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I'd say there is an effect, but there are compound issues at hand. Another issue is that it's just damn hard to raise money right now either through debt or iss
by xeromal 4y ago
I'd say there is an effect, but there are compound issues at hand. Another issue is that it's just damn hard to raise money right now either through debt or issuing stocks. Someone very close to me just got laid off at Volta because they were in an expansionist mindset but you need easy money to pull that off.
Easy money is gone. Companies that balanced their budget without the need for debt to continue to operate are OK.
- DenisM 4y agoI’m trying to tease apart the bandwagon effect from the fundamentals you’re describing. The reason why the distinction is important is that the bandwagon effect will come and go, while the fundamentals can stay negative for any amount of time.
- phpisthebest 4y agoI am very lucky to work for a company that has zero debt. If I was looking to change jobs right now that would be one of the primary questions I would ask, the debt position of the company. Many companies are going to get hit hard when their corporate loans come due over the next 1-3 years.
- xeromal 4y agoSame with mine. We're small and lean but we are slow to grow or needlessly spend money. A bit less reward but way less risk.