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

McCormick (MKC) expects pricing to drive sales growth for the full year of 2022

Shares of McCormick & Co. Inc. (NYSE: MKC) were up on Thursday after the company beat sales estimates for the third quarter of 2022. Adjusted earnings, however, decreased from the

STZ Infographic: Highlights of Constellation Brands’ Q2 2023 earnings results

Constellation Brands, Inc. (NYSE: STZ) announced second-quarter 2023 earnings results on Thursday, reporting a 12% increase in net sales. Comparable earnings, adjusted for one-off items, climbed 33% year-over-year to $3.17

Conagra Brands (CAG) Q1 earnings beat estimates on higher revenues

Packaged Foods company Conagra Brands Inc. (NYSE: CAG) on Thursday said its first-quarter profit increased supported by a 10% revenue growth. Earnings also came in above the consensus forecast. At $2.90

Tags

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