OPENDOOR TECHNOLOGIES INC (OPEN)

US6837121036 - Common Stock

3.1  +0.15 (+5.08%)

Fundamental Rating

4

Overall OPEN gets a fundamental rating of 4 out of 10. We evaluated OPEN against 68 industry peers in the Real Estate Management & Development industry. While OPEN has a great health rating, there are worries on its profitability. OPEN is quite expensive at the moment. It does show a decent growth rate.



1

1. Profitability

1.1 Basic Checks

In the past year OPEN has reported negative net income.
OPEN had a positive operating cash flow in the past year.
OPEN had negative earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: OPEN reported negative operating cash flow in multiple years.

1.2 Ratios

OPEN has a Return On Assets of -7.71%. This is comparable to the rest of the industry: OPEN outperforms 40.30% of its industry peers.
With a Return On Equity value of -28.44%, OPEN perfoms like the industry average, outperforming 40.30% of the companies in the same industry.
Industry RankSector Rank
ROA -7.71%
ROE -28.44%
ROIC N/A
ROA(3y)-11.72%
ROA(5y)-12.41%
ROE(3y)-60.82%
ROE(5y)-50.18%
ROIC(3y)N/A
ROIC(5y)N/A

1.3 Margins

Looking at the Gross Margin, with a value of 7.01%, OPEN is doing worse than 74.63% of the companies in the same industry.
In the last couple of years the Gross Margin of OPEN has remained more or less at the same level.
OPEN does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 7.01%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-6.56%
GM growth 5Y-0.63%

7

2. Health

2.1 Basic Checks

OPEN does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, OPEN has more shares outstanding
OPEN has more shares outstanding than it did 5 years ago.
The debt/assets ratio for OPEN has been reduced compared to a year ago.

2.2 Solvency

An Altman-Z score of 1.90 indicates that OPEN is not a great score, but indicates only limited risk for bankruptcy at the moment.
OPEN has a Altman-Z score (1.90) which is comparable to the rest of the industry.
The Debt to FCF ratio of OPEN is 1.09, which is an excellent value as it means it would take OPEN, only 1.09 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of OPEN (1.09) is better than 85.07% of its industry peers.
A Debt/Equity ratio of 2.60 is on the high side and indicates that OPEN has dependencies on debt financing.
OPEN's Debt to Equity ratio of 2.60 is on the low side compared to the rest of the industry. OPEN is outperformed by 80.60% of its industry peers.
Even though the debt/equity ratio score it not favorable for OPEN, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
Industry RankSector Rank
Debt/Equity 2.6
Debt/FCF 1.09
Altman-Z 1.9
ROIC/WACCN/A
WACC7.9%

2.3 Liquidity

A Current Ratio of 49.21 indicates that OPEN has no problem at all paying its short term obligations.
With an excellent Current ratio value of 49.21, OPEN belongs to the best of the industry, outperforming 98.51% of the companies in the same industry.
A Quick Ratio of 23.86 indicates that OPEN has no problem at all paying its short term obligations.
OPEN's Quick ratio of 23.86 is amongst the best of the industry. OPEN outperforms 97.01% of its industry peers.
Industry RankSector Rank
Current Ratio 49.21
Quick Ratio 23.86

5

3. Growth

3.1 Past

OPEN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 27.44%, which is quite impressive.
The Revenue for OPEN has decreased by -55.38% in the past year. This is quite bad
The Revenue has been growing by 30.46% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)27.44%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q72.55%
Revenue 1Y (TTM)-55.38%
Revenue growth 3Y39.06%
Revenue growth 5Y30.46%
Revenue growth Q2Q-69.55%

3.2 Future

Based on estimates for the next years, OPEN will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.17% on average per year.
Based on estimates for the next years, OPEN will show a quite strong growth in Revenue. The Revenue will grow by 17.59% on average per year.
EPS Next Y55.95%
EPS Next 2Y30.27%
EPS Next 3Y21.22%
EPS Next 5Y10.17%
Revenue Next Year-15.07%
Revenue Next 2Y10.93%
Revenue Next 3Y14.96%
Revenue Next 5Y17.59%

3.3 Evolution

The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.

2

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings Ratio is negative for OPEN. In the last year negative earnings were reported.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for OPEN. No positive earnings are expected for the next year.
Industry RankSector Rank
PE N/A
Fwd PE N/A

4.2 Price Multiples

Based on the Price/Free Cash Flow ratio, OPEN is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 0.91
EV/EBITDA N/A

4.3 Compensation for Growth

OPEN's earnings are expected to grow with 21.22% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y30.27%
EPS Next 3Y21.22%

0

5. Dividend

5.1 Amount

OPEN does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

OPENDOOR TECHNOLOGIES INC

NASDAQ:OPEN (3/28/2024, 12:17:05 PM)

3.1

+0.15 (+5.08%)

Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.11B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield N/A
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE N/A
Fwd PE N/A
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -7.71%
ROE -28.44%
ROCE
ROIC
ROICexc
ROICexgc
OM N/A
PM (TTM) N/A
GM 7.01%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.95
Health
Industry RankSector Rank
Debt/Equity 2.6
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 49.21
Quick Ratio 23.86
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)27.44%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y55.95%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-55.38%
Revenue growth 3Y39.06%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y