Why Opendoor Stock Jumped 15% in April

Shares of Opendoor Technologies (NASDAQ:OPEN) gained 15% in April, according to data provided by S&P Global Market Intelligence. It’s likely heading up as it gets closer to the next earnings report, and it got a boost from a bullish investor take.

Is the recovery happening?

Opendoor is in the right place at the wrong time. Its main business is ibuying, or buying and flipping homes through its online marketplace. Its disruptive real estate technology platform may have the right idea for the future of real estate, but in a poor housing market, its business has been under major pressure.

The bulls argue that the potential is there, waiting to get out, while the bears say it’s a money pit.

With a new CEO leading the company, at the very least, there’s been real change. And in the 2025 fourth quarter, the most recent one reported, there was even progress. Some of the highlights include a 46% increase in home acquisitions from the previous quarter and a more than 300% increase in homes under contract. Some of the lowlights were a drop in gross margin to 7.7% and a drop in contribution margin to 1%. However, some contraction is expected as management implements its strategy.

Getting in close to the bottom

This is all very new, so it’s still a risky play. There are merits to the investing thesis, but there isn’t enough to feel confident about what the company might look like in five or 10 years, so it does feel a bit like a gamble.

Eric Jackson of EMJ Capital is one investor who has maintained a highly bullish take. He reiterated an $82 price target in April, which is a 1,400% increase from today’s price, and sees it eventually hitting $200 and $500.

Jackson’s original thoughts on Opendoor led to the CEO ousting last year, and while at that time, retail investors pushed the stock 1,000% higher in several days, the current response has been positive but muted. Opendoor stock is still up 630% over the past year.

Jackson pointed out that now is when the company is setting itself up, which is why it’s the optimal time to buy; the housing market has started to improve, and there’s a two-quarter lag between increased house buying and increased house selling. That means the results won’t show up until the end of the year.

Opendoor reports first-quarter earnings this week, and it may or may not demonstrate progress, but the real story is the long-term opportunity. However, it’s still a meme investor magnet, and it’s probably not the right time to buy for anyone but the most risk-tolerant investor.