Short-seller Jim Chanos is still betting against Tesla saying the stock is 'ridiculously overvalued' - and champions Nvidia as the 'It girl' of AI
Sep 15, 2023 - markets.businessinsider.com
Famed short-seller Jim Chanos has expressed his continued bearish stance on Tesla, describing the stock as "ridiculously overvalued" and a "hopes and dreams stock." He criticized the company's high trading value and stagnant earnings growth. Chanos, the founder of Chanos & Company, has been a long-time critic of Tesla, citing increasing competition and the limited size of the luxury-car market.
On the other hand, Chanos praised Nvidia, calling it the "It girl" of the artificial intelligence (AI) boom, and stated that he is not shorting the company. Despite this, he warned of the potential downsides and risks associated with the growth of AI technology, comparing it to the internet boom of the 90s which ended up harming as many businesses as it created.
Key takeaways:
Jim Chanos, a famed short-seller, remains bearish on Tesla, describing the stock as 'ridiculously overvalued'.
Chanos views Tesla as a 'hopes and dreams' stock that epitomises the current bull market.
Chanos praised Nvidia as the 'It girl' of the artificial intelligence boom, and confirmed he is not shorting the semiconductor company.
He warned of the potential downsides of artificial intelligence, comparing its growth and potential impact to the internet boom of the 90s.
