Particle.news
Download on the App Store

Opendoor Soars as Rate-Cut Bets, Activist Campaign Overpower Citron Broadside

A soft U.S. jobs report boosted rate-cut bets, turning Opendoor into a momentum trade again.

Overview

  • Shares jumped as much as 15% intraday to $6.85 on Friday before closing up 11.6% at $6.65 on heavy volume.
  • The August jobs report showed 22,000 non-farm jobs added versus about 75,000 expected, increasing the odds of a Federal Reserve cut on Sept. 16–17.
  • Lower rates could ease Opendoor’s financing costs and support housing demand, which investors see as a potential tailwind for the business.
  • Citron Research attacked the company’s model on social media, yet the stock quickly rebounded and finished higher despite the short-seller criticism.
  • Enthusiasm was also tied to an investor campaign urging co-founder Keith Rabois’ return to the board, as the stock extends a retail-driven rally of roughly 300% this year.