Opendoor Stock Extends Rally Amid Rate-Cut Hopes and New Institutional Stakes

August 25, 2025 - Opendoor Technologies Inc. (NASDAQ: OPEN) shares continued their torrid ascent on Monday, extending last week’s rate-cut-driven surge and absorbing fresh institutional interest.

Opendoor stock gapped up 8.4% in late-morning trading, building on a 42% rally from Friday when Federal Reserve Chair Jerome Powell signaled potential interest-rate cuts as early as September-fueling hopes for a more favorable borrowing environment in the housing market. The jump marked the fourth consecutive positive session, lifting the share price above $5 for the first time since 2022 and making OPEN one of the S&P 500’s leading gainers at the open.

Adding to the momentum, two prominent hedge funds disclosed new positions in Opendoor on Monday, driving a 22% intraday increase in trading volume. Qube Research & Technologies and Weiss Asset Management collectively purchased over 22 million shares valued at approximately $54 million during the second quarter, signaling growing institutional confidence in the real estate platform’s turnaround prospects despite its ongoing unprofitability.

Retail enthusiasm remains robust on social platforms, where traders continue to target $10 share-price forecasts. While Wall Street analysts maintain a consensus “Moderate Sell” rating with an average price target near $1.02-implying more than 80% downside-Opendoor’s year-to-date gains now exceed 213%, dwarfing the broader market.

As Opendoor searches for a permanent CEO amid leadership changes and navigates its path to profitability, investors will closely watch whether the twin catalysts of Fed rate-cut expectations and renewed institutional backing can sustain the stock’s extraordinary momentum.