New York, February 23, 2026, 06:28 ET — Premarket
- Opendoor shares dipped about 2% in premarket trading after a sharp gain on Friday.
- The online homebuyer is trying to prove its “Opendoor 2.0” reset can lift margins as it rebuilds home purchases.
- Traders are watching this week’s U.S. data and Fed remarks for clues on rates, a key swing factor for housing-linked stocks.
Opendoor Technologies Inc shares fell 2.2% to $4.89 in premarket trading on Monday, paring a rally that lifted the stock 7.5% on Friday. (StockAnalysis)
The stock has become a quick read on risk appetite in housing-linked names: fast moves, big volume, and a business model that can look fine when home prices are steady — and ugly when they are not.
Investors are still sorting through the company’s pitch that a leaner operating setup can get it to breakeven on an adjusted basis, even as it guides for lower near-term revenue. The question is whether improved “cohorts” of homes bought and resold under the new playbook show up in reported margins fast enough.
On Thursday, Opendoor said fourth-quarter revenue was $736 million, down from $1.084 billion a year earlier, and posted a net loss of $1.096 billion. Homes purchased rose 46% from the prior quarter to 1,706, and the company said it expects first-quarter revenue to fall about 10% from the fourth quarter, with an adjusted EBITDA loss in the low to mid-$30 millions. CEO Kaz Nejatian said, “This quarter demonstrates we are executing on that plan.” (SEC)
In coverage of the results, Nejatian pointed to “faster inventory turns” and “disciplined selection” as the company tries to cut risk on homes it holds — inventory that can lose value quickly if prices slip. The company’s “contribution margin,” a measure tied to profit after direct costs of buying, holding and selling homes, is a key line traders watch because it tends to move before headline profitability. (Investing)
Opendoor is an iBuyer — short for “instant buyer” — meaning it buys homes directly from sellers, typically for cash, then tries to resell them. That can speed transactions, but it also leaves the company exposed to housing prices, mortgage rates and the cost of financing inventory.
Still, the downside case is easy to sketch. A stumble in U.S. housing demand or a renewed jump in rates can slow resales, force markdowns, and stretch holding periods, a toxic mix for a model built around turning homes quickly. A regulatory filing also showed Chief Financial Officer Christina Schwartz sold 74,248 shares at a weighted average price of $4.3184 on Feb. 17 in a “sell to cover” transaction to meet tax withholding tied to restricted stock awards. (SEC)
Beyond the next headline, traders will be watching whether Opendoor can keep purchases rising without letting inventory risk creep back in — and whether quarterly margins continue to improve as older homes work through the pipeline.
Macro catalysts are close. Fed Governor Christopher Waller is due to speak Monday and Tuesday, and the Conference Board’s consumer confidence report is due Tuesday, followed by the producer price index on Friday, data that can swing rate expectations and housing-linked stocks in a hurry. (Kiplinger)
