If a company is highly leveraged, this means that it has relatively high risk of not being able to repay its debt.

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When a company is highly leveraged, it means that it has taken on a significant amount of debt relative to its equity. This increases the risk of not being able to make the required debt payments, especially during difficult economic times or if the company experiences a decline in revenue or profitability. As a result, highly leveraged companies are generally considered to be riskier investments compared to those with lower debt levels.

If a Company Is Highly Leveraged, This Means That It