Short-seller Chris Brown is not a believer in Energous’ technology.
Energous “is a worthless equity,” he said at the Kase Learning: The Art, Pain and Opportunity of Short Selling conference in New York. “Energous is a fraud, one which is burning a lot of cash and will run out of money. … We expect the stock will go to $0.”
The investor doubted Apple will ever use Energous’ wireless charging technology, as some investors are hoping for. VentureBeat has reported regulatory documents indicated Energous and Apple have been working together since 2014.
Brown said what the company claims will “break the laws of physics” and has safety issues. He also noted the high levels of insider selling from company management.
“The company has no chance to make a commercially successful product,” he said. “The CEO pretty much lies all the time.”
Brown is managing member of hedge fund Aristides Capital.
Energous did not immediately respond to a request for comment.