdings Inc. Executes Strategic Share Repurchase in August 2025
Aug 25, 2025

KE Holdings Inc. announced a series of share repurchases that took place between July 1 and August 15, 2025. These repurchases, conducted on the New York Stock Exchange, involved a total of 646,476 shares at varying prices, reflecting the company’s strategic move to manage its capital structure. This action may indicate KE Holdings’ confidence in its market position and future prospects, potentially impacting shareholder value positively.

KE Holdings Inc. Conducts Strategic Share Repurchases in August 2025
Aug 18, 2025

KE Holdings Inc. announced a series of share repurchases throughout July and early August 2025, with the most recent repurchase occurring on August 8, 2025. These repurchases are part of a broader strategy to manage the company’s capital structure and potentially enhance shareholder value. The repurchases, conducted on the New York Stock Exchange, involved a total of 846,738 shares at prices ranging from USD 5.87 to USD 6, with an aggregate expenditure of approximately USD 4.997 million. This move may impact the company’s stock liquidity and market perception, reflecting a commitment to returning value to shareholders.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 18, 2025