Opendoor Posts $736M Q4 Revenue Beat, Sees 10% Q1 Revenue Drop
Opendoor posted Q4 revenue of $736M—$142M above expectations—and narrowed its adjusted loss to $0.07 per share while purchasing 1,706 homes, a 46% sequential rise that cut long-dated listings to 33% from 51%. For Q1, it forecasts a 10% revenue drop and a low-to-mid-$30M adjusted EBITDA loss.
1. Q4 Results Surpass Expectations
In the fourth quarter, Opendoor achieved $736 million in revenue versus $594 million expected and narrowed its adjusted loss to $0.07 per share, fueling a sharp post-earnings rally.
2. Inventory Moves Boost Unit Economics
The company acquired 1,706 homes—a 46% sequential increase—while reducing the share of properties listed over 120 days to 33% from 51%, stabilizing pricing and enhancing margins.
3. Cautious Q1 Forecast
Opendoor expects first-quarter revenue to decline roughly 10% year-over-year and forecasts an adjusted EBITDA loss in the low-to-mid-$30 million range, though it anticipates its strongest contribution margin since mid-2024 by quarter end.
4. Technical Trends and Share Decline
Shares slid over 7% on the guidance update, with the 20-, 50-, and 200-day moving averages converging in the mid-single digits, indicating a moderated but improved longer-term trend.