T
he iBuyer Opendoor has been struggling to regain its footing since 2022, despite replacing its CEO and forming partnerships with agents and brokerages. In a May 30 SEC filing, the company disclosed that it had received a warning from NASDAQ after its share price failed to reach $1 for 30 consecutive business days. Companies facing this issue risk being delisted from the exchange if they can't maintain a minimum share price of $1.

    Opendoor's shares have been below the threshold since mid-April, closing at $0.65 on May 30. This isn't the first time an iBuyer has faced this challenge; Offerpad received a similar warning in November 2022 and implemented a reverse stock split to remedy the issue. However, its stock price has since dipped below $1.

    The iBuyer model, popularized by companies like Opendoor and Zillow, has been struggling since the early 2020s when market conditions shifted. Despite losses mounting, Opendoor and Offerpad have tried to stay afloat while other major players, such as Redfin, shut down their iBuyer divisions.

    Opendoor's CEO Carrie Wheeler expressed confidence in the company's ability to benefit from industry changes following NAR's commissions settlement in 2024. The stock price jumped 9.5% when these policy changes took effect, but it has since been on a downward trajectory. Wheeler believes that Opendoor's new focus on partnerships will be key to its strategy and path toward profitability.

    Opendoor has 180 days to come into compliance with NASDAQ's requirements, which means maintaining a share price of at least $1 for 10 consecutive business days during this period. If the company fails to meet this requirement, it may request additional time to reach compliance.