Downgrade
Fundamental analysisA reduction in a credit rating, reflecting weakened ability to service debt.
In plain terms
Raises borrowing costs at exactly the moment the company can least afford them.
1492 terms
Glossary
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
Showing 2 terms
Read the full lesson →
Rating outlook
Fundamental analysisAn agency’s view on the likely direction of a rating over the medium term.
In plain terms
Often more informative than the letters. A negative outlook typically precedes a downgrade by months.