Opendoor Technologies Inc. (OPENZ) stock analysis
Close on Oct 30, 2026Market cap $1.75BP/E –Yield –
StockData Score
Prices as of Oct 30, 2026How the score works
Weak2 of 30 checks passed
Opendoor Technologies passes 2 of the 30 checks behind our score; 16 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 0/6
- Growth
- 1/6
- Past performance
- 0/6
- Financial health
- 1/6
- Dividend
- 0/6
What stands out
Gross margin improving
Gross margin was 8.6% over the last twelve months, against 8.0% a year earlier.
Short-term assets cover short-term debts
Current assets are 2.94 times current liabilities.
What to watch
Margin of safety under 20%
The price is 11.6% above fair value, so there is no margin of safety.
Trading above fair value
The share price of $1.80 is above our fair value estimate of $1.61.
Return on equity under 15%
Return on equity was -197% over the last twelve months and averaged -68.2% over five years; we look for 15% on both.
Revenue growing under 10% a year
Revenue grew -34.5% a year over the last three fiscal years, short of the 10% we look for.
Valuation0/6
P/E against its history
Not enough price and earnings history to compare.
P/E against the industry
Needs positive earnings and enough profitable companies in the industry.
EV/EBITDA against its history
Needs positive EBITDA and price history.
P/B above the industry
Opendoor Technologies's price-to-book of 1.91 is above the Real Estate median of 1.91.
Trading above fair value
The share price of $1.80 is above our fair value estimate of $1.61.
Margin of safety under 20%
The price is 11.6% above fair value, so there is no margin of safety.
Growth1/6
Revenue growing under 10% a year
Revenue grew -34.5% a year over the last three fiscal years, short of the 10% we look for.
EPS growth over 3 years
Needs positive EPS three years ago and today.
Earnings acceleration
Needs positive net income now, a year ago and five years ago.
Growing slower than the industry
Revenue grew -37.2% over the last twelve months; the Real Estate median is 9.6%.
Guidance issued
The latest outlook (Q3 Stock-Based Compensation, Aug 4, 2026) was issued for the first time, so it neither adds nor takes away points.
Gross margin improving
Gross margin was 8.6% over the last twelve months, against 8.0% a year earlier.
Past performance0/6
Return on equity under 15%
Return on equity was -197% over the last twelve months and averaged -68.2% over five years; we look for 15% on both.
Return on invested capital
Needs operating income and invested capital.
Return on equity below the industry
Opendoor Technologies's return on equity of -197% is below the Real Estate median of -3.3%.
Earnings over 5 years
Needs positive net income five years ago and in the latest year.
Net margin below its 5-year average
Net margin was -46.7% over the last twelve months, against a 5-year average of -11.7%.
Net margin below the industry
Opendoor Technologies's net margin of -46.7% is below the Real Estate median of -1.4%.
Financial health1/6
Debt level
Needs debt and equity figures.
Debt trend
Needs a balance sheet from five years ago with positive equity.
Debt coverage
Needs operating cash flow.
Interest not well covered
Operating income covers interest expense -4.6 times; we look for at least 5.
Short-term assets cover short-term debts
Current assets are 2.94 times current liabilities.
Elevated bankruptcy risk
The Altman Z-score is -0.74; above 3 is the safe zone and below 1.8 the distress zone.
Dividend0/6
No dividend
Opendoor Technologies has not paid a dividend in the last twelve months.
Yield against Treasuries
No dividend.
Yield against the market
No dividend.
Dividend stability
No dividend.
Earnings cover
No dividend.
Cash-flow cover
No dividend.
Fair value
How we estimate itOur estimate per share
$1.61
The share price is 12% above this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/B | 1.9× | 1.9× | 1.9× | $1.78 | 50% |
| P/S | 0.4× | 0.3× | 0.6× | $1.44 | 50% |
| Earnings powerleft out, too far from the others | 15.0% cost of equity | – | – | $6.24 | – |
| Fair value | $1.61 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/B at month end
- Own 5-year median 1.9
- Real Estate median 1.9
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
Low risk
- Average value traded per day
- $72.83M
- Value traded per 1% price move
- $29.39M
Downside
High risk
- Typical loss in a bad month
- 31.1%
- Volatility (annualized)
- 79%
- Sharpe ratio, 1 year
- -1.02
- Beta to the S&P 500 (5Y)
- 2.93
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2017 to 2025
Gross margin
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | -15.2% | -34.5% | +11.1% | – | |
| Gross profit | -19.2% | -19.3% | +9.7% | – | |
| Free cash flow | – | +14.4% | +9.3% | – |
Returns and balance sheet
9 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2017 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | – | -61.7% | -151.3% | |
| Return on assets | – | -11.5% | -47.0% | |
| Current ratio | – | 5.22 | 7.03 | |
| Interest coverage | – | -2.7× | -2.2× | |
| Capex to revenue | – | 0.7% | 0.3% | |
| Diluted shares | – | 109M | 767M |
Where the cash went
Fiscal 2021 to 2025, five years combined
Opendoor Technologies generated $10.51B from operations and spent $144.00M on capital expenditure, dividends and share buybacks. 100% of that went back into the business.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | -29.7% | 1.58× | 3.22× | -151.3% |
| FY2024 | -7.6% | 1.54× | 3.98× | -46.7% |
| FY2023 | -4.0% | 1.37× | 4.96× | -26.8% |
| FY2022 | -8.7% | 1.93× | 4.83× | -81.2% |
| FY2021 | -8.3% | 1.37× | 3.07× | -34.8% |
| FY2020 | -9.8% | 1.17× | 5.38× | -61.7% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
- ProfitableNet income above zero-$1.30B
- Cash generatingOperating cash flow above zero$1.05B
- Return on assets improvedROA up on the prior year-11.0% → -41.6%
- Earnings backed by cashOperating cash flow above net income$1.05B vs -$1.30B
- Less leverageLong-term debt to assets fell– → –
- Better liquidityCurrent ratio rose5.67 → 7.03
- No dilutionShare count did not rise699M → 767M
- Gross margin improvedGross margin up on the prior year8.40% → 8.01%
- More efficientAsset turnover rose1.44 → 1.40