Opendoor (OPEN) Stock: Surges 50% as Investors Rally Behind Co-Founder Return Campaign
TLDR
- Opendoor stock jumped 50% last week, hitting a three-year high as retail traders support bringing back co-founder Keith Rabois
- Hedge fund manager Eric Jackson leads the “Bring Back Rabois” campaign after taking a large position in the company
- CEO Carrie Wheeler left and the company scrapped its reverse stock split under investor pressure
- Short interest reached 21%, creating potential short squeeze conditions according to retail traders
- Stock gained 315% year-to-date with interest rate cuts and CEO search driving momentum
Opendoor Technologies dominated retail trading discussions Sunday after completing a remarkable 50% weekly surge. The real estate technology company’s shares climbed to a three-year high, closing Friday at $6.65.
The rally stems from growing investor support for Keith Rabois’ return to the board. Rabois co-founded Opendoor but currently has no role in company operations.
Eric Jackson of EMJ Capital spearheads the movement. The hedge fund manager has pushed for leadership changes since July and holds a substantial stake in the company.
Jackson’s social media campaign gained serious traction among retail investors. His “Bring Back Rabois” effort highlights the co-founder’s aggressive business approach versus previous management’s cautious strategy.
Leadership Shakeup Fuels Momentum
The pressure campaign delivered immediate results. CEO Carrie Wheeler recently departed under investor demands for change.
Opendoor also cancelled its planned reverse stock split. The decision came as retail interest surged and Jackson escalated his efforts.
The company pivoted its business model in August. Rather than directly buying and selling homes, Opendoor now focuses on supporting real estate agents through AI-powered tools.
Jackson threatened legal action over delays in CEO selection. He demands Rabois’ formal involvement in the search process and warned of potential shareholder lawsuits.
The hedge fund chief set ambitious price targets. He believes Opendoor could reach $82, $200, or even $500 per share under new leadership.
Short Interest Creates Squeeze Setup
Short positions in Opendoor climbed to 21%, hitting record levels according to Koyfin data. The high bearish betting creates potential for forced covering.
Retail traders see textbook short squeeze conditions forming. Friday’s massive 570 million share volume nearly matched the entire 629 million share float.
“The float rotated on Friday,” noted one Stocktwits user. “If volume rips through tomorrow, then $7.50-$8 is possible.”
Market Dynamics Support Rally
Retail sentiment shifted to “extremely bullish” by Sunday evening. This marked an increase from Friday’s “bullish” reading on trading platforms.
Technical resistance sits around $6.87 based on recent trading patterns. Breakthrough above this level could target the $7.50-$8.00 range.
Interest rate cut expectations provide additional support. Lower borrowing costs would benefit real estate companies by making home purchases more affordable for buyers.
The stock trades with strong year-to-date performance. Opendoor shares gained approximately 315% in 2025, ranking among top performers in real estate technology.
Friday’s session saw an 11.58% gain to cap the strong weekly showing. The stock touched $6.85 during trading before settling at the closing price.
