Why Opendoor Technologies Stock Plummeted This Week
Key Points
Opendoor stock lost ground this week as investors took profits following a big gain late in last week's trading.
Even though the stock fell by double digits this week, it's still on a massive winning streak in 2025.
Opendoor has seen huge gains thanks to surging support from retail investors, and the selection of the company's next CEO could be a big valuation catalyst.
Opendoor Technologies (NASDAQ: OPEN) stock saw a double-digit valuation slide across this week's trading. The real estate iBuyer specialist's share price fell 11.2% from its level at the end of the previous week's market close.
Opendoor saw a big valuation pullback early in the week's trading as investors moved to take profits on recent gains triggered by news on interest rates. While the company's share price took a significant hit this week, it's still up 178% in 2025.
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Opendoor stock slipped as investors cashed in gains
Last week, Federal Reserve Chair Jerome Powell gave a speech in which he seemed to indicate that the Federal Reserve will cut interest rates at its September meeting. The news helped spur big gains for Opendoor stock, but some investors moved to lock in gains on the heels of what's been an incredible rally for the iBuyer real estate specialist.
While the company lost ground over the last week of trading, it did see gains later in the week connected to the stock being featured by host Jim Cramer on CNBC's Mad Money -- with news that interim CEO Shrisha Radhakrishna had purchased 30,000 shares on the open market -- and another bullish shoutout from Eric Jackson, the founder and CEO of EMJ Capital. Jackson's championing of Opendoor has played a big role in the stock's gains this year.
What's next for Opendoor?
Opendoor is still in the process of finding its next CEO, following the departure of former CEO Carrie Wheeler in the face of pressure from retail investors and other sources. Jackson's touting of Opendoor as a potentially explosive investment play has helped the real estate tech player achieve meme stock status and deliver an eye-popping rally. And there's a good chance that alignment with the priorities of retail investors will play a big role in the selection of the company's next chief executive.
Keith Noonan has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.