Sign In
Step 1
Unite with Fellow Investors
Step 2
Choose the Best Attorney
Step 3
Provide Documents
Step 4
Follow Case Progress
Step 5
Get Payout
OPEN.US
id: 349
D. Arizona
Court
On September 19, 2022, Bloomberg reported that Opendoor appeared to have lost money on 42% of its transactions in August 2022 (as measured by the prices at which it bought and sold properties). Bloomberg further reported that the data was even worse in key markets such as Los Angeles, California, where Opendoor lost money on 55% of sales, and Phoenix, Arizona, where it lost money on 76% of sales.

Global real estate tech strategist interviewed by Bloomberg, Mike DelPrete, predicted that, based on his analyses, September would likely be even worse for Opendoor than August.

Going back to December 2020, following the Merger, the Company has operated a digital platform for buying and selling residential real estate in the U.S, featuring a technology known as “iBuying,” which is an algorithm-based process that purportedly enables Opendoor to make accurate market-based offers to sellers for their homes, and then flips those homes to buyers for a profit.

Bloomberg’s findings evidenced the failure of Opendoor’s Algorithm to adjust accurately to changing market conditions. Thus, investors have reason to suspect that the Company, its Leaders and its Advisers have misinformed them about the quality of the algorithm and related business and financial prospects.

The OPEN stock already declined over 80% from the Company’s first post-Merger closing stock price of $31.25 per share on December 21, 2020, seriously damaging investors.
Alleged Offence
Misleading Statements
Financial Misrepresentation
Failure to Disclose
Negligence
Omissions
Suspected Party
Directors
Management
Influencer
Investment Bank
Service Provider
Research Entity
Security Type
Stocks
Trade Direction
Long
Shock Event Date
19 September 2022
Collecting participants…

Opendoor Technologies Inc

Opendoor Technologies Inc. operates a digital platform for residential real estate transactions in the United States. It buys and sells homes. The company's product offerings comprise sell to opend...

    Ticker
    OPEN.US
    ISIN
    US6837121036
    CIK
    1801169
    Sector
    Real Estate
    Industry
    Real Estate Services
    Country
    USA
    Address
    410 North Scottsdale Road, Tempe, AZ, United States, 85288