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by andsoitis 1253 days ago
> Amazon and Meta are at 0 risk of running out of money. They make billions in profits.

Companies don’t try to break even, they try to make money because higher ROI means you’re more valuable.

1 comments

More than just make a profit -- they need to be a better investment than e.g. Treasury bonds, for the additional risk. Which means higher Fed rates put the bar higher for acceptable profit levels for companies.