4 Reasons Not To Buy Slack Stock

Описание: ▬▬▬▬▬▬▬▬▬▬▬▬▬▬ஜ۩۞۩ஜ▬▬▬▬▬▬▬▬▬▬▬
▓▓▓▒▒▒░░░ Thank You For Subscribing ░░░▒▒▒▓▓▓
▬▬▬▬▬▬▬▬▬▬▬▬▬▬ஜ۩۞۩ஜ▬▬▬▬▬▬▬▬▬▬▬
Just because you use a company's product, it does not mean you should buy its stock. For example, chances are that you've heard of Lyft, but if you had invested in its shares when it went public on March 29, your holdings would be down 9%.

As I wrote on April 11, Lyft and its bigger rival, Uber, are in a terrible industry -- the low barriers to entry and huge private capital flows into the industry mean that competitors cut price to gain market share even as payments to drivers keep rising.

I think you're better off investing in companies that have figured out how to earn a profit before they go public and are still growing very rapidly. As I wrote in April, a case in point is Zoom Video Communications which provides an excellent example of how to build a scalable business model. Since its April 18 IPO, Zoom shares are up 65%.


Now San Francisco-based Slack Technologies -- a business communications service that gives workers wide access to messages -- is going public in a so-called direct listing. I use Slack's product -- but do not love it. (Slack claims in its April 2019 prospectus that many do).

However, my feelings about its product are not among the four reasons why I would avoid its stock.