Opendoor Technologies (OPEN) AI Stock Analysis

• Market Cap: $3.46B
• Dividend Yield: N/A
• Average Volume (3M): 382.06M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.39
• Revenue Growth: 14.07%
• EPS Growth: 27.59%
• Country: US
• Employees: 1,470
• Sector: Real Estate
• Sector Strength: 52
• Industry: Real Estate - Services
• EPS (TTM): -0.04
• Shares Outstanding: 735,954,160
• 10 Day Avg. Volume: 368,349,260
• 30 Day Avg. Volume: 382,063,640
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.40
• Enterprise Value/Revenue: 0.27
• Enterprise Value/Gross Profit: 3.33
• Enterprise Value/Ebitda: -11.96
• 1Y Price Target: $1.02
• Price Target Upside: -78.30% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 8

• Rating: 53 Neutral
• Price Target: $4.00 ▼(-14.89% Downside)

Opendoor Technologies faces significant financial challenges with declining revenues and ongoing losses, which heavily impact its overall score. While technical indicators show bullish momentum, overbought conditions suggest caution. The company's strategic shifts and new product introductions are promising, but macroeconomic pressures and valuation concerns remain significant hurdles.

Positive Factors

Financial performance

Opendoor Technologies reported solid upside in first-quarter results across the board, exceeding expectations for revenue and EBITDA.

Operational performance

Opendoor sold 2,946 homes, surpassing expectations, and purchased 3,609 homes, also exceeding forecasts.

Product innovation

OPEN's announcement of Cash Plus & Key Connections will allow the company to evolve from a primarily Cash Offer business to a platform with diverse seller solutions & lower risk profile.

Negative Factors

Macroeconomic challenges

Macro and housing market challenges continue to worsen, resulting in a more cautious approach and a decline in revenue.

Profitability concerns

The company's business model faces structural challenges, affecting its ability to generate consistent, long-term profits.

Strategic uncertainty

Opendoor Technologies Inc. outlined a strategy pivot to an agent-led distribution model, which adds uncertainty to its future performance.

Opendoor Technologies Business Overview & Revenue Model

Company Description

Opendoor Technologies Inc. operates a digital platform for residential real estate in the United States. The company's platform enables consumers to buy and sell a home online. It also provides title insurance and escrow services. Opendoor Technologies Inc. was incorporated in 2013 and is based in Tempe, Arizona.

How the Company Makes Money

Opendoor Technologies primarily makes money through the buying and selling of residential properties. The company purchases homes directly from sellers, often at a discounted price, then makes necessary refurbishments and improvements before reselling them at a higher price. This 'iBuyer' model allows Opendoor to earn a margin on each transaction. Additionally, Opendoor may generate revenue from ancillary services, such as home repair and maintenance offerings, as well as through partnerships with financial institutions and real estate service providers.

Opendoor Technologies Financial Statement Overview

Summary

Opendoor Technologies is facing financial challenges with declining revenues, negative net income, and fluctuating cash flows. Despite some improvements in leverage ratios, the company's financial health is constrained by its inability to generate consistent free cash flow and positive net income.

Income Statement

Opendoor Technologies has experienced significant volatility in its revenue, with a dramatic decline from 2022 to 2024. The gross profit margin and net income remain negative, reflecting operational challenges. While there is a slight improvement in EBIT and EBITDA margins year-over-year, overall profitability remains elusive, impacting the income statement score.

Balance Sheet

The company's balance sheet reveals a reduction in total assets and stockholders' equity over the years. However, the debt-to-equity ratio has improved, indicating some deleveraging. The equity ratio is weak, suggesting a high reliance on liabilities to finance assets, which could pose risks if market conditions worsen.

Cash Flow

Cash flow analysis shows significant fluctuations in operating cash flow, with a substantial decrease in free cash flow from 2023 to 2024. The negative free cash flow and its poor alignment with net income highlight liquidity constraints. Although financing cash flow was positive in earlier years, recent outflows suggest reduced external funding availability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.18B	5.15B	6.95B	15.57B	8.02B	2.58B
Gross Profit	417.00M	433.00M	487.00M	667.00M	730.00M	219.80M
EBITDA	-116.00M	-243.00M	-290.00M	-761.00M	-509.00M	-121.00M
Net Income	-305.00M	-392.00M	-275.00M	-1.35B	-662.00M	-253.00M
Balance Sheet
Total Assets	2.91B	3.13B	3.57B	6.61B	9.51B	2.18B
Cash, Cash Equivalents and Short-Term Investments	789.00M	679.00M	1.07B	1.28B	2.21B	1.46B
Total Debt	437.00M	2.32B	2.53B	5.40B	7.11B	549.13M
Total Liabilities	2.28B	2.41B	2.60B	5.52B	7.26B	623.00M
Stockholders Equity	631.00M	713.00M	967.00M	1.09B	2.25B	1.55B
Cash Flow
Free Cash Flow	511.00M	-620.00M	2.31B	693.00M	-5.83B	665.00M
Operating Cash Flow	526.00M	-595.00M	2.34B	730.00M	-5.79B	682.00M
Investing Cash Flow	-3.00M	28.00M	44.00M	234.00M	-476.00M	-22.00M
Financing Cash Flow	-249.00M	-210.00M	-2.64B	-1.75B	7.34B	161.00M

Opendoor Technologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.70
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OPEN, the sentiment is Positive. The current price of 4.7 is above the 20-day moving average (MA) of 3.03, above the 50-day MA of 1.96, and above the 200-day MA of 1.46, indicating a bullish trend. The MACD of 0.70 indicates Negative momentum. The RSI at 60.75 is Neutral, neither overbought nor oversold. The STOCH value of 54.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OPEN.

Opendoor Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RMAX	71 Outperform	$302.76M	19.73	2.21%	―	-5.21%	―
REAX	70 Outperform	$1.07B	―	-31.81%	―	72.57%	65.15%
EXPI	67 Neutral	$1.71B	―	-12.78%	1.83%	3.55%	-36.05%
Sector *	65 Neutral	$2.09B	17.13	4.00%	4.98%	3.30%	3.57%
OPAD	55 Neutral	$114.08M	―	-111.30%	―	-30.44%	15.55%
RDFN	55 Neutral		―		―	5.11%	-29.67%
OPEN	53 Neutral	$3.46B	―	-41.33%	―	14.07%	27.59%

Opendoor Technologies Corporate Events

Opendoor Technologies Appoints Interim CEO Amid Leadership Change

On August 15, 2025, Opendoor Technologies announced that Carrie Wheeler stepped down as CEO and board member, with Shrisha Radhakrishna appointed as interim principal executive officer. Wheeler will remain as an advisor to ensure a smooth transition until the end of 2025, while the board searches for a permanent successor. Eric Feder was appointed as Lead Independent Director to assist during the transition. Radhakrishna, previously the Chief Technology & Product Officer, brings experience from LegalZoom and Intuit, enhancing Opendoor’s leadership during this period of change.

Opendoor Technologies Achieves First Adjusted EBITDA Profitability

On August 5, 2025, Opendoor Technologies reported its financial results for the second quarter of 2025, highlighting a revenue of $1.6 billion and achieving its first quarter of Adjusted EBITDA profitability since 2022. Despite challenging housing market conditions, the company sold 4,299 homes and improved its net loss position to $29 million. Opendoor is expanding its agent-led distribution platform to offer more solutions to homeowners, aiming to capture capital-light revenue streams and enhance its operational model.

Opendoor Regains Nasdaq Compliance, Cancels Stockholder Meeting

On July 31, 2025, Opendoor Technologies Inc. announced it regained compliance with Nasdaq’s minimum bid price requirement, as its stock maintained a closing bid price of at least $1.00 for 12 consecutive business days. Consequently, the company canceled a Special Meeting of Stockholders scheduled for August 27, 2025, which was intended to discuss a reverse stock split, as the Board deemed it unnecessary following the regained compliance.

Opendoor Technologies Holds Annual Stockholders Meeting

On June 13, 2025, Opendoor Technologies Inc. held its Annual Meeting of Stockholders, where key decisions were made regarding the company’s governance and financial oversight. Stockholders elected Adam Bain and Pueo Keffer as Class II board members for a three-year term and ratified Deloitte & Touche LLP as the independent accounting firm for the fiscal year ending December 31, 2025. Additionally, the compensation of the company’s named executive officers was approved on an advisory basis, reflecting continued shareholder support for the company’s leadership and strategic direction.

Opendoor Faces Nasdaq Delisting Risk Due to Low Stock

On May 28, 2025, Opendoor Technologies Inc. received a notice from Nasdaq indicating that its stock price had fallen below the minimum bid price requirement of $1.00 for 30 consecutive business days, risking delisting from the Nasdaq Global Select Market. The company has until November 24, 2025, to regain compliance by maintaining a closing bid price of at least $1.00 for 10 consecutive business days. If compliance is not achieved, Opendoor may transfer its listing to the Nasdaq Capital Market and potentially implement a reverse stock split to meet requirements. The company is exploring all options to address the issue, but there is no guarantee of success.