On: Corporate debt nears a record $10T, and borrowing ...

[formercoder]

Looking at absolute levels of debt is useless clickbait, one should look at trends in debt / ebitda.

[XnoiVeX → formercoder]

Excellent analysis by Deloitte. https://www2.deloitte.com/us/en/insights/economy/issues-by-t...

[ummonk → XnoiVeX]

I wonder how much of the rise in percent of debt that was poor quality was fueled by investors seeking higher bond yields in a low yield environment...

[ummonk → formercoder]

EBITDA is cyclical though. Debt / revenues would be a better measure.

[formercoder → ummonk]

Revenue is cyclical too, I’d look at headroom for downturns in debt/ebitda especially where firms start to slip into junk bond territory.