Opendour’s Proposal: Real Estate Confidence, Good Market or Bad

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Is this a real estate dream? You decide to sell your home, but instead of renovating it, putting it on stage and going through a few weeks of screenings, you go to the website, enter your basic information, upload a video tour, receive a cash offer from the company, and you »Re-done. Or, if the offer does not suit you, use the company,

Opendoor Technologies,

to contact the agent.

Opendoor is an iBuyer, which means it will buy online. The company went public in December following a merger with a specialized stock purchase company and operates in 39 markets. The timing was right, with vaccinations and rediscovery approaching. As Opendoor CFO Carrie Wheeler said on Barron’s At last week’s Investing in Tech conference, the housing market, with low interest rates, pent-up demand and an influx of millennial homebuyers, is “the hottest real estate market that any of us have probably ever seen. “

However, Opendoor stock is struggling, according to FactSet, perhaps because it is not yet profitable. The $ 16.60 stock fell more than 5% over the year. But Wall Street is clearly intrigued. Of the eight analysts covering Opendoor, five refer to the stock as Buy and three as Hold.

Wheeler argued that Opendur was independent of the housing cycle. “Our product really resonates because while consumers are eager to sell their home … they desperately need the convenience and confidence that our product provides,” she said. “It’s cycle and market agnostic.” The real market trend is “going from offline to online”. She added that Opendour’s value proposition should only increase in a softer market.

Last week

So much for the records

IN

S&P 500

as well as

Nasdaq Composite

started the week with new records, stumbled before a Federal Reserve meeting, fell, rebounded, and fell again. Elon Musk continued to play with cryptocurrency investors, tweeting again that Tesla could accept Bitcoin to buy cars. Retail sales declined in May due to changes in shopping habits. Lumber and copper prices fell. Friday was ugly and within a week

Dow Jones Industrial Average

hit by a brick, down 3.4% to 33,290.08; S&P 500 fell 1.9% to 4166.45; and the Nasdaq fell just 0.3% to 14,030.38.

Course correction

The Fed’s two-day rate-setting committee ended unchanged on interest rates or bond purchases, but suggested they could raise rates once or twice by the end of 2023. This drove stocks down, and Fed Chairman Powell was suggesting, well, maybe not.

Biden abroad

President Joe Biden amazed Europe with a host of photo operations and meetings – with British Prime Minister Boris Johnson, who announced the revised Atlantic Charter; the G7, which supported the US global corporate tax initiative and opposition to China and Russia; and with the European Union, which led to the settlement of a 17-year trade dispute over aircraft subsidies. In addition, Biden met in Geneva with the cordial but unyielding Russian President Vladimir Putin. Biden also drank tea with the Queen at Windsor Castle, noting that she “reminded me of my mother.”

Looking for leaks

Trump’s Justice Department has summoned tapes of telephone conversations between journalists, Democratic congressmen, their employees and families, and even former White House adviser Donald McGhan from

Apple,

and imposed a number of court orders. Meanwhile, a House committee issued emails reporting White House attempts to pressure the Justice Department to cancel the election.

Hat-trick ACA

The Supreme Court rejected a third attempt to overturn the Affordable Care Act, 7-2. The decision found that the states that had sued were not eligible because they could not bring charges.

Chronicle of the conclusion of transactions

Mudrick Capital saw its strategy to profit from meme stocks

AMC Entertainment

boomerang after he bought and quickly sold rallying shares, only to get hit after his call options were in a short squeeze … Lordstown Motors CEO and CFO stepped down a week after the electric truck maker declared that he was running out of money … The third point of Daniel Loeb announced a “significant share” in the French

Vivendi,

who sells part of Bill Ackman’s Universal Music SPAC … Platinum Equity buys McGraw Hill from

Apollo Global Control

for $ 4.5 billion, including debts … Danaher agreed to buy Aldevron, a biologics supplier, for $ 9.6 billion … DOJ challenged insurance broker Aon’s $ 35 billion merger with Willis

Towers Watson

on antitrust grounds.

Write to Shaina Mishkina on shaina.mishkin@dowjones.com