Will Opendoor's Agent-Led Model Drive a 2026 Revenue Rebound?

Opendoor Technologies Inc. OPEN has shifted its focus to a more agent-led model from the capital-intensive model, and is witnessing substantial returns from this strategic move. Its agent-led model determines the direct connection of agents with sellers for the better integration of offers and listing options. Piloted in selected markets in the first quarter of 2025, this new model has resulted in five times more listing conversion rates, with customers reaching double the time of the final underwritten cash offer (all-cash proposal made directly to the homebuyer) compared with OPEN’s traditional flow.

Owing to the robust acceptance of this new agent-led model, Opendoor could exercise this initiative throughout all the markets it operates in as of the second quarter of 2025. Besides, during the second quarter, the company highlighted its optimization phase regarding the agent-led model, which will include more agent collaboration, enhanced tools, better training processes and more product offerings. On July 15, 2025, OPEN launched its Key Agent iOS app to enable agents to perform high-quality home assessments through phones, resulting in better customer connection and enriching its AI with enhanced databases.

Besides, Opendoor also launched Cash Plus, a hybrid product designed for sellers in the market to get an understanding of immediate cash offers and prospective profit options. This product is gaining traction upon its launch, and is aimed at diversifying revenues, reducing capital intensity and improving contribution margin stability.

The company believes that the inputs from the new agent-led initiative are expected to come to light from 2026. As this new initiative scales and reaches full potential amid the expected normalization of the macro risks, Opendoor will be able to realize incremental benefits in the long term.

Does Opendoor Face Competition in the Market?

Opendoor is focusing on operating through a distinct distributed platform model, and given this approach, it faces substantial competition from other market players, including Offerpad Solutions, Inc. OPAD and Rocket Companies, Inc. RKT.

Offerpad engages in buying, renovating and reselling homes, operating as a pure-play iBuyer. However, it has also introduced more flexible seller solutions to reduce balance sheet risk. Through the operation speed, pricing and customer experience factors, Offerpad offers direct competition to Opendoor in the market.

On the other hand, Rocket Companies operates through a diversified fintech and consumer homeownership platform. Upon the acquisition of Redfin in March 2025, this company entered into the evolving digital real estate ecosystem. Redfin’s inclusion opened doors for Rocket Companies to a strong online marketplace, brokerage network and brand recognition, positioning it as a strong competitor to Opendoor in the market.

OPEN Stock’s Price Performance & Valuation Trend

Shares of this California-based company offering a digital platform for residential real estate transactions have soared 215% in the past three months, significantly outperforming the Zacks Internet - Software industry, the Zacks Computer and Technology sector and the S&P 500 index.

OPEN stock is currently trading at a discount compared with the industry peers, with a forward 12-month price-to-sales (P/S) ratio of 0.33, as evidenced by the chart below. The discounted valuation of the stock, compared with its peers, advocates for an attractive entry point for investors.

EPS Trend of Opendoor

Opendoor’s bottom-line estimates for 2025 have remained unchanged over the past 60 days at a loss per share of 19 cents. Despite indicating losses, the estimated figure for 2025 implies year-over-year growth of 48.7%.

OPEN stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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