Opendoor Technologies: A Potential Next-Generation Carvana?

Opendoor Technologies (OPEN) could be the next Carvana, with a potential 100x increase in stock price since its 2022 lows. The video discusses why this stock could be a good investment and invites viewers to subscribe for more information.

Opendoor Technologies (OPEN) has experienced a dramatic resurgence in its stock price, with a significant 85.71% gain over the past month [1]. This resurgence comes after the stock flirted with penny stock status, hitting a 52-week low of $0.51 on June 26, 2025. The stock is trading up a further 5.74% in the pre-market session to $1.10, adding to an impressive 33.37% surge over the past five days that brought the stock to $1.04 at yesterday's close.

Several factors are contributing to this upward trajectory. Firstly, Opendoor's Q1 2025 financial results showed a glimmer of hope. The company reported revenue of $1.2 billion, a 6% increase quarter-over-quarter, and reduced its net loss to $85 million from $109 million in Q1 2024. Additionally, the company's inventory increased to 7,080 homes valued at $2.4 billion, suggesting a strategic build-up in anticipation of improved market conditions [1].

Secondly, the announcement of a proposed reverse stock split, with ratios ranging from 1-for-10 to 1-for-50, has likely influenced investor sentiment. While a reverse stock split doesn't fundamentally change the value of the company, it can make the stock more attractive to institutional investors and help maintain compliance with Nasdaq listing requirements. A shareholder meeting is scheduled for July 28th to vote on the proposal [1].

Thirdly, the interest of activist investor Eric Jackson of EMJ Capital has sparked significant investor interest. Jackson publicly signaled his interest in engaging with the real estate iBuyer, suggesting he sees significant potential upside in the company and criticized the idea that a quick sale was the best path forward. This type of interest often excites investors as it can lead to strategic changes aimed at increasing shareholder value [2].

The positive sentiment has spilled over, lifting shares in early trading as investors anticipate potential turnaround for the company. However, the stock remains volatile, with 81 moves greater than 5% over the last year. Opendoor is down 22.3% since the beginning of the year, and at $1.24 per share, it is trading 57.7% below its 52-week high of $2.92 from July 2024 [2].

Investors who bought $1,000 worth of Opendoor’s shares 5 years ago would now be looking at an investment worth $102.92. Retail traders have piled into the trade since Jackson made his views public, with at least a dozen posts citing bullish options plays on Opendoor posted to the r/WallStreetBets Reddit page, cumulatively garnering more than 2,000 comments [3].

Opendoor's stock has exploded higher in recent weeks, rising another 10.8% on Thursday to bring its one-month gains to nearly 200%. Jackson's thesis is that the company faces no true competition now that Zillow and Redfin have exited the iBuyer game. He predicts that Opendoor could be a 100-bagger over the next few years, comparing it to a bet on Coinbase (COIN) before the collapse of FTX [3].

When Opendoor reports earnings on Aug. 5, Jackson predicts the company will show its first quarter of positive EBITDA. He also agrees with analyst consensus estimates that Opendoor is likely to print revenue of $11.6 billion in FY 2029. In fiscal 2024, Opendoor's revenue tallied $5.2 billion [3].

References:
[1] https://www.asktraders.com/analysis/opendoor-technologies-stock-rallys-strongly-off-lows/
[2] https://finance.yahoo.com/news/why-opendoor-open-stock-rocketing-153551024.html
[3] https://finance.yahoo.com/news/opendoor-stock-jumps-another-10-as-retail-piles-in-on-potential-100x-rally-in-next-few-years-202539566.html