Opendoor Technologies (OPEN), the online real estate company, jumped on Friday after a new filing showed that hedge fund DE Shaw owns a 6.4% stake in the company as of November 13. The stock closed at $6.75, up 9.58% on the day, and is now up more than 325% in 2025.
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The reaction echoed a move seen in late September, when Jane Street revealed a 5.9% stake and the stock jumped more than 7%. With both Jane Street and now DE Shaw on the shareholder list, some traders believe more large firms are starting to show interest in the company. That sentiment likely helped support Friday’s move.
Rate-Cut Hopes Added to the Rally
Another factor driving the stock higher was improving sentiment around interest rates. After comments from New York Fed President John Williams, traders began pricing in a higher chance of a potential rate cut in December.
Lower mortgage rates make home buying more affordable and can help restart demand in the housing market. For Opendoor, any pickup in buyer activity could mean more sales and better pricing. Since the company relies on steady home sales, even a small improvement in borrowing costs can make a meaningful difference.
Shaw’s Stake May Not Signal a Long-Term Bullish Call
Even though the DE Shaw filing sparked excitement, the details suggest the move may be more of a short-term trade than a long-term bet. Most of those shares are held under DE Shaw Valence Portfolios, a fund that focuses on quick, trading-based strategies rather than long-term investing. So the filing alone doesn’t confirm that DE Shaw believes in Opendoor’s long-term future.
One likely reason for the timing is Opendoor’s recent special warrant dividend. To receive those warrants, investors had to hold the stock on November 18. For a fund like DE Shaw Valence, the value may come from the warrants, not the stock itself. These warrants can be traded or used with listed options to take advantage of short-term price gaps.
In that case, the stake looks more like a short-term trade than a signal of long-term confidence.
Is OPEN Stock a Good Buy?
Overall, analysts remain cautious about Opendoor’s outlook. Wall Street analysts have a Hold consensus rating on OPEN stock based on one Buy, two Holds, and two Sells assigned in the past three months. Furthermore, the average OPEN price target of $4.35 per share implies 35.56% downside risk.
