Opendoor Technologies Inc (NASDAQ:OPEN) shares are trending Tuesday as the stock continues to see heightened interest from retail investors. Here’s what you need to know.
What To Know: Opendoor stock became the latest meme darling after Hedge fund manager Eric Jackson flagged it as a potential “100-bagger” in July. The stock became a target for meme stock traders given its high short interest. 24.64% of the float is currently sold short, according to data from Benzinga Pro.
Jackson has continued to remain active on social media, suggesting shares should be trading above $40 right now. He has engaged with the retail community repeatedly in recent weeks, which has led to increased volatility in the name.
On Tuesday, Jackson said in an X post that he could potentially meet with members of Opendoor this week, which appears to be sparking increased buying interest in the stock.
Former Opendoor CEO Carrie Wheeler recently stepped down from the company following weeks of pressure from investors. Shrisha Radhakrishna was appointed as president and interim leader of Opendoor. Radhakrishna went on to purchase 30,000 shares of Opendoor stock last week, which fueled some excitement among retail investors.
Housing-related stocks have also started to show signs of strength in anticipation of rate cuts later this year following Federal Reserve chair Jerome Powell’s dovish pivot at Jackson Hole.
OPEN Analysis: Trading volume in Opendoor stock has soared in recent months, with approximately 142 million shares changing hands on Tuesday as of the time of writing, per Benzinga Pro.
Benzinga Edge rankings highlight moderate fundamentals, with a Value ranking of 69.17/100 and a Momentum ranking of 96.18/100. However, a low Growth ranking of 10.61/100 suggests potential challenges ahead for Opendoor.
The RSI is calculated at 70.12, indicating the stock is nearing overbought territory, which may prompt a pullback or consolidation soon. The MACD shows a bullish crossover, but the lines are beginning to converge, hinting at potential weakening momentum.
Analyst sentiment appears cautious, with Keefe, Bruyette & Woods maintaining an Underperform rating with a $1 price target on Aug. 13, Zelman & Assoc maintaining an Underperform rating with a $1 price target on Aug. 7 and Citigroup maintaining a Sell rating with a $1 price target on Aug. 6.
Analysts and investors remain focused on whether Opendoor can navigate the “very challenging” housing market and execute its pivot toward a more capital-light, agent-led platform.
OPEN Price Action: Opendoor shares were up 5.11% at $4.67 at the time of publication on Tuesday, according to Benzinga Pro.
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