Barron’s: The Pandemic Has Swelled the Ranks of Zombie Companies. Here’s How to Recognize Them.

Barron’s: The Pandemic Has Swelled the Ranks of Zombie Companies. Here’s How to Recognize Them.. “With Halloween near, investors need to keep an eye out for zombies. The pandemic has boosted the number of zombie companies—unprofitable, cash-poor firms that rely on financial markets to cover their costs—reports money manager Principal Global Investors. In the first quarter, Principal found 18% of companies in the Bloomberg Total Return Index couldn’t cover interest costs with the previous year’s pretax earnings, up from a little more than 10% a year ago.”

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