Categories LATEST

NYU professor who predicted Amazon-Whole Foods deal forecasts death of Tesla, 4 others

All hell broke loose during the weekend when Scott Galloway, a professor who teaches marketing at the NYU Stern School of Business and the author of Digital IQ Index, predicted that electric vehicle pioneer Tesla (NASDAQ: TSLA) would vanish, or lose 80% of its value within the next 10 years.

Even as Tesla fanboys expressed their disapproval of this prediction pointing out a large number of variables, Galloway said the Elon Musk-led firm lacks the scale to operate in a low-margin segment. He feels that the company won’t be able to reach a delivery target, where it starts gaining profits.

Will Tesla stock continue to fall on tariff uncertainty
Photo Courtesy: Tesla

Notably, the prediction comes a week after Tesla fell short of market expectations on vehicle deliveries.

Galloway had earlier successfully predicted the merger of Amazon (NASDAQ: AMZN) and Whole Foods, which finally happened in 2017. However, his prior prediction on Tesla, where he said the company would get acquired within 2019 after the stock falls below $100 per share, has not come true.  

READ: Softbank’s hopes are now pinned on this rapid-growth “WeWork-like” unicorn

There are four more companies on Galloway’s death list – WeWork, which recently postponed its IPO over overvaluation concerns, Lyft (NASDAQ: LYFT), which had a lackluster IPO, financial services firm Robinhood and the world’s third-largest hotel chain Oyo.

Further, he listed 10 unicorns as overvalued. These were Pinterest (NYSE: PINS), Snap (NYSE: SNAP), Twitter (NYSE: TWTR), Peloton, Slack (NYSE: WORK), DoorDash, Lime, Palantir, Uber (NYSE: UBER) and Compass (NYSE: CODI).

Apart from being a professor, Galloway is also the founder of business intelligence firm L2 Inc, which was bought by Gartner in 2017.

Browse through our earnings calendar and get all scheduled earnings announcements, analyst/investor conference and much more!

Most Popular

Earnings calendar for the week of April 12

The benchmark S&P 500 index set yet another record this week and stayed above the 4,000-mark. Meanwhile, Dow Jones suffered a downturn mid-week, before recouping the losses amid strong gains

Okta (OKTA) rides COVID tailwind; stock is worth adding to watchlist

Over the years, the nature of security threats in cyberspace constantly changed, in line with the transformation the IT sector is undergoing. Okta, Inc. (NASDAQ: OKTA), a specialist in cloud-based

“The important thing is to get the economy onto a high-growth trajectory”: Duvvuri Subbarao

In a freewheeling chat with Radhakrishnan Chonat and Aartie Rau, former RBI Governor D Subbarao speaks about issues prevailing in the economy, and the outlook going forward. Q: Even as the

Tags

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top