Opendoor Shares Fall 8.5% After Revenue Drop

Opendoor Technologies shares fell 8.5% on Wednesday after reporting second-quarter revenue of $883 million, a sharp decrease from the $1.57 billion earned during the same period last year. The company sold 2,339 homes, down from 4,299 in the previous year, while adjusted EBITDA shifted from a $23 million profit to a $4 million loss.

Management attributed the decline to previous leadership decisions to reduce home acquisitions. To counter this, the company is now aggressively rebuilding inventory, purchasing 4,378 homes this quarter and signing 6,908 contracts to buy more. This activity represents the highest level of acquisitions since the second quarter of 2022.

CEO Kaz Nejatian stated the company is "now on a clear path to sustained ANI profitability."