Opendoor Technologies Inc (NASDAQ: OPEN) tanked as much as 20% on Nov. 7 after the digital real estate marketplace reported a wider-than-expected loss for its third financial quarter (Q3).
Moreover, the company issued over 180 million new shares to bolster its balance sheet – triggering dilution concerns.
However, beneath the surface, there are clear signs of a strategic pivot, and reasons why long-term investors might want to consider buying the post-earnings dip in Opendoor stock.
Here are the three big ones!
Opendoor stock will benefit as the bleeding stops
Despite widening losses seen in the third quarter, Opendoor’s new chief executive, Kaz Nejatian, says the company will stop losing money by the end of next year.
He has already made sweeping changes: cutting external consultants, mandating full-time office presence, and pushing employees to “default to AI” when solving problems.
Nejatian’s vision is to transform Opendoor Technologies into a streamlined marketplace for home buyers and sellers – akin to Amazon for real estate.
He’s betting on software-led innovation, including instant home purchases and buyer warranties.
If execution matches ambition, the company’s scale could finally turn into sustainable profitability – potentially driving OPEN stock much higher in the coming year.
Insiders have been buying OPEN shares
Opendoor shares sure are a high-risk investment, but insiders believe it could bear high-reward as well over time. That’s why they have been buying the company’s stock in the past three months.
According to Barchart data, executives including Eric Wu and Shrisha Radhakrishna have made substantial purchases, while not a single insider sale has been recorded since August.
This confirms internal confidence in OPEN’s turnaround strategy under the new leadership. When insiders are willing to put their own capital at risk, it suggests they see upside that broader market may be missing.
For investors, this buying spree signals management’s belief in the company’s long-term trajectory, which makes a strong enough case for owning its stock heading into 2026.
Retail momentum could buy time for the turnaround
Despite the post-earnings plunge, OPEN shares are going for north of $6 currently – sharply above 51 cents only in June, thanks to the retail investors who call themselves the “Open Army.”
While meme stock rallies are often short-lived, this wave of support has given the Nasdaq-listed firm significant breathing room – buying it time to deliver the turnaround Nejatian has promised.
His compensation is completely tied to stock performance (another sign of confidence in the firm’s long-term trajectory) and he’s betting that product-led growth will drive it higher.
As Nejatian uses the time that retail enthusiasm has bought to execute on his roadmap, Opendoor stock could defy the fate of other meme stocks and deliver real returns in 2026.
Wall Street currently rates OPEN stock only at “hold”, though.
The post Contrarian call: here’s why Opendoor stock is worth buying on post-earnings dip appeared first on Invezz