Kanzhun Ltd.: AI Monetization Working And Operating Leverage Kicking In
Summarize this article with:
May Investing Ideas701 FollowersFollow5ShareSavePlay(9min)CommentsSummaryKanzhun Ltd. remains a buy as AI-driven products boost recruiter ROI, jobseeker engagement, and support margin expansion.AI integration has lifted recruiter conversion rates by 7%, and new tools like Dianzhang Zhipin drive efficiency, especially in blue-collar hiring.Gross margin expanded to 85.8%, and EBIT margin nearly doubled, reflecting strong operating leverage and disciplined cost management.BZ trades at 16.4x forward P/E, still cheap relative to growth and margin outlook, with further multiple expansion likely if AI adoption persists. MoMo Productions/DigitalVision via Getty Images Investment overview I wrote about Kanzhun Ltd. (BZ) previously with a buy rating, as revenue growth momentum is solid, profitability has recovered, and AI monetization is progressing well. My core view hasn’t changed (still buy rated). If AIThis article was written byMay Investing Ideas701 FollowersFollowI am an individual investor that is now fully focus on managing my own capital that I have saved up over the years. My investing background spreads across a wide spectrum as I believe there are merits to each approach, for instance: Fundamental investing [Bottoms-up etc.], Technical investing [historical charts analysis], and to some extend momentum investing [share price reaction post earnings etc.]. Over the years, I have used the positive aspects of each approach to hone my investing process. The reason to write on SeekingAlpha is to use this platform as a tracker for my investing ideas performance, and also to connect with like-minded investors that have the same investing interest.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.