Why KE Holdings Inc. (BEKE) Went Down On Thursday?

We recently published a list of Pulse of the Market: Wednesday’s 10 Worst Performers. In this article, we are going to take a look at where KE Holdings Inc. (NYSE:BEKE) stands against other Wednesday’s worst performers.

Shares on Wall Street bounced back from a bloodbath, with all main indices ending in the green on Wednesday, as investors cheered the Federal Reserve’s decision to keep interest rates unchanged.

The tech-heavy Nasdaq led the gains, rallying 1.41 percent, followed by the S&P 500 with a 1.08 percent gain, and the Dow Jones, by 0.92 percent.

Meanwhile, 10 companies defied overall market optimism, booking losses during the trading session. In this article, let’s take a look at the 10 worst-performing stocks and explore the reasons behind their drop.

To come up with the list, we considered only the companies with a $2-billion market capitalization and $5 million in trading volume.

Aerial shot of a modern real estate development with residential homes.

KE Holdings Inc. (NYSE:BEKE)

KE Holdings dropped its share prices by 3.52 percent on Wednesday to end at $22.45 each as investors sold off positions following the release of its latest earnings performance.

In a statement, BEKE said net income in the fourth quarter of the year dropped by 13.9 percent to RMB577 million from RMB670 million in the same period a year earlier, despite revenues growing by 55 percent to RMB31 million from RMB20 million.

For the full-year 2024, net income declined by 30.7 percent to RMB4.078 billion from RMB5.889 billion, while revenues increased by 20.8 percent to RMB93 billion from RMB77 billion year-on-year.

Following its earnings, BEKE also declared a cash dividend of $12 per ordinary share or $0.36 per ADS to holders of ordinary shares and holders of ADSs of record date April 9, 2025.

Overall, BEKE ranks 7th on our list of Wednesday’s worst performers. While we acknowledge the potential of BEKE as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as BEKE but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.