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Stock impact report

3 Cash-Burning Stocks That Concern Us [Yahoo! Finance]

American Outdoor Brands, Inc. (AOUT) 
Company Research Source: Yahoo! Finance
Negative cash flow can lead to trouble, but StockStory helps you identify the businesses that stand a chance of making it through. That said, here are three cash-burning companies to avoid and some better opportunities instead. Trailing 12-Month Free Cash Flow Margin: -11.1% Headquartered in Providence, Rhode Island, Bally's Corporation (NYSE:BALY) is a diversified global casino-entertainment company that owns and manages casinos, resorts, and online gaming platforms. Why Do We Avoid BALY? 2% annual revenue growth over the last two years was slower than its consumer discretionary peers Eroding returns on capital from an already low base indicate that management's recent investments are destroying value Short cash runway increases the probability of a capital raise that dilutes existing shareholders Bally's stock price of $16.62 implies a valuation ratio of 11.8x forward EV-to-EBITDA. Dive into our free research report to see why there are better opportunities than BALY Show less Read more
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