M - 3 Industries to Avoid at All Costs
The current market meltdown has definitely precipitated valuations we haven't seen in a long time in certain sectors. The COVID-19 breakout has caused the government to order a sudden stop to a wide swath of businesses across the country, especially those in anything related to travel or transportation.
On the other hand, Congress just passed a giant $2.2 trillion stimulus bill, and within that bill, there's $500 billion set aside for bailouts to distressed companies. However, f you're thinking about investing in any of the following beaten-down sectors just because bailout funds might be coming, you should think twice before doing so.
That's because when a company takes federal money, there will likely be strings attached. And those strings could mean a severe dilution of shareholder value. So avoid these industries that have seen their stocks perk up on the bailout news, as they may not bounce back like you think.