Can Opendoor's AI Home Assessments Drive Speed and Scale?

Core Insights - Opendoor Technologies Inc.'s turnaround under new CEO Kaz Nejatian is focused on leveraging AI for home assessments to accelerate transactions and restore scale, with early data indicating positive results [2][5] Operational Improvements - The company has transitioned to an AI-driven operating model, completing nearly 750 home assessments per week, significantly reducing the assessment time from a full day to approximately 10 minutes [2][10] - Opendoor's acquisition activity has increased, with contracts to buy 230 homes in the last week of October, nearly doubling from 120 homes in mid-September, attributed to AI-driven processes [3][10] Strategic Goals - Opendoor aims to become a software-first operator, with a focus on machine-led workflows for pricing, scoping, and resale velocity, targeting breakeven adjusted net income by late 2026 [4][10] Competitive Landscape - Competitors Zillow and Offerpad are also enhancing their strategies in response to Opendoor's AI initiatives, with Zillow refining its AI-powered pricing tools and Offerpad emphasizing automation and cost discipline [6][8] Stock Performance and Valuation - Opendoor's stock has surged 1013.8% over the past six months, outperforming the industry's decline of 6.1% [9][10] - The company trades at a forward price-to-sales multiple of 1.1X, significantly below the industry's average of 4.79X [12]