Stay Away from These Money-Burning Stocks
It wasn't too long ago that the stock market was enamored by companies losing vast sums of money in the pursuit of growth. Profits didn't matter. Having a realistic path to eventually turning a profit didn't matter, either.
That era appears to be over, at least for now. Shares of many money-losing growth stocks have been hammered over the past few months, and recent tech IPOs have generally not fared well. The last nail in the coffin was the failed IPO of WeWork parent The We Company. Once valued at $47 billion, We is now worth a fraction of that and could very well be worth nothing. Growth-at-all-costs is facing a reckoning.
Some money-losing companies will eventually reach the promised land of profitability, but not all of them. Here are two money-burning stocks that investors should avoid.
Source Fool.com
