3 unprofitable shares that run a fine line

Unrentable companies are exposed to headwind because they have difficulty keeping the operating costs under control. Some may invest strongly, but the majority do not convert expenditure into sustainable growth.

A lack of profit can lead to problems, but Stockstory helps you identify companies that have the chance to do it. This means that here are three unprofitable companies that stay away from and a few better alternatives.

Successor 12 -month -GAAP operating freedom: -3.6%

Originally the joint venture from four cable television companies, AMC Networks (Nasdaq: AMCX), is a transmitter that produces a variety of television programs and films.

Why do we pass on AMCX?

1. The annual decline in sales of 4.6% in the past five years show that its products and services have difficulty connecting to the market

2. The performance in the past five years shows that every sale was less profitable because the profit per share per year has dropped by 15.3% annually, worse than sales by 15.3%

3. Shrinking capital yields from an already weak position show that neither earlier nor ongoing investments provide the desired results

The AMC Networks share price of $ 6.30 implies a valuation rate of 2.1x forward p/e. To understand why you should be careful with AMCX, read our full research report (it’s free).

The following 12 -month -GAAP operating freedom: -1.1%

Pioneering work when using lithium-ion batteries for mains storage, fluence (NASDAQ: FlNC) helps to keep renewable energy sources with battery systems.

Why do we think twice about FlNC?

1. Historically negative EPS throws doubts about cautious investors and woles his long -term prospects of winning

2. The investments to defend his competitive water moat

3. Limited cash reserves can force the company to apply for unfavorable financing conditions that could water down the shareholders

At 4.60 USD per share, Fluence Energy acts at 6.9x forward p/e. Read our free research report to see why you should think twice about taking FLNC in your portfolio. It’s free.

Successor 12 -month -GAAP operating freedom: -2.7%

With a network of approximately 2,620 connected doctors who take care of some of the most endangered patients, Pediatrix Medical Group (NYSE: MD) specializes in specialized doctor services who focus on the newborns, motherly fetus, the pediatric cardiology and another pediatric sub -specialality in 37 countries.

Why is MD risky?

1. Delays of comparable business sales in the past two years indicate that it may have to change its price and marketing strategy to promote demand

2. The result per share has decreased by 11.7% annually in the past five years

3. Decreasing returns of capital show from a already low starting point that neither earlier nor current bets of management are as planned