Opendoor (OPEN) shares surged over 100% as retail traders embraced the digital real estate platform. Hedge fund manager Eric Jackson’s bullish stance fueled the rally, with OPEN stock trading at 9x its price in June. Jackson predicts a potential 100-bagger for OPEN, attracting retail investors and drawing comparisons to meme stocks like GameStop (GME).

Despite the excitement, caution is advised due to Opendoor’s financial challenges. The company struggles with profitability and carries significant debt, limiting operational flexibility. Opendoor stock is trading well above analysts’ mean target, with a consensus “Hold” rating and a downside potential of over 65% from current levels.

Investors should be wary of the current hype surrounding Opendoor shares, considering the company’s financial obstacles and debt burden. While the stock has seen significant gains, caution is advised given the potential downside risk. Analysts maintain a “Hold” rating on OPEN with a mean target indicating substantial downside from current levels.

Read more at Yahoo Finance: Opendoor Stock Is Surging Higher in a Frenzied Retail Rally. How Should You Play OPEN Shares Here?