alt Hacker NewsWould depend on the yield on debt vs yield on equity (factoring in earnings growth rate)
If your company trades at 100x sales you should probably sell the equity.
Would depend on the yield on debt vs yield on equity (factoring in earnings growth rate)
If your company trades at 100x sales you should probably sell the equity.
It’s not just yield. Its debt gets paid first. And if you miss the interest payments the debt holders get the company.