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Technology Stocks : WDC, NAND, NVM, enterprise storage systems, etc.
SNDK 200.32+2.2%Nov 21 9:30 AM EST

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To: Unwelcomeguest who wrote (3619)4/16/2018 2:48:23 PM
From: SiliconAlley1 Recommendation

Recommended By
Mesaverde

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I know what a ratio is, but I don't think you do.

Ratios are what make unseasoned investors comfortable, when the facts speak otherwise. The risk in a stock goes up as debt levels go up, regardless of ratios. That is because risk is what happens when things don't go right. And if you weren't aware, stocks are risky assets, and are generally priced to account for that risk. A company with $12B in debt has 3 times the obligation of a company with $4B in debt, independent of any ratio. Astute buyers price risk into a stock when assessing how much they will pay.
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