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The Zacks Analyst Blog Highlights Opendoor Technologies, Zillow and Offerpad Solutions
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For Immediate Release
Chicago, IL – May 22, 2026 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Opendoor Technologies Inc. (OPEN - Free Report) , Zillow Group, Inc. (Z - Free Report) and Offerpad Solutions Inc. (OPAD - Free Report) .
Here are highlights from Thursday’s Analyst Blog:
Can Opendoor Sustain Post-COVID Resale Velocity Amid Housing Weakness?
Opendoor Technologies Inc. is showing early operational progress under its Opendoor 2.0 framework, with resale velocity emerging as a key measure of execution. In the first quarter of 2026, the company's October through January cohorts were selling faster than comparable cohorts since the COVID-era housing market. The fourth-quarter 2025 and January 2026 cash acquisition cohorts also delivered the strongest combination of margin, margin stability and resale velocity in company history, excluding the COVID period.
Inventory quality was a central driver of the improvement. Homes on the market for more than 120 days declined to 10% at the end of the first quarter from 33% at year-end and 51% at the end of the third quarter of 2025. The improvement was supported by tighter underwriting, more disciplined close-to-listing execution and resale systems focused on moving homes more quickly while protecting unit economics. For OPEN, a fresher inventory base is critical because it can lower holding costs, reduce exposure to market volatility and improve capital efficiency.
The operating improvement was also visible in contribution margin and contract activity. Resale contribution margin has improved every month since September 2025, while OPEN entered into more than 5,000 contracts in the first quarter, its highest quarterly contract volume since 2022. A larger contract funnel gives the company more flexibility in acquisitions, supporting selectivity as purchase volumes scale.
The durability of this progress remains the key question. Housing conditions are still pressured by elevated mortgage rates, affordability constraints and high listings, limiting broader transaction activity. OPEN's ability to sustain faster resale velocity as volumes rise will be central to determining whether Opendoor 2.0 can hold up in a weak housing market. Through 2026, inventory freshness, resale cadence, contract conversion and contribution-margin stability remain the primary indicators to monitor.
Zillow Group, Inc. provides a useful contrast to OPEN because its model is less exposed to inventory ownership, resale timing and home-price risk. In the first quarter of 2026, the company reported 18% year-over-year revenue growth despite a housing market that remained essentially flat, supported by growth across for sale, mortgages and rentals. Its integrated platform across search, touring, financing, agent collaboration and rentals gives Zillow a more capital-light way to participate in housing activity when transaction volumes remain pressured.
Offerpad Solutions Inc. is a closer operating peer because it remains tied to cash offers and home-selling solutions. Like OPEN, Offerpad is emphasizing a cleaner, faster-turning portfolio and disciplined capital deployment. The company said aged inventory stood at fewer than 30 homes, down from fewer than 60 at the end of the fourth quarter, while its AI tools, SCOUT and HENRY, are being used to improve seller routing, acquisition precision, renovation estimates and disposition decisions.
Against this backdrop, OPEN's competitive position rests on execution. Zillow offers a more diversified, capital-light housing platform, while Offerpad is pursuing disciplined transaction growth and faster portfolio turns. OPEN's advantage lies in its larger contract funnel and improving inventory health, but the durability of Opendoor 2.0 will depend on whether the company can sustain faster resale cadence, protect contribution margins and keep inventory fresh amid housing weakness.
Shares of Opendoor have skyrocketed 547% in the past year against the industry's 13.4% decline.
OPEN One-Year Price Performance
From a valuation standpoint, OPEN trades at a forward price-to-sales (P/S) multiple of 0.82, significantly below the industry's average of 3.72.
OPEN's P/S Ratio (Forward 12-Month) vs. Industry
The Zacks Consensus Estimate for OPEN's 2026 earnings implies a year-over-year uptick of 53.9%. Loss per share estimates for 2026 have remained unchanged in the past 60 days.
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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The Zacks Analyst Blog Highlights Opendoor Technologies, Zillow and Offerpad Solutions
For Immediate Release
Chicago, IL – May 22, 2026 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Opendoor Technologies Inc. (OPEN - Free Report) , Zillow Group, Inc. (Z - Free Report) and Offerpad Solutions Inc. (OPAD - Free Report) .
Here are highlights from Thursday’s Analyst Blog:
Can Opendoor Sustain Post-COVID Resale Velocity Amid Housing Weakness?
Opendoor Technologies Inc. is showing early operational progress under its Opendoor 2.0 framework, with resale velocity emerging as a key measure of execution. In the first quarter of 2026, the company's October through January cohorts were selling faster than comparable cohorts since the COVID-era housing market. The fourth-quarter 2025 and January 2026 cash acquisition cohorts also delivered the strongest combination of margin, margin stability and resale velocity in company history, excluding the COVID period.
Inventory quality was a central driver of the improvement. Homes on the market for more than 120 days declined to 10% at the end of the first quarter from 33% at year-end and 51% at the end of the third quarter of 2025. The improvement was supported by tighter underwriting, more disciplined close-to-listing execution and resale systems focused on moving homes more quickly while protecting unit economics. For OPEN, a fresher inventory base is critical because it can lower holding costs, reduce exposure to market volatility and improve capital efficiency.
The operating improvement was also visible in contribution margin and contract activity. Resale contribution margin has improved every month since September 2025, while OPEN entered into more than 5,000 contracts in the first quarter, its highest quarterly contract volume since 2022. A larger contract funnel gives the company more flexibility in acquisitions, supporting selectivity as purchase volumes scale.
The durability of this progress remains the key question. Housing conditions are still pressured by elevated mortgage rates, affordability constraints and high listings, limiting broader transaction activity. OPEN's ability to sustain faster resale velocity as volumes rise will be central to determining whether Opendoor 2.0 can hold up in a weak housing market. Through 2026, inventory freshness, resale cadence, contract conversion and contribution-margin stability remain the primary indicators to monitor.
Opendoor's Competitive Landscape: Zillow & Offerpad
Zillow Group, Inc. provides a useful contrast to OPEN because its model is less exposed to inventory ownership, resale timing and home-price risk. In the first quarter of 2026, the company reported 18% year-over-year revenue growth despite a housing market that remained essentially flat, supported by growth across for sale, mortgages and rentals. Its integrated platform across search, touring, financing, agent collaboration and rentals gives Zillow a more capital-light way to participate in housing activity when transaction volumes remain pressured.
Offerpad Solutions Inc. is a closer operating peer because it remains tied to cash offers and home-selling solutions. Like OPEN, Offerpad is emphasizing a cleaner, faster-turning portfolio and disciplined capital deployment. The company said aged inventory stood at fewer than 30 homes, down from fewer than 60 at the end of the fourth quarter, while its AI tools, SCOUT and HENRY, are being used to improve seller routing, acquisition precision, renovation estimates and disposition decisions.
Against this backdrop, OPEN's competitive position rests on execution. Zillow offers a more diversified, capital-light housing platform, while Offerpad is pursuing disciplined transaction growth and faster portfolio turns. OPEN's advantage lies in its larger contract funnel and improving inventory health, but the durability of Opendoor 2.0 will depend on whether the company can sustain faster resale cadence, protect contribution margins and keep inventory fresh amid housing weakness.
OPEN's Stock Price Performance, Valuation & Estimates
Shares of Opendoor have skyrocketed 547% in the past year against the industry's 13.4% decline.
OPEN One-Year Price Performance
From a valuation standpoint, OPEN trades at a forward price-to-sales (P/S) multiple of 0.82, significantly below the industry's average of 3.72.
OPEN's P/S Ratio (Forward 12-Month) vs. Industry
The Zacks Consensus Estimate for OPEN's 2026 earnings implies a year-over-year uptick of 53.9%. Loss per share estimates for 2026 have remained unchanged in the past 60 days.
EPS Trend of OPEN Stock
OPEN stock currently has a Zacks Rank #4 (Sell).
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Free: Instant Access to Zacks' Market-Crushing Strategies
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.
Get all the details here >>
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.