Jane Street’s Opendoor Stake Highlights Meme Stock Appeal to Institutional Investors

Trading powerhouse Jane Street Capital has taken a 5.9% position in Opendoor Technologies, valuing its 44 million shares at approximately $362 million. The disclosure sent OPEN shares soaring 8% Thursday, extending a 450% year-to-date rally fueled by retail trader enthusiasm.

The investment marks a notable convergence between meme stock mania and institutional interest. While retail investors have propelled Opendoor's meteoric rise since July through social media channels, Jane Street's involvement suggests sophisticated traders may be developing strategies around volatile retail favorites.

Opendoor's leadership shakeup earlier this month - including the appointment of ex-Shopify executive Kaz Nejatian as CEO - appears to have further galvanized market interest. The real estate platform's transformation from pandemic-era casualty to 2024's breakout meme stock continues to defy conventional valuation metrics.