Opendoor Technologies Inc

Hello you amazing and wonderful people, i do hope you have had a pleasant start to the week and are doing well.

I am very interested in the stock Opendoor Technologies Inc, ticker OPEN on the NASDAQ. It is an online platform that engages in the trading of residential real estate. The company purchases to renovate, rebuild, and resells homes to and from customers. The stock sadly has been hit hard by the bear market and this stock appears to be in a downtrend. I want to build a small position in this stock as i believe reviewing its fundamentals this company could have growth in the future. I please wondered what would be an ideal time to make a position please using technical analysis, should i wait to see if this continues in a uptrend? Further how far do you believe this may fall before it hits a bottom and starts to rebound please?

Thank you so much for any advice or help you can give it would mean the world to me. Thank you so much and take very good care.

Hello you wonderful people, i do hope you are doing well. Sorry to follow-up, but if anyone kindly had any thoughts on the above post, even if its just a few sentences i would be very thankful. I appreciate your time and all the very best to you.

I would think entering the stock market in a rising interest rate world, particularly in a company that buys, dies up and then tries to sell at a premium will eat into its profits.

If they are well capitalised then it may be one to monitor longer term for a good entry point.

On a quick look, they are burning through cash and I don’t have much confidence on the management given this:

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I have not done a dip DDs. But my initial though spending few minutes scrutinising them.
OPEN (Open door Technologies Inc.) is high risk high reward play. It is currently unprofitable (EPS -$1.12). Many investor do not like to invest the unprofitable business during the bear market for obvious reason. Not to mention the recent news regarding a $62 million settlement with the Federal Trade Commission over allegations about its sales practices (the link is posted above). But this settlement is low considering their market cap of $3.25B and revenue of $8.02 bil.
It is highly indebted company if you see D/E ratio is 125. But they still have enough assets to cover their liability considering Current Ratio of 2.12.
But although highly indebted their financial state is better than many of unprofitable companies. Their revenue beats their own as well as Analyst prediction which is very unusual for a post SPAC stock. Its pre-SPAC merger presentation called for $3.5 billion in revenue in 2021, but actual revenue trounced it, coming in at $8 billion, more than double its estimate.
Have you seen this ?

Also analyst price target showing that the odd is on your side.
High Prediction|$40.00
Average Prediction|$15.38
Low Prediction|$6.00
So even you in the bear case it is still higher to what you are risking considering the current share price is $4.70. But keep in min this analyst price target is often inaccurate.

If they could triumph during this bear market, you will be making money.