Opendoor (OPEN) Stock: Q4 Earnings Beat Drives 16% After-Hours Rally

TLDR

• Opendoor (OPEN) stock jumped up to 16.5% after-hours Thursday after Q4 earnings
• Q4 revenue of $736 million beat Wall Street’s $595 million estimate by 23.7%
• Home acquisition volume surged 46% quarter-over-quarter
• Adjusted EPS of -$0.07 beat the -$0.09 analyst estimate
• Management targets breakeven adjusted net income by end of 2026

Opendoor stock jumped as much as 16.5% in after-hours trading Thursday after Q4 2025 earnings topped revenue estimates by a wide margin and home acquisition volume accelerated sharply.

Revenue came in at $736 million against a Wall Street estimate of $595 million — a 23.7% beat. Year-on-year revenue was still down 32.1%, reflecting the company’s ongoing reset, but investors chose to focus on the forward momentum.

Opendoor Technologies Inc., OPEN

Adjusted EPS of -$0.07 also beat the -$0.09 consensus estimate, clearing expectations by roughly 25%.

Acquisition Volume and Inventory Turns Drive Optimism

The headline number for many investors was home acquisition volume, up 46% quarter-over-quarter. That points to Opendoor pushing back toward scale after a prolonged pullback.

The share of homes sitting on the market for more than 120 days dropped to 33%, down from 51% in Q3 2025. Faster inventory turns reduce capital drag and are central to the company’s recovery plan.

Free cash flow swung to positive $67 million from negative $83 million a year earlier. Fixed operating expenses fell to $35 million, a sign of leaner operations taking hold.

CEO Kaz Nejatian credited structural changes in how the business runs. “These results reflect structural improvements in how we operate — with more accurate pricing, faster inventory turns, and disciplined selection,” he said.

The company’s “Cash Plus” program now makes up 35% of weekly volume, which Opendoor sees as a key tool for improving capital efficiency.

Q1 2026 Guidance

For Q1 2026, Opendoor guided for an adjusted EBITDA loss of $30 million to $35 million. The midpoint of -$32.5 million beat analyst estimates of -$37.4 million.

Revenue is expected to drop around 10% in the upcoming quarter. The company has been clear it is not managing for short-term targets.

“We’re focused on making the right long-term decisions to rebuild Opendoor rather than managing to short-term guidance,” management said.

Homes sold in Q4 totaled 1,978, down 844 year-on-year. Analysts expect revenue to grow around 7% over the next 12 months, with full-year adjusted EPS improving from -$0.25 to -$0.21.

The stock was trading near $5.36 after the release, with a market cap of around $4.41 billion.