** Shares of online residential real estate firm Opendoor Technologies OPEN.O drop 23.8% premarket to $5 after it reported Q3 results amid a change in strategy, and unveiled planned stock offering

** Tempe, Arizona-based firm late Thurs reported rev fell by about one-third y/y to $915 mln, but topped analysts' estimate of about $850 mln, per LSEG data

** Co reported Q3 loss of 12 cents/sh, wider than loss of 7 cents/sh analysts expected

** “We are refounding Opendoor as a software and AI company," CEO Kaz Nejatian said in the statement

** “Our path to profitability is clear: transact with more sellers, strengthen our unit economics through better pricing and resale speed, and drive operational efficiency by being ruthless on expenses," Nejatian said

** It filed for a registered direct stock offering to repurchase its outstanding 7% convertible notes due 2030; offering amount not disclosed

** In addition, co announced a special dividend distribution of warrants to common stock holders as of 5:00 p.m. ET on Nov 18, saying to align shareholders and management

** OPEN has ~772.8 mln shares outstanding for roughly $5 bln market cap, 10-Q filing shows

** In Sept, OPEN appointed Shopify SHOT.TO executive Kaz Nejatian as its new CEO, and said co-founders Keith Rabois and Eric Wu will return to the board

** OPEN, which has seen meme stock-like activity since the summer, hit intraday all-time low of 51 cents in late Jun

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com ; 1-646-279-6380))