Opendoor Technologies Inc's stock plummeted 8.21% during intraday trading on Friday, reflecting significant selling pressure in the regular trading session.
The sharp decline followed a bearish report from short-selling firm J Capital Research, which questioned Opendoor's business model and profitability outlook. The institution expressed particular skepticism toward the company's "Opendoor 2.0" platform transformation strategy that aims to achieve faster inventory turnover and enhanced AI capabilities.
The negative report triggered accelerated profit-taking from investors who had previously accumulated positions during the stock's rally, which was driven by multiple positive factors including the company's formal inclusion in the Russell 3000 Index and expectations around its AI transformation initiatives.
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