Latest news with #Carvana-style
Business Insider
19-07-2025
- Business
- Business Insider
This Is Why Opendoor Stock (OPEN) Has Surged 180% in the Past Week
Digital real estate platform Opendoor Technologies (OPEN) has recently exploded in popularity among retail investors, as its stock has jumped by 180% over the past week. The surge came after a bullish X post on July 14 by Eric Jackson, the head of EMJ Capital and an early Carvana (CVNA) bull, who shared a turnaround thesis for the struggling company and placed a long-term price target of $82 per share. Since that post, trading activity in Opendoor shares has soared by 140% compared to the previous month, according to VandaTrack. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. Although Jackson isn't officially launching an activist campaign, he told Yahoo Finance that there are potential strategic changes that, if announced, could send the stock soaring. Opendoor's business model uses iBuyer technology (online platforms that purchase homes directly from sellers) to purchase homes for cash, make small repairs, and flip them for profit. However, rising interest rates and a slowing housing market hurt sales and added pressure to its debt-heavy model, which caused it to struggle. Indeed, after spending over a month trading at under $1 per share, Opendoor received a Nasdaq (NDAQ) delisting warning in May. Then, in June, it agreed to pay $39 million to settle a lawsuit from investors who claimed that its pricing algorithms couldn't keep up with market changes. Nevertheless, Jackson expects the company to report its first positive EBITDA in August and praised its new approach of partnering with brokers instead of competing with them. In addition, with rivals like Zillow (Z) and Redfin exiting the iBuyer space, Opendoor now faces little direct competition, which gives investors hope that it could pull off a Carvana-style comeback. Is OPEN 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, as indicated by the graphic below. Furthermore, the average OPEN price target of $0.83 per share implies 63.1% downside risk.
Yahoo
19-03-2025
- Automotive
- Yahoo
Amazon Wants To Get Into The Used Car Business
Amazon, the seller of everything, apparently wants to try its hand at selling used cars next. Fan Jin, the director of the online retail giant's Amazon Autos unit, says the company will be "getting into used cars soon." It recently started selling Hyundais on its Amazon Autos platform. Jin made the announcement on Automotive News' Daily Drive podcast earlier this week. She says people in 68 markets can now buy a new Hyundai on Amazon. The company is working to get as many dealers as possible signed up with them and able to sell both their new and used inventories. The retainer has also expressed interest in working with other car manufacturers to get their new vehicles on its platform. Amazon's goal here isn't to be like an AutoTrader or type of used car market. In Jin's mind, it is more of a Carvana-style system where everything can be done on the website. Here's more from AutoNews: "We see ourselves as providing this channel for dealers for a fully e-commerce transaction," she said. Delivering an online marketplace for used cars could position dealers to compete with the likes of Carvana, which sells used vehicles directly to consumers via a fully digital environment. Since Amazon Autos is relying on dealers for their inventory, the platform can be leveraged as an omnichannel for those who want to shop online and visit a dealership during their transaction. Read more: Hertz Is Selling Its Fleet Of Rental Tesla Model 3s For Cheap Jin does admit that even the most tech-forward of buyers probably would want to visit a dealership first to physically check out what they're planning to purchase before actually doing so. "They may start online, then go to the dealer to look and have a test drive, then come back, think about it, and then finish the purchase online," she said. The cars themselves aren't Amazon Auto's only interest, though. The company is reportedly mulling over the idea of selling optional add-ons like extended warranties, vehicle service contracts and maintenance packages, according to Automotive News. We're rapidly entering a brave new world for car buying, and it would seem Amazon is the leader. I've had moral qualms with Amazon in the past, but I suppose there's really nothing wrong with giving customers another choice for how to buy their next vehicle. Nobody really likes going to the dealer, so maybe an all-online experience like this one could be a welcome addition to the market. Want more like this? Join the Jalopnik newsletter to get the latest auto news sent straight to your inbox... Read the original article on Jalopnik.
