Casper is positioning itself as a tech company. But it's not one. - Business Insider

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Buzzy mattress maker Casper is pitching itself as a tech company, just like WeWork did. Here why business experts are dubious.

But business experts who spoke with Business Insider aren't buying it. And they doubt whether Wall Street investors will either.

Private investors have also accommodated Casper's losses while it has focused on growth. It lost $65 million in the first three quarters of last year, or about 21 cents for every $1 of revenue it took in. Its cash outflow during that period was even worse; its operations and investments in property and equipment burned through about $73 million.

"We believe that well-designed sleep technology can significantly improve sleep quality and behaviors," Casper said in the document. "We aspire to develop new sleep technologies ... such as products that address the environmental factors of light, sound, touch, and scent."While Casper may be particularly savvy in its use of technology and may have a bunch of tech products in the works, there's little evidence right now it actually should be considered a tech company.

"I can't call this a tech," said Dan Morgan, a senior portfolio manager at Synovus Trust and a longtime tech investor.

 

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