********Profitability & valuation debate remains central** [developing]** [developing]** [developing]** [developing]
Key Questions
What are Opendoor's targets for home acquisitions under its AI pivot?
Opendoor's 2.0 AI pivot targets 6,000 home buys per quarter by end of 2026. Recent quarterly acquisitions rose 46% QoQ to 1,706, with weekly acquisitions up 21% WoW to 658, aligning with internal dashboards for velocity.
How did Opendoor perform financially in its Q4 earnings?
Opendoor reported Q4 revenue of $736M, beating expectations despite a 32% YoY decline. It recorded a GAAP loss of $1.1B and EPS of -1.26 (adjusted -0.07), while maintaining $1.1B in cash.
What is the profitability status of Opendoor's recent home inventory?
The October 2025 cohort has 50% of homes sold profitably. Inventory held over 120 days stands at 33%, supported by an underwriter ratio of 11:1.
What recent acquisition is Opendoor making and why?
Opendoor is acquiring Doma’s closing and escrow business, pending approval, to lower mortgage refinance costs. This integrates with its checkout process now in 40 states and supports mortgage embedding.
How is Opendoor's stock currently valued and what is the market sentiment?
The stock trades at a low 0.87 P/S ratio but is down 38% from its high and 22% YTD. High options volume and bullish predictions, like Jackson's $82 target, highlight ongoing profitability and valuation debates.
Opendoor 2.0 AI pivot targets 6k home buys/qtr EOY26, +46% QoQ to 1,706, Oct '25 cohort 50% sold profitable, inv >120d 33%, uw 11:1; latest weekly acqs +21% WoW to 658 aligns w/ targets/Nejatian dashboard for velocity; Q4 $736M rev beat (-32% YoY)/GAAP $1.1B loss/-1.26 EPS (adj -0.07), $1.1B cash; 'four steps to profit' amid Rabois cuts/Doma scrutiny. Checkout 40 states/mtg embed, stock cheap 0.87 P/S but -38% off high/YTD-22%; options vol/prediction mkt/Jackson $82 bullish.