Company’s revenue drops sharply and outlook remains lackluster

  • Opendoor Technologies shares down 10% on tumbling 4Q revenue
  • Revenue dropped 70% in the fourth quarter to $870 million
  • Total homes sold dropped 69% from a year earlier
  • Opendoor expects first quarter revenue to drop 65% to 66%
  • Analysts had expected first-quarter revenue of $1.25 billion

Shares of Opendoor Technologies fell 10% after the company reported a sharp drop in revenue and a lackluster outlook for the current quarter. In the fourth quarter, the company’s revenue plummeted 70% to $870 million, while total homes sold decreased by 69% compared to the previous year. Opendoor doesn’t anticipate a significant recovery in revenue, as it expects a 65% to 66% drop in first-quarter revenue. This forecast is lower than the $1.25 billion expected by analysts. The company posted a loss of $91 million, or 14 cents a share, in the quarter ended December 31, which was better than the prior-year loss of $106 million, or 16 cents a share.

Factuality Level: 8
Factuality Justification: The article provides specific information about Opendoor Technologies’ revenue drop and forecasted slump in the current quarter. It includes data on the stock price decline and the percentage decrease in revenue and homes sold. The article also mentions analyst expectations and compares them to the actual results. Overall, the information provided seems factual and supported by data.
Noise Level: 3
Noise Justification: The article provides relevant information about Opendoor Technologies’ financial performance, including a sharp drop in revenue and a forecasted slump in the current quarter. It includes specific figures and comparisons to previous periods. However, it lacks in-depth analysis, antifragility considerations, and accountability of powerful people. The article stays on topic and supports its claims with data and examples. Overall, the noise level is relatively low, but it could benefit from more context and insights.
Financial Relevance: Yes
Financial Markets Impacted: Shares of Opendoor Technologies
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article pertains to the financial performance of Opendoor Technologies, with a sharp drop in revenue and a forecasted slump in the current quarter. There is no mention of an extreme event.
Public Companies: Opendoor Technologies (unknown)
Key People:

Reported publicly: www.marketwatch.com