Market Mad House

In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. Friedrich Nietzsche

Clorox Co

The Death Spiral

Is Clorox Making Money?

Therefore, Clorox is a value trap you need to avoid. I define a value trap as a stock that meets some value criteria but no cash. Hence, that stock could succumb to the death spiral. The death spiral occurs when a company does not generate enough cash to pay its debts.

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