Is Opendoor Technologies, Inc. overvalued or undervalued?

As of 5 November 2020, the valuation grade for Opendoor Technologies, Inc. moved from does not qualify to risky. The company is currently overvalued based on its financial metrics. Key ratios include a Price to Book Value of 0.77, an EV to EBIT of 0.74, and an EV to EBITDA of 0.91, which highlight its challenging valuation position compared to peers.
In comparison, Jones Lang LaSalle, Inc. has a P/E ratio of 25.21 and an EV to EBITDA of 11.96, while Howard Hughes Holdings, Inc. shows a P/E of 18.48 and an EV to EBITDA of 4.78, indicating that Opendoor is significantly lagging behind these competitors. Despite impressive year-to-date returns of 521.25% compared to the S&P 500's 12.22%, the long-term outlook appears concerning, as the company has underperformed over the 5-year and 10-year periods, suggesting potential volatility ahead.