Defining culture through hard work

On the day of earnings, Opendoor CEO Kaz Nejatian joins Molly O’Shea on Sourcery to break down the public turnaround of a company that was trading around $0.50 per share, facing delisting risk, and fighting for survival in full view of the market, with the backing of the $OPEN army behind it.

Kaz stepped in after Opendoor’s market cap had collapsed to the low hundreds of millions and the iBuying model was widely written off. Instead of managing optics, he focused on fundamentals. He reviewed every employee and every invoice, cut millions in consulting spend including a $5M engagement he believed degraded quality, restructured workflows that once required 11 human touchpoints, brought the company back in person within days, and rebuilt incentives around a $1 salary and a performance based equity package worth up to $2.8B if long term targets are met.

This conversation is primarily about what it actually takes to attempt a public company turnaround in real time. We discuss speed as a learning mechanism, the power of a founder mentality, conviction under scrutiny, and the discipline required to build something durable when the stock price is disconnected from the underlying business.

In this episode, we cover:

• The psychology of running a turnaround with quarterly earnings pressure • What it means to optimize for what things are, not what they look like

• Why most public companies misprice long term growth

• The loneliness and pressure of being a founder type CEO

• Lessons from Toby Lütke at Shopify on applying a near zero discount rate to future growth

• Refusing to sacrifice long term compounding for short term stock movements

• How to build conviction while everyone is watching in public markets

If you enjoy these deep dives, subscribe to Sourcery for weekly interviews with the founders, CEOs, and investors shaping technology and markets.

Kaz Nejatian: https://x.com/nejatian 

Molly O’Shea: https://x.com/MollySOShea 

Sourcery: ⁠https://x.com/sourceryy 

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(00:00) Kaz Nejatian, CEO Opendoor

(01:11) Near delisting and stepping in at a $0.50 share price

(04:20) Obsessing over Opendoor and planning to take it private

(07:00) Running a Public company without playing the Headline Game

(09:09) The $1 salary and being fully levered to the mission