EXPI - stevehemingway/trading GitHub Wiki

theworks(economics,edwin-dorsey,{eXp World Holdings (NASDAQ: EXPI — $1.50 billion) describes itself as “one of the world’s fastest-growing real estate brokerages.” In reality, eXp lost about ~1,500 of its nearly 90,000 agents last quarter and faces robust competition from aggressive low-cost brokerages. In short, The Bear Cave believes that eXp’s earnings results later today will reveal a devastating truth: eXp is losing its highest-producing agents to fast-growing competitor Real Brokerage (NASDAQ: REAX — $723 million).},eXp World Holdings,real-estate-brokerages,{https://thebearcave.substack.com/p/more-problems-at-exp-world-holdings})

eXp World Holdings (NASDAQ: EXPI — $1.65 billion) is the world’s largest cloud-based real estate brokerage. The Bear Cave has published on problems at eXp twice before. In April 2022, The Bear Cave published on eXp’s aggressive recruiting, regulatory troubles, and insider selling. And in May 2024, The Bear Cave published on how eXp’s new competitors were stealing eXp’s top agents. Today, The Bear Cave expands on our past coverage with a simple and troubling finding: eXp agents are leaving in record numbers and the exodus shows no signs of slowing.

eXp’s agent base is important because practically all of the company’s income comes from fees directly charged to its agents (e.g., an $85/month “cloud brokerage fee”) and commission splits on home sales (generally 80% for the agent and 20% for eXp).

Since its founding in 2009, eXp has grown rapidly with fourteen straight years of agent growth, peaking at 89,156 agents in Q3 2023. Since then, eXp has posted its first-ever agent count declines. The company ended Q4 2023 with 87,515 agents, a decrease of 1,641 agents that quarter, and ended Q1 2024 with 85,780 agents, for a decrease of 1,735 agents in Q1 2024.