Opendoor Shares Surge 13.1% Amid Rising Acquisition Volumes

Written by Emily J. Thompson, Senior Investment Analyst

Source: Yahoo Finance

Updated: 1 hour ago

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OPEN+0.43%

Should l Buy OPEN?

Source: Yahoo Finance

Surge in Acquisitions: Opendoor's acquisition volume increased by 46% quarter-over-quarter in Q4, demonstrating the company's commitment to accelerating growth in a volatile housing market, despite reporting a loss of $1.26 per share that significantly missed the $0.12 loss consensus.
Revenue Beat: The company reported Q4 revenue of $736 million, comfortably exceeding Wall Street's expectation of $576.94 million, indicating progress in clearing older inventory and transitioning to the 'Opendoor 2.0' operational framework.
Cost Structure Optimization: Fixed operating expenses fell to $35 million, suggesting some success in streamlining costs, with CEO Kaz Nejatian emphasizing that these results validate the company's long-term roadmap toward sustainable profitability.
Future Outlook: Management aims for positive adjusted net income by the end of 2026, although revenue is expected to decline by approximately 10% in the upcoming quarter; however, investors reacted positively to a 23% reduction in inventory days, reflecting confidence in the company's long-term value.

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Analyst Views on OPEN

Wall Street analysts forecast OPEN stock price to fall

5 Analyst Rating

1 Buy

2 Hold

2 Sell

Hold

Current: 4.630

Low

1.40

Averages

4.35

High

8.00

Current: 4.630

Low

1.40

Averages

4.35

High

8.00

UBS

Neutral -> Hold

upgrade

2026-02-09

Reason

UBS

Price Target

AI Analysis

2026-02-09

upgrade

Neutral -> Hold

Reason

UBS raised the firm's price target on Opendoor Technologies to $5 from $1.60 and keeps a Neutral rating on the shares.

Deutsche Bank

Hold

maintain

2026-01-20

Reason

Deutsche Bank

Price Target

2026-01-20

maintain

Hold

Reason

Deutsche Bank raised the firm's price target on Opendoor Technologies to $4 from 90c and keeps a Hold rating on the shares.

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About OPEN

Opendoor Technologies Inc. is an e-commerce platform for residential real estate transactions. By leveraging software, data science, product design and operations, the Company is engaged in building a technology platform for residential real estate that offers buyers and sellers a digital, on-demand experience. Its product offerings include Sell to Opendoor, List with Opendoor and Opendoor Marketplace. Sell to Opendoor enables sellers to utilize its core product offering to sell their home directly to it, and it resells the home to a home buyer. By selling to Opendoor, homeowners can avoid the stress of open houses, home repair coordination, overlapping mortgages, and the uncertainty that can come with listing a home on the open market. Its capital-light marketplace offering connects home sellers with both institutional and retail buyers, facilitating transactions without Opendoor taking ownership of the home. Its listing product is available in nearly all Opendoor markets.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.

Opendoor Surges After Exceeding Q4 Analyst Estimates

1 hour agoBenzinga

Performance Beat: Opendoor reported Q4 revenue of $736 million, surpassing analyst expectations of $594.02 million, indicating strong market performance that is likely to boost investor confidence.
Loss Improvement: The company posted a loss of seven cents per share, better than the anticipated loss of ten cents, suggesting enhanced operational efficiency that may attract more investor interest.
Transaction Growth: In the quarter, Opendoor purchased 1,706 homes, a 46% increase quarter-over-quarter, while selling 1,978 homes, reflecting a rebound in market demand and the effectiveness of the company's strategy.
Future Outlook: Although the company expects a 10% year-over-year revenue decline in Q1, management noted that contribution margins have been improving since September 2023, with expectations to reach the highest levels since Q2 2024 by the end of Q1 2026.

Akamai's Disappointing Q1 Guidance Leads to Stock Drop

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Akamai's Q1 Guidance Cut: Akamai's forecast for Q1 adjusted earnings between $1.50 and $1.67 per share falls short of the $1.75 consensus, leading to an almost 8% drop in after-hours trading, indicating market concerns over its future profitability.
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Opendoor's Revenue Surge: Opendoor's Q4 revenue reached $736 million, significantly above the LSEG estimate of $549 million, although it anticipates an adjusted EBITDA loss in the low to mid $30 million range for Q1, management remains confident in achieving positive adjusted net income by the end of 2026, reflecting a strong long-term strategy.

Opendoor Technologies Stock Rises 13% on Transformation Progress

1 hour agoseekingalpha

Transformation Progress: Opendoor's stock surged 13% in after-hours trading on Thursday, indicating positive strides in its transformation plan, with Q4 revenue and adjusted EBITDA exceeding Wall Street expectations, showcasing the company's recovery potential in the market.
Increased Home Purchases: CEO Kaz Nejatian reported a 46% quarter-over-quarter increase in homes purchased, while significantly reducing capital intensity by expanding Cash Plus to 35% of weekly volume, enhancing operational efficiency and competitive positioning.
Future Revenue Outlook: Although the company anticipates a ~10% decline in Q1 revenue from Q4's $736M, its contribution profit and adjusted EBITDA outperformed market expectations, demonstrating resilience amid challenges.
Optimized Inventory Management: As of Q4, Opendoor's inventory balance stood at $925M, representing 2,867 homes, a decrease from Q3's $1.05B and 3,139 homes, indicating significant improvements in inventory management that help reduce holding costs.

Opendoor Surges 13% After Beating Earnings Expectations Significantly

1 hour agostocktwits

Earnings Beat: Opendoor reported Q4 revenue of $736 million, significantly exceeding street expectations of $591.75 million, indicating strong performance in the digital real estate sector and likely boosting investor confidence.
Improved Adjusted Earnings: The company posted an adjusted EBITDA of -$43 million, better than the expected -$50.81 million, suggesting enhanced operational efficiency that may attract more investor interest in its profitability improvements.
Significant Acquisition Growth: Opendoor's acquisitions increased by 46% quarter-over-quarter, reflecting the success of its expansion strategy and potentially strengthening its competitive position in the real estate market.
Faster Inventory Turnover: The reduction of inventory days by 23% demonstrates Opendoor's structural improvements through more accurate pricing and quicker inventory turnover, which is expected to enhance overall business efficiency and market responsiveness.