By Katherine Hamilton
Opendoor Technologies named Shopify Chief Operating Officer Kaz Nejatian as its next chief executive, as it rides the wave as retail investors' new favorite meme stock.
Nejatian's appointment comes after the online housing platform's chief executive was ousted in August due to pressure from retail investors. Opendoor said it is also emphasizing artificial intelligence and bringing its founders back to its board as it navigates its new position as a meme stock.
The stock jumped 12%, to $6.54, in after-hours trading Wednesday following the appointment. Shares have climbed more 250% this year, rallying from a low of 51 cents in June.
Opendoor's stock rose by threefold in the month of July alone after it went viral online. But August's quarterly earnings report disappointed its newfound investor base, who believed the company should be doing more to capitalize on its position, such as pivoting to AI. Social-media users began calling for Chief Executive Carrie Wheeler's departure, and she resigned in an Aug. 15 statement.
Opendoor said Wednesday it chose Nejatian because he has a track record of transforming products and using AI.
"Literally there was only one choice for the job: Kaz," co-founder and newly appointed board chair Keith Rabois said, adding that Nejatian "understands the potential for AI to radically reshape a company's entire operations."
Nejatian said AI can help make buying and selling a house simpler, faster and more certain.
Opendoor said it was "going into founder mode" by bringing Rabois and fellow co-founder Eric Wu back to the board, effective immediately.
"Rabois and Wu, who co-founded Opendoor in 2013, will inject the 'founder DNA' and energy at a pivotal moment for Opendoor," board member Eric Feder said.
Write to Katherine Hamilton at katherine.hamilton@wsj.com
(END) Dow Jones Newswires
September 10, 2025 18:13 ET (22:13 GMT)
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