Opendoor could expand and evolve into a more diversified real estate platform.
Joby is establishing an early mover’s advantage in the nascent eVTOL market.
Robinhood will continue to pull customers away from traditional brokerages.
10 stocks we like better than Opendoor Technologies ›
Peter Lynch once famously said that “everyone is a long-term investor until the market goes down.” That’s a pretty important quote to remember as the S&P 500 hovers near its record highs and trades at a historically high 30 times earnings.
In this frothy market, the true long-term investors will only accumulate the stocks they’d be willing to own for at least the next 20 years. Let’s take a look at three stocks that have skyrocketed over the past year but still fit that profile: Opendoor Technologies (NASDAQ: OPEN), Joby Aviation (NYSE: JOBY), and Robinhood Markets (NASDAQ: HOOD).
Image source: Getty Images.
Opendoor is the top instant buyer (iBuyer) of homes in America. It uses its artificial intelligence (AI) algorithms to make instant cash offers for homes, fixes them up, and relists them on its own marketplace. Its business thrived when interest rates were low and the housing market was hot, but it struggled over the past three years as higher rates ended the housing boom. Yet its stock soared over the past year even though the Federal Reserve’s five rate cuts in 2024 and 2025 didn’t quickly reduce those elevated mortgage rates.
That rally was mainly driven by the appointment of former Shopify Chief Operating Officer Kaz Nejatian as its new CEO, its co-founders Keith Rabois and Eric Wu returning to the board, and Jane Street’s disclosure of a new 5.9% stake in the company. Opendoor also diversified its business with more listing partnerships to reduce its dependence on its capital-intensive iBuying platform, and it streamlined its business by upgrading its AI pricing algorithms.
All of these catalysts turned Opendoor into a meme stock over the past few months, but it still doesn’t seem overvalued at just 1.2 times next year’s sales….
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