The Investing for Beginners Podcast - Your Path to Financial Freedom cover image

IFB11: A Complete Guide to the Most Useful Stock Valuation Methods

The Investing for Beginners Podcast - Your Path to Financial Freedom

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The Risk of Bankruptcy

In general, we want to stay away from stocks that have high debt to equity ratios. What I found was that debt to equity being high is a high indicator of risk and bankruptcy. So all the debt to equity does is just tells us how risky a stock is. And it's really, that's really all there is to it.

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