Why Opendoor Shares Are Surging 23% After Hours

Home buying and selling company Opendoor Technologies Inc OPEN reported second-quarter financial results after hours Wednesday.

What Happened: Opendoor, which went public via SPAC merger, reported second-quarter revenue of $1.2 billion, up 59% from the first quarter. The revenue total beat a street estimate of $1.06 billion.

The company sold 3,481 homes in the second quarter, up 41% from the first quarter. Opendoor acquired 8,494 homes in the second quarter, a company record and 136% increase from the homes acquired in the first quarter.

Opendoor entered 12 new markets in the second quarter to bring its total to 41 markets. More expansion continues for the company.

What’s Next: Opendoor is guiding for third quarter revenue to come in a range of $1.8 billion to $1.9 billion. The estimate is ahead of Street consensus of $1.5 billion.

OPEN Price Action: Opendoor shares are up 23% to $17.81 after-hours trading.