The alarming reason so many tech companies are raising cash

Investors should be cautious as companies raise capital even when they don't need it.

Aug 2, 2025 - 05:30
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The alarming reason so many tech companies are raising cash

By all appearances, the tech market seems to be in high spirits. Stock prices are rising, valuations are climbing, IPO chatter is resurfacing, and the Nasdaq Composite Index is hovering near record levels after rebounding more than 40% from its April lows. 

But underneath the bullish headlines, a more sobering trend is playing out.

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