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Opendoor Shares Rebound as Warrant Dividend Targets Short Sellers After Earnings Miss

Management outlines an AI-led reset with a 2026 breakeven goal.

Overview

  • Q3 results showed a $0.12 loss per share versus a $0.07 loss expected and $915 million in revenue below the $922 million consensus, with guidance calling for wider losses in Q4.
  • Opendoor registered the sale of 180.6 million new shares at $6.56, creating meaningful dilution for existing holders under its shelf registration.
  • Shareholders of record on November 18 will receive three tradable warrants for every 30 shares with $9, $13, and $17 strikes expiring in November 2026, a move the CEO said would complicate short positions.
  • The stock jumped about 21% on Monday following heavy recent volatility driven by retail interest and short interest reported at roughly 22.5% of float.
  • Insiders have reported three purchases since August with no sales, while Wall Street’s consensus remains Hold with a top price target of $6.