Morgan Stanley affirmed an Overweight rating on Kanzhun Ltd. shares on Tuesday, maintaining a price target of $24.00 per share. The reiteration reflects confidence in the online recruitment company’s ability to sustain revenue growth through higher average revenue per paying user, expected to accelerate from the second half of 2026 onward.
The bank highlighted sustainable user growth as an additional pillar supporting the revenue trajectory. Kanzhun’s second-quarter results provided further support, with revenue rising 14% year-over-year to RMB 2.4 billion. Adjusted operating income climbed 19%, while margins reached a record 43.8%. Adjusted net income, excluding investment gains, increased 9%.
Kanzhun’s balance sheet strength was also noted, with cash holdings exceeding debt. Shareholder returns have been substantial, with year-to-date dividends and buybacks already surpassing 100% of the company’s 2025 non-GAAP net profit. The firm’s valuation metrics were cited as attractive, with a P/E ratio of 13.3 and a PEG ratio of 0.18, indicating potential upside.
