Shares of Opendoor Technologies (OPEN) plunged almost 8% on Monday after the company said it would postpone its special shareholder meeting on proposed reverse stock split plans to August 27, 2025. However, OPEN stock gained nearly 3% in pre-market trading on Tuesday.
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Notably, Opendoor Technologies is a digital platform that streamlines the home buying and selling process. OPEN stock has soared over 340% in the last month. The stock’s recent rally began after a July 14 post on X by EMJ Capital’s Eric Jackson, who shared a bullish outlook for the company and set an ambitious long-term price target of $82 per share.
Opendoor Delays Reverse Stock Split Decision
Opendoor said it’s pushing back its special shareholder meeting on the reverse stock split plans to August 27, 2025. The meeting was first set for July 28 but was delayed to give the company more time to review market conditions. The company also pointed to recent stock volatility and its impact on the share price as reasons for the delay.
The board clarified that even if the proposal is approved, it doesn’t mean a reverse split will happen; it would just give them the option to do so if needed.
The news was perceived negatively by investors, as a reverse stock split often signals underlying financial struggles or an effort to meet minimum stock price requirements for continued exchange listing. Meanwhile, Jackson has openly criticized the company’s reverse stock split plan, calling it “stupid.”
Is Opendoor Stock a Good Buy?
Turning to Wall Street, analysts have a Hold consensus rating on OPEN stock based on one Buy, three Holds, and one Sell assigned in the past three months. Furthermore, the average OPEN price target of $0.83 per share implies 65% downside risk.
