2 Cash-Burning Growth Stocks to Stay Far Away From
Growth stocks can be great long-term investments to hang on to. But they can be problematic for investors if the companies are burning through tons of cash, as that can result in them taking on debt or issuing more shares just to keep the lights on. And neither scenario is attractive for investors.
A couple of stocks that are on a challenging path right now that I would stay away from are Ocugen (NASDAQ: OCGN) and ContextLogic (NASDAQ: WISH). Both of these companies are burning through millions of dollars and could need more money in the not too distant future.
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Source Fool.com
