Why Opendoor Technologies Stock Popped This Week
Shares of Opendoor Technologies (NASDAQ: OPEN) shot up by as much as 45% this week, according to data from S&P Global Market Intelligence. The real estate buying platform -- known as an iBuyer -- rose due to a report that housing prices in the United States increased in April. The stock is heavily shorted, making it much more volatile than the typical equity security.
As of the close on Friday, June 30, shares of Opendoor are up 37% this week.
Opendoor's business works generally like this: The company offers to buy a home from the owner(s), giving them an all-cash offer. It takes a small fee on the transaction that it keeps itself. Then, Opendoor turns around and tries to sell this home to the market, hopefully making a profit in the process while also offering some other real estate services as add-ons for its customers.
Source Fool.com
