by Gary Gordon | Mar 3, 2021
There is a belief on Wall Street that future corporate earnings can only grow in an environment where borrowing is so cheap. Indeed, inflation-adjusted interest rates (a.k.a. “real rates”) are negative, and that means companies are effectively being paid...
by Gary Gordon | Feb 24, 2021
There have been a number of stock bubbles in history. Yet few rival the infamy associated with 1929’s epic crash or 2000’s tech wreck. Perhaps ironically, today’s post-pandemic bubble may be more egregious. For example, an average of four measures...
by Gary Gordon | Feb 19, 2021
Healthy corporations have manageable debt levels, rising revenue and increasing profits. Less healthy companies? Sales stagnate, earnings diminish and debt loads explode higher. Even before the pandemic, there were signs of corporate stress. Debts relative to gross...
by Gary Gordon | Feb 17, 2021
There has never been a larger wave of equity inflows. In other words, everybody wants in the stock pool. And not just the largest companies with the strongest balance sheets. Volume for the least viable, most aggressive stock assets — penny stocks — has...
by Gary Gordon | Feb 12, 2021
Extremely easy access to cheap money. That’s what inflated the dotcom blimp in the late 1990s. That’s what pumped up the housing balloon in the 2000s. And that’s what is responsible for the “Everything Bubble” today. How frothy? Here are...
