Should You Buy Opendoor Technologies Stock Today?
Animal spirits have returned to the stock market in a big way. Stocks are ripping higher left and right, with investors as optimistic as they have been in years. Opendoor Technologies (NASDAQ: OPEN) is the latest example of this theme, with the left-for-dead real estate company soaring over 300% in the last month. The highly shorted stock was recently trading below $1.00 but is now at $2.25 a share even though the company has given no fundamental updates to its business, which has never generated a profit.
Should you get in on the party and buy Opendoor Technologies stock today? Let's investigate further to see if this rapid stock turnaround means Opendoor is a buy for your portfolio.
Opendoor pegs itself as an e-commerce portal for residential real estate transactions, pitching itself to homebuyers and sellers who are frustrated with the slow traditional buying process for homes. With instant cash offers on homes, Opendoor can give customers rapid liquidity and speed up the process of selling a home, then flip it to a buyer. With the speed and ease-of-use with the platform, Opendoor believes it can buy homes at a slight discount and sell them at a premium, earning a profit in the small difference between the buying and selling prices for its housing inventory.
Source Fool.com
