No Love For The Leveraged

Not a huge revelation here, but the market is showing particular disdain today for any stocks that give off an aroma of a need for more capital. Here’s a slightly random list of companies which have in common largely the fact that they will eventually need to raise cash to refinance debt or to carry out their business plan. All have fairly leveraged balance sheets. And all have been ripped to shreds by investors in recent weeks. This is off the top of my head, but I’m sure there are other names: Sprint Nextel (S): Down 20 cents, or 9.3%, to $1.95. Charter Communications (CHTR): Down 5.25 cents, or 18%, to 24 cents. Advanced Micro Devices (AMD): Down 23 cents, or 9.2%, to $2.23. Motorola (MOT): Down 30 cents, or 7.7%, to $3.60. Sirius XM (SIRI): Down 3 cents, or 14.2%, to 17 cents. Clearwire (CLWR): Down 47 cents, or 7.1%, to $6.20. ON Semiconductor (ONNN): Down 36 cents, or 10.8%, to $2.98. (link)