(OPEN) Opendoor Technologies - Overview
Sector: Real Estate | Industry: Real Estate Services | Exchange: NASDAQ (USA) | Market Cap: 4.370m USD | Total Return: 647.8% in 12m
Avg Turnover: 172M
Qual. Beats: 0
Rev. Trend: -81.7%
Qual. Beats: 2
Warnings
Share dilution 32.6% YoY
Interest Coverage Ratio -3.2 is critical
Altman Z'' -6.70 < 1.0 - financial distress zone
Choppy
Tailwinds
Rs Leader, Confidence
Opendoor Technologies Inc. operates a digital e-commerce platform focused on residential real estate transactions in the United States. The company utilizes an iBuying business model, where it acquires homes directly from sellers using algorithmic pricing, performs necessary renovations, and lists the properties for resale. This model aims to reduce liquidity constraints in the housing market by providing sellers with near-instant cash offers and certain closing dates.
The company’s service suite extends beyond property acquisition to include title insurance, escrow services, and real estate brokerage. In addition to transaction management, Opendoor provides property and casualty insurance and construction services to streamline the ownership transition. Historically, the iBuying sector faces high capital intensity and sensitivity to interest rate fluctuations, which directly impact mortgage affordability and inventory turnover speeds.
Investors can further analyze these market dynamics and valuation metrics on ValueRay. Based in Tempe, Arizona, the firm was originally incorporated in 2013 and transitioned to its current name following a merger with Social Capital Hedosophia Holdings Corp. II.
- Mortgage rate volatility dictates transaction volume and home acquisition feasibility
- Inventory velocity directly impacts capital turnover and holding cost efficiency
- Spreads between purchase and resale prices determine gross margin profitability
- Expansion of ancillary services like title and escrow improves unit economics
- Macroeconomic shifts in housing supply influence competitive bidding and acquisition scale
| Net Income: -1.39b TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.46 > 0.02 and ΔFCF/TA -38.98 > 1.0 |
| NWC/Revenue: 48.88% < 20% (prev 40.96%; Δ 7.93% < -1%) |
| CFO/TA 0.46 > 3% & CFO 1.08b > Net Income -1.39b |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 7.07 > 1.5 & < 3 |
| Outstanding Shares: last quarter (959.3m) vs 12m ago 32.59% < -2% |
| Gross Margin: 7.92% > 18% (prev 0.08%; Δ 784.1% > 0.5%) |
| Asset Turnover: 140.0% > 50% (prev 156.4%; Δ -16.40% > 0%) |
| Interest Coverage Ratio: -3.23 > 6 (EBITDA TTM -348.0m / Interest Expense TTM 121.0m) |
| A: 0.82 (Total Current Assets 2.24b - Total Current Liabilities 317.0m) / Total Assets 2.35b |
| B: -2.22 (Retained Earnings -5.21b / Total Assets 2.35b) |
| C: -0.14 (EBIT TTM -391.0m / Avg Total Assets 2.81b) |
| D: -3.73 (Book Value of Equity -5.21b / Total Liabilities 1.40b) |
| Altman-Z'' = -6.70 = D |
As of May 29, 2026, the stock is trading at USD 5.07 with a total of 51,769,553 shares traded.
Over the past week, the price has changed by +15.23%,
over one month by -7.48%,
over three months by -6.46% and
over the past year by +647.79%.
Opendoor Technologies has received a consensus analysts rating of 3.00. Therefore, it is recommended to hold OPEN.
- StrongBuy: 0
- Buy: 2
- Hold: 6
- Sell: 2
- StrongSell: 0
| Analysts Target Price | 4.8 | -4.9% |
P/E Forward = 40.3226
P/S = 1.1098
P/B = 4.581
Revenue TTM = 3.94b USD
EBIT TTM = -391.0m USD
EBITDA TTM = -348.0m USD
Long Term Debt = 1.07b USD (from longTermDebt, last quarter)
Short Term Debt = 261.0m USD (from shortLongTermDebt, last quarter)
Debt = 1.34b USD (corrected: LT Debt 1.07b + ST Debt 261.0m) + Leases 7.00m
Net Debt = 339.0m USD (calculated: Debt 1.34b - CCE 999.0m)
Enterprise Value = 4.71b USD (4.37b + Debt 1.34b - CCE 999.0m)
Interest Coverage Ratio = -3.23 (Ebit TTM -391.0m / Interest Expense TTM 121.0m)
EV/FCF = -4.31x (Enterprise Value 4.71b / FCF TTM -1.09b)
FCF Yield = -23.19% (FCF TTM -1.09b / Enterprise Value 4.71b)
FCF Margin = -27.73% (FCF TTM -1.09b / Revenue TTM 3.94b)
Net Margin = -35.25% (Net Income TTM -1.39b / Revenue TTM 3.94b)
Gross Margin = 7.92% ((Revenue TTM 3.94b - Cost of Revenue TTM 3.63b) / Revenue TTM)
Gross Margin QoQ = 10.0% (prev 6.25%)
Tobins Q-Ratio = 2.00 (Enterprise Value 4.71b / Total Assets 2.35b)
Interest Expense / Debt = 9.04% (Interest Expense 121.0m / Debt 1.34b)
Taxrate = 21.0% (US default 21%)
NOPAT = -308.9m (EBIT -391.0m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 6.06 (Total Current Assets 2.24b / Total Current Liabilities 370.0m)
Debt / Equity = 1.40 (Debt 1.34b / totalStockholderEquity, last quarter 954.0m)
Debt / EBITDA = -0.97 (negative EBITDA) (Net Debt 339.0m / EBITDA -348.0m)
Debt / FCF = -0.31 (negative FCF - burning cash) (Net Debt 339.0m / FCF TTM -1.09b)
Total Stockholder Equity = 850.2m (last 4 quarters mean from totalStockholderEquity)
RoA = -49.34% (Net Income -1.39b / Total Assets 2.35b)
RoE = -22.92% (Net Income TTM -1.39b / Total Stockholder Equity 6.06b)
RoCE = -5.49% (EBIT -391.0m / Capital Employed (Equity 6.06b + L.T.Debt 1.07b))
RoIC = -17.66% (negative operating profit) (NOPAT -308.9m / Invested Capital 1.75b)
WACC = 12.35% (E(4.37b)/V(5.71b) * Re(13.94%) + D(1.34b)/V(5.71b) * Rd(9.04%) * (1-Tc(0.21)))
Discount Rate = 13.94% (= CAPM, Blume Beta Adj.) -> capped to 13.17%
Shares (quarterly) Correlation: 100.00 | Cagr: 17.09%
[DCF] Fair Price = unknown (Cash Flow -1.09b)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.53 | # QB: 0
Revenue Correlation: -81.69 | Revenue CAGR: -24.58% | SUE: 1.12 | # QB: 2
EPS current Quarter (2026-06-30): EPS=-0.03 | Chg30d=N/A | Revisions=+33% | Analysts=4
EPS next Quarter (2026-09-30): EPS=-0.02 | Chg30d=N/A | Revisions=+33% | Analysts=4
EPS current Year (2026-12-31): EPS=-0.14 | Chg30d=+13.86% | Revisions=+33% | GrowthEPS=+43.5% | GrowthRev=-9.0%
EPS next Year (2027-12-31): EPS=-0.01 | Chg30d=+76.63% | Revisions=+33% | GrowthEPS=+91.8% | GrowthRev=+60.5%
[Analyst] Revisions Ratio: +33%