Can a New CEO Turbocharge Opendoor to Outpace Carvana’s Meteoric Rise?
Leadership shakeup sends shockwaves through proptech as Opendoor bets big on fresh vision.
New captain, same stormy seas—but this time with better navigation tools and a crypto-inspired growth mindset that traditional real estate players still don't understand.
Digital transformation meets property flipping in what could either become a masterclass in disruption or another case study in 'what were they thinking?'
Wall Street analysts remain skeptical—because nothing terrifies traditional finance more than asset classes that can't be over-leveraged into oblivion.
Image source: Getty Images.
A changing of the guard
In a press release, Opendoor said it had appointed Shrisha Radhakrishna, the company's Chief Technology and Product Officer, as President and interim leader of the company while it searches for a new CEO. The succession process had begun earlier in the year as part of what the company called a "strategic evolution."
Wheeler had faced a lot of pushback from company insiders, including co-founder Keith Rabois. Wheeler was CFO before taking over as CEO in December 2022, and some investors believe that a CEO with experience running a disruptive tech company could be a better fit for the job.
The stock performance under Wheeler leaves a lot to be desired, but it's hard to fault her for weak results during the worst housing market of the last 30 years.
Does this change anything?
We may be seeing the effect of the meme stock investors in Wheeler's departure, although the company said that it had agreed on a succession plan earlier in mid-2025.
However, the surge in the stock and the interest from the retail investor base should make it more enticing to a new CEO, who will likely receive stock and options as part of their compensation package. As a job, the Opendoor gig looks considerably different than it was when the company was on the verge of being delisted.
The next CEO will be fighting an uphill battle. Even if the Fed lowers interest rates at its September meeting, it could take at least a year or two for housing market activity to start to pick up.
Still, the next CEO will have high expectations set on them from the get-go. Investors should remember that because of its exposure to mortgage rates and the housing market, the next CEO's influence will be less than it would be for the average company. Macro factors are likely to determine the company's recovery potential.
Still, the retail investor base could easily send the stock higher from here. At this point, it still seems far-fetched to call Opendoor the next Carvana, as there have not been any significant improvements in its business. But if mortgage rates continue to fall, Opendoor stock should keep climbing.
