Mike Alfred Buys The Dip In OPEN Stock, Calls Post-Earnings Sell-Off A ‘Blatant Manipulation’

• OPEN shares slumped more than 6% after the company posted a 38% decline in first-quarter revenue and a wider-than-expected loss.
• Morgan Stanley lowered the firm’s price target to $5.50 from $6 but maintained an ‘Equal Weight’ rating, according to The Fly.
• Opendoor expects second-quarter revenue to rise 25% sequentially.

Alpine Fox Capital founder and crypto entrepreneur Mike Alfred said on Friday that he scooped up 270,000 shares of Opendoor Technologies Inc. (OPEN) at an average price of $4.89, calling the recent selloff a “blatant manipulation.”

“Never miss an opportunity to take advantage of blatant manipulation. Don’t complain, just profit. Easy mode,” Alfred said in a post on X.

OPEN shares were down by more than 6% at the time of writing.

OPEN’s Mixed Q1 Leads To Price Target Cut By Morgan Stanley

On Thursday, the company posted a 38% decline in first-quarter (Q1) revenue to $720 million, though it came in above estimates of $667.2 million, according to Fiscal.ai data. Net loss more than doubled to $173 million, or a loss of $0.18 per share, wider than Wall Street’s estimates of $0.1 per share loss.

Opendoor expects second-quarter (Q2) revenue to rise 25% sequentially. The company also said it expects to generate adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) in Q2 and continue doing so in the following quarters.

Following the results, Morgan Stanley lowered the company’s price target to $5.50 from $6 but maintained an ‘Equal Weight’ rating, according to The Fly.

Retail Retains Hope In OPEN

Retail sentiment for OPEN on Stocktwits trended in the ‘extremely bullish’ zone, while message volumes on the platform surged by more than 180% over a 24-hour period.

Despite the slump, retail traders have been backing the stock. One user said housing stocks are set to become the “hottest ticket on Wall Street.”

Another user expects the stock to surge into double-digit territory from its current price of around $5.

While the stock has shed around 15% so far this year, its one-year gains stand at more than 580%.

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