Zoombies or zoombie companies

Posted in :

stlplace
Reading Time: < 1 minute

I came across this term yesterday.

You may search the Twitter (aka X) for more tweets on the topic.

And this made me to think two small stock positions I have and I may have talked about them in my blog posts too: LEG (Legget and Platt) and SCS (Steelcase). I just did a bit more search and reading.

Zombies: Financial Term for Distressed Companies

Credit ratings

SCS – Ba2 Moody’s: this is speculative

LEG – Fitch BBB– : this is the lowest among investor grade

Interestingly enough, my gut feeling matches the two companies ratings (at least in relative terms)

Explanation and comparison of ratings

Corporate credit ratings: a quick guide 

Related Posts

  • Desktops, Laptops and Virtual Desktop Infrastructure VDI for work
    April 25, 2024

    <span class="rt-reading-time" style="display: block;"><span class="rt-label rt-prefix">Reading Time: </span> <span class="rt-time">12</span> <span class="rt-label rt-postfix">minutes</span></span> When I 1st started to working in the US, back in year 2000, I had an HP-UX workstation. Something like below. You probably wonder how was it in terms of the user experience. I would say not that great. Please note around at time late 1990s and early 2000s, Unix workstations were actually quite popular

    Read More
  • Merger and acquisition arbitrage
    April 23, 2024

    <span class="rt-reading-time" style="display: block;"><span class="rt-label rt-prefix">Reading Time: </span> <span class="rt-time">2</span> <span class="rt-label rt-postfix">minutes</span></span> I talked about arbitrage quite a bit in my blog, but in terms of profit I didn’t make much until year 2022 – I followed Warren Buffett and bought into Microsoft Activision Blizzard acquisition. I got this idea when I attended #BRK2022 shareholder meeting in Omaha, Nebraska. Most recently, I speculated a few more, one

    Read More
  • Cobble Together
    April 20, 2024

    <span class="rt-reading-time" style="display: block;"><span class="rt-label rt-prefix">Reading Time: </span> <span class="rt-time">2</span> <span class="rt-label rt-postfix">minutes</span></span> cobble together per Collins Dictionary: If you say that someone has cobbled something together, you mean that they have made or produced it roughly or quickly. Or Google AI overview – “Cobble together” is an American English phrasal verb that means to produce something quickly or roughly, often without great care or effort. For example,

    Read More
  • Thinking about opening a Roth IRA
    April 14, 2024

    <span class="rt-reading-time" style="display: block;"><span class="rt-label rt-prefix">Reading Time: </span> <span class="rt-time">3</span> <span class="rt-label rt-postfix">minutes</span></span> I think I was pretty ignorant about the Roth IRA or Roth 401k until recently years. Some friends talked about Backdoor Roth IRA a few years ago. Around the same time (Sept 2021), I noticed my employer 401 k plan has a Roth option. Before that I already worked in the USA for about 21

    Read More
%d bloggers like this: