The folks at Motley Fool, or, to be technical about it, their much-ballyhooed community of investors, came out with yet another column pretty much consigning McClatchy to death’s door. Well, actually, not pretty much. The piece, “Five Deathbed Stocks,” looked at one-star rated stocks and applied a few tests for liquidity, including something called the “Altman Z-Score,” which MF says “suggests companies in danger of bankruptcy.” Everything’s cool, the Z-Score sez, if a company is above 3.0, and investors should be cautious when it’s down to between 2.70 and 2.99. Those companies scoring “between 1.80 and 2.70 have a good chance of going bankrupt within two years, and those with scores below 1.80 mean the cryptkeeper is waiting,” the piece claims.
McClatchy’s score? 0.03.
BTW, Motley Fool points out some of these stock could barely cling to life, others could make a full recovery.
Click here for the Motley Fool piece.
Hat tip: Fitz and Jen
Be still my (conservative) beating heart!
Sounds all “Wee-wee'd up”
One of their trinket sales will fix the problem post haste no doubt
Sac Bee prints Motley Fool. Wonder if the prediction was printed! That would be printing your own obit right before you keel over.
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