Opendoor Technologies Inc.OPEN is showing a sharp pickup in acquisition activity even as the broader housing market remains challenging. On its second-quarter 2026 earnings call, management said the company is signing more than 500 home purchase contracts per week, with the prior week reaching around 700, its strongest weekly tally in years and more than five times the level seen a year ago.
The weekly numbers build on a strong second quarter. Opendoor generated 6,908 acquisition contracts, up from 5,136 in the first quarter. Homes purchased rose 77% sequentially and 149% year over year to 4,378, while the company ended the quarter with 2,310 homes under contract to purchase, compared with 393 a year earlier. More importantly, the higher volume came with far lower marketing spending. Opendoor spent just $5 million on marketing while producing more than 6,900 acquisition contracts. Management also said seller conversion improved significantly at comparable spreads, suggesting the company is not simply buying higher volume by taking on more pricing risk.
Seasonality remains a hurdle. Historically, Opendoor’s contribution margin has fallen sharply between the second and third quarters, with the average decline approaching 500 basis points excluding 2023. For third-quarter 2026, management expects a contribution margin of about 4%-4.5%, while revenues are expected to grow at least 20% year over year and contribution profit to more than double.
For now, the roughly 700-contract week suggests Opendoor’s turnaround is gaining operating momentum despite a difficult housing market. Still, acquisition contracts do not all translate into completed purchases. If volumes remain above the roughly 6,000-per-quarter level in management’s profitability framework while conversion, margins and cost discipline hold, the acceleration could become an important bridge from turnaround to sustained profitability.
Opendoor’s accelerating contract volume comes as other real estate technology players are also emphasizing scale, conversion and operating efficiency. Compass, Inc.COMP is pursuing a brokerage-led platform strategy rather than principal home buying. In the second quarter of 2026, Compass generated $4.3 billion in revenues and $363 million in adjusted EBITDA, while brokerage transactions rose 7.4% year over year versus 3.5% for the broader market. It also actioned its $300 million first-year cost-synergy target five months early.
Rocket Companies, Inc.RKT offers another increasingly relevant comparison as it builds a broader homeownership ecosystem around mortgage origination, servicing and Redfin. Rocket posted $2.8 billion in adjusted revenues and $766 million in adjusted EBITDA in the second quarter of 2026, while purchase market share rose to a record 6.2% and refinance share reached 14.3%. More than 70% of revenues now come from recurring or less rate-sensitive businesses, helping reduce dependence on mortgage-rate cycles.
Overall, Opendoor currently stands out for combining faster contract growth with sharply lower marketing intensity.
Shares of Opendoor have lost 23.9% in the past six months, underperforming the Zacks Internet - Software industry, the broader Zacks Computer and Technology sector and the S&P 500 Index.
OPEN’s Six-Month Price Performance
Image Source: Zacks Investment Research
From a valuation standpoint, OPEN stock trades at a forward price-to-sales (P/S) multiple of 0.54, significantly below the industry’s average of 4.08.
P/S (F12M)
Image Source: Zacks Investment Research
OPEN’s estimates for 2026 indicate a loss of 12 cents per share, while those for 2027 point to earnings. Over the past 30 days, the 2026 estimates have remained unchanged, whereas those for 2027 have moved from breakeven to earnings of 1 cent per share.
Radical New Technology Could Hand Investors Huge Gains
Quantum Computing is the next technological revolution, and it could be even more advanced than AI.
While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.
Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.
Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Keep it Clean. Please avoid obscene, vulgar, lewd,
racist or sexually-oriented language. PLEASE TURN OFF YOUR CAPS LOCK. Don't Threaten. Threats of harming another
person will not be tolerated. Be Truthful. Don't knowingly lie about anyone
or anything. Be Nice. No racism, sexism or any sort of -ism
that is degrading to another person. Be Proactive. Use the 'Report' link on
each comment to let us know of abusive posts. Share with Us. We'd love to hear eyewitness
accounts, the history behind an article.
(0) comments
Welcome to the discussion.
Log In
Keep it Clean. Please avoid obscene, vulgar, lewd, racist or sexually-oriented language.
PLEASE TURN OFF YOUR CAPS LOCK.
Don't Threaten. Threats of harming another person will not be tolerated.
Be Truthful. Don't knowingly lie about anyone or anything.
Be Nice. No racism, sexism or any sort of -ism that is degrading to another person.
Be Proactive. Use the 'Report' link on each comment to let us know of abusive posts.
Share with Us. We'd love to hear eyewitness accounts, the history behind an article.