XRO News: We Think Xero (ASX:XRO) Can Stay On Top Of Its Debt - 26th May 2022, 3:12pm

[annb0t]

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously said that 'Volatility is far from synonymous with risk.' When we think about how risky a company is, we always like to look at its use of debt, since debt overload can lead to ruin. Importantly, Xero Limited (ASX:XRO) does carry debt. But should shareholders be worried about its use of debt?

What Risk Does Debt Bring?

Debt is a tool to help businesses grow, but if a business i...

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