Opendoor closed at $0.88 today, its highest level since early May. That’s a 44% rebound from the July 3 low of $0.61. Volume hit 123.4 million shares, more than 50% above its 30-day average. The move comes ahead of the July 28 shareholder vote on a reverse split, which would allow the company to stay listed on Nasdaq by pushing the share price above the $1 minimum. The proposed ratio ranges from 1-for-10 to 1-for-50. If approved, the board can execute the split at any time before November 24.
The company’s Q1 revenue came in at $1.2 billion. Adjusted net loss narrowed to $63 million, and adjusted EBITDA improved to negative $30 million. That’s a 38.7% improvement from Q4. Gross margin rose to 8.6%, and contribution profit hit $54 million. Opendoor purchased 3,609 homes in Q1, up 22% from the prior quarter, and held 7,080 homes in inventory, a 26% year-over-year increase. The platform now operates in more than 50 markets and is shifting toward a hybrid model that combines cash offers with agent listings.
Q2 guidance calls for up to $1.525 billion in revenue and positive EBITDA between $10 million and $20 million. That would mark the first profitable quarter in company history. The next earnings report is scheduled for August 5.
Debt remains heavy. Opendoor carries $2.3 billion in liabilities and burned $696 million in cash last year. It refinanced $245.8 million in convertible notes due 2026 with new 2030 notes at 7% interest. Another $79.2 million in debt was added under the same terms. The conversion price is $1.57, which is nearly double the current share price. That’s dilution risk, but also a signal that lenders expect recovery.
Cash reserves sit at $559 million. The company laid off 40 employees in June to streamline operations. Analysts from JMP, UBS, and Deutsche Bank rate the stock as hold or neutral. The average 12-month price target is $1.55, implying 76% upside from today’s close. Short interest is elevated at 21.4% of float, up 16.1% month-over-month. That’s fuel for volatility.
OPEN is not priced for survival. It’s priced for collapse. But the numbers say otherwise. The company is still buying homes, still selling homes, and still guiding for profitability. If rate cuts land in September or October, real estate sentiment could shift fast. Opendoor is the last major iBuyer standing. That alone makes it a trade worth watching.
Disclaimer: This is not financial advice.
Sources:
https://www.realestatenews.com/2025/06/06/opendoor-facing-delisting-plans-reverse-stock-split
https://www.fool.com/investing/2025/04/08/opendoor-stock-is-beaten-down-now-but-it-could-10x/
https://www.marketbeat.com/stocks/NASDAQ/OPEN/forecast/
https://www.timothysykes.com/news/opendoor-technologies-inc-open-news-2025_03_06-2/
https://stockanalysis.com/stocks/open/
https://finance.yahoo.com/quote/OPEN/
https://www.wsj.com/market-data/quotes/OPEN/historical-prices